Reporting PLS Analysis

(MOBI250 data and sample size=250)

Once you had draw the model

Click Calculate and press PLS Algorithm

Just Click Finish

Inside the blue circle value its represent the R 2 value

The line connecting the studied constructs indicate the Std Beta value
Based on the above results you need to check on the loadings value of each of the
studied constructs that having less than 0.5 loading value and you need to remove
it one by one (if there are more loading values less than 0.5) and after you delete
the item you need to Click Calculate and press PLS Algorithm and check whether
there is/are value less than 0.5) and repeat the steps.
Note: if the construct items left two and you had found one the item having low
loading (>0.5) dont delete it

Delete item of CUSL2 (0.195) and run calculate

Although there are no more loading below 0.5 but next criteria is to check the AVE
value must be above 0.5
Click on Report and click HTML REPORT

Click on Quality Criteria and check this table

Quality Criteria

AVE

Composite
Reliability

Expectation 0.479708

R Square

0.732782

Cronbachs
Alpha

Communality Redundancy

0.451903

0.479708

Loyalty

0.765353

0.866731

0.428502

0.702727

0.765353

0.317196

Quality

0.576649

0.904693

0.311706

0.877010

0.576649

0.178825

Satisfaction 0.693605

0.871568

0.666719

0.779195

0.693605

0.054308

0.917976

0.345499

0.823632

0.848441

0.030538

Value

0.848441

The above table show that the AVE value for Expectation ( 0.479708) is below 0.5 (The AVE
values required to have at least 0.5)
Therefore, we need to check on the loading that having low than the others loading then we delete it in
order to push the AVE score for

Expectation

Here we decided to delete CUEX3 (loading value is 0.626). Note: If you compare
among the loadings of Expectation this CUEX3 (loading value is 0.626) item appears
to be the lowest among the rest.

Next Click Calculate and run PLS Algorithm

Click on Report and click HTML REPORT again Click Quality Criteria

Quality Criteria

Overview

AVE
Expectation 0.661479

Composite
Reliability

R Square

0.795891

Cronbachs
Alpha

Communality Redundancy

0.491481

0.661478

Loyalty

0.765354

0.866732

0.428607

0.702727

0.765354

0.317275

Quality

0.576666

0.904704

0.235752

0.877010

0.576666

0.136008

Satisfaction 0.693584

0.871553

0.666911

0.779195

0.693584

0.047672

0.917959

0.343970

0.823632

0.848412

0.007856

Value

0.848412

The above results appear to be having adequate AVE and CR values

i = loadings of indicator i of a latent variable

i = measurement error of indicator i

j = flow index across all reflective measurement model

Measures the reliability of indicators

The value is between 0 and 1
Composite reliability should be 0.7 or higher to indicate adequate convergence or internal
consistency (Gefen et al., 2000).

2i = squared loadings of indicator i of a latent variable

var(i ) = squared measurement error of indicator i
Comparable to the proportion of variance explained in factor analysis
Value ranges from 0 and 1.
AVE should exceed 0.5 to suggest adequate convergent validity (Bagozzi & Yi, 1988; Fornell &
Larcker, 1981).

After you had satisfied with the results (no Low loading below 0.5, and
having adequate AVE and CR values) you can proceed for bootstrapping
(to check on which independent variables are having significant effects on
the DV )

Sample size = 250 Bootstrap = 500 ( best number 5000 but it will to ages to run)

Press Finish

In order to check the significant levels ( see the line arrow) you need to look at the
t-value
Significant Levels
1 tail
2 tail
1% **
2.33
2.58
5%*
1.645
1.96
Next step is to click on Report and HTML REPORT

You will get all the results see below

Path Coefficients (Mean, STDEV, T-Values)

Original
Sample (O)

Sample
Mean (M)

Standard
Deviation
(STDEV)

Standard
Error (STERR)

T Statistics (|
O/STERR|)

Expectation ->
Quality

0.485543

0.495395

0.053241

0.053241

9.119746

Expectation ->
Satisfaction

0.083631

0.084437

0.047950

0.047950

1.744146

Expectation ->
Value

0.016102

0.018038

0.071342

0.071342

0.225700

Quality ->
Satisfaction

0.629769

0.629471

0.052083

0.052083

12.091726

Quality -> Value

0.578503

0.580711

0.070627

0.070627

8.190976

Satisfaction ->
Loyalty

0.654681

0.655475

0.056613

0.056613

11.564090

Value ->
Satisfaction

0.212104

0.210772

0.057814

0.057814

3.668742

Highlights t-values are showing significant values

How to Report PLS results

1. Measurement Model
a. Convergent Validity
b. Discriminant Validity
c. Cross Loading
2. Structural Model
3. Goodness of Fits
4. Predictive Relevance

Reporting Measurement Model

Convergent Validity
Outer Loadings
Expectation
CUEX1

0.850779

CUEX2

0.774036

Loyalty

Quality

Satisfaction

CUSA1

0.799707

CUSA2

0.848363

CUSA3

0.849411

CUSL1

0.825309

CUSL3

0.921723

PERQ1

0.799902

PERQ2

0.638511

PERQ3

0.785141

PERQ4

0.770009

PERQ5

0.756084

PERQ6

0.773683

PERQ7

0.780713

Value

PERV1

0.902035

PERV2

0.939765

Reflective Indicators use Outer Loadings Results

Formative Indicators use Outer weights Results

Composite
Reliability

AVE
Expectation 0.661479

R Square

0.795891

Cronbachs
Alpha

Communality Redundancy

0.491481

0.661478

Loyalty

0.765354

0.866732

0.428607

0.702727

0.765354

0.317275

Quality

0.576666

0.904704

0.235752

0.877010

0.576666

0.136008

Satisfaction 0.693584

0.871553

0.666911

0.779195

0.693584

0.047672

0.917959

0.343970

0.823632

0.848412

0.007856

Value

0.848412

Table1 Convergent Validity

Construct

Measurement Item

Loading

AVEa

CRb

Cronbach

Expectation
Satisfaction

Loyalty
Quality

Perceived Value

CUEX1

0.851

CUEX2

0.774

CUSA1
CUSA2

0.800
0.848

CUSA3

0.849

CUSL1

0.825

CUSL3

0.922

PERQ1
PERQ2
PERQ3
PERQ4
PERQ5
PERQ6

0.800
0.639
0.785
0.770
0.756
0.774

PERQ7

0.781

PERV1
PERV2

0.902
0.940

0.661

0.796

0.491

0.694

0.872

0.779

0.765

0.867

0.703

0.577

0.905

0.877

0.848

0.918

0.824

a AVE = (summation of squared factor loadings)/(summation of squared factor loadings) (summation of error variances)
bComposite reliability = (square of the summation of the factor loadings)/[(square of the summation of the factor loadings) ? (square of the
summation of the error variances)]

Reporting Discriminant Validity

Go to report click Latent Variable Correlations under quality criteria
Latent Variable Correlations

Expectation

Loyalty

Quality

Satisfaction

Value

Expectation

Loyalty

0.356099

Quality

0.485543

0.540126

Satisfaction

0.452404

0.654681

0.794737

Value

0.29699

0.522662

0.586321

0.606189

Loyalty

Quality

Satisfaction

Value

0.875
0.540
0.655
0.523

0.759
0.795
0.586

0.833
0.606

0.921

AVE
Expectation

0.661479

Loyalty

0.765354

Quality

0.576666

Satisfaction

0.693584

Value

0.848412

=sqrt(AVE
)
0.813313
593
0.874845
129
0.759385
278
0.832816
907
0.921092
829

Table 2 Discriminant Validity

Constructs
Expectation
Loyalty
Quality
Satisfaction
Value

Expectation
0.813
0.356
0.486
0.452
0.297

Note: Diagonals represent the square root of the AVE while the off diagonals represent the correlations

In total, the measurement model demonstrated adequate convergent validity and discriminant validity.

Table 3 Crossloading

Expectation

Loyalty

Quality

Satisfaction

Value

CUEX1

0.851

0.273

0.436

0.372

0.294

CUEX2

0.774

0.312

0.348

0.366

0.180

CUSA1

0.423

0.508

0.641

0.800

0.411

CUSA2

0.351

0.495

0.669

0.848

0.492

CUSA3

0.361

0.623

0.674

0.849

0.599

CUSL1

0.293

0.825

0.394

0.455

0.413

CUSL3

0.329

0.922

0.534

0.662

0.494

PERQ1

0.380

0.483

0.800

0.681

0.470

PERQ2

0.296

0.366

0.639

0.490

0.308

PERQ3

0.400

0.464

0.785

0.644

0.474

PERQ4

0.350

0.373

0.770

0.601

0.395

PERQ5

0.395

0.376

0.756

0.524

0.465

PERQ6

0.385

0.344

0.774

0.549

0.411

PERQ7

0.367

0.444

0.781

0.698

0.554

PERV1

0.253

0.415

0.474

0.486

0.902

PERV2

0.291

0.536

0.594

0.618

0.940

Horizantal check discriminant validity Vertical check convergent validity (it must not higher than the
loading of the variable in bold items)

Structural Model
After you had bootstrap Click Report and Go to path coefficient

To check the results of the study (Hypothesis Testing)

Path Coefficients (Mean, STDEV, T-Values)

Original
Sample (O)

Sample
Mean (M)

Standard
Deviation
(STDEV)

Standard
Error (STERR)

T Statistics (|
O/STERR|)

Expectation ->
Quality

0.485543

0.490326

0.057296

0.057296

8.474260

Expectation ->
Satisfaction

0.083631

0.085422

0.048431

0.048431

1.726801

Expectation ->
Value

0.016102

0.019733

0.068805

0.068805

0.234021

Quality ->
Satisfaction

0.629769

0.629886

0.050101

0.050101

12.569874

Quality -> Value

0.578503

0.574770

0.070193

0.070193

8.241597

Satisfaction ->
Loyalty

0.654681

0.654898

0.055638

0.055638

11.766767

Value ->
Satisfaction

0.212104

0.210803

0.057368

0.057368

3.697261

remove the two columns (highlighted in red color)

Significant Levels
1 tail
2 tail
1% **
2.33
2.58
5%*
1.645
1.96

Original Sample (o) is the Std Beta

Reporting Structural Model

Std. Beta

SE

t-value

Coefficient
Expectation -> Quality

0.485543

0.057296

8.474260

Expectation ->
Satisfaction

0.083631

0.048431

1.726801

Expectation -> Value

0.016102

0.068805

0.234021

Quality -> Satisfaction

0.629769

0.050101

12.569874

Quality -> Value

0.578503

0.070193

8.241597

Satisfaction -> Loyalty

0.654681

0.055638

11.766767

Value -> Satisfaction

0.212104

0.057368

3.697261

Hypothesis

Relationship

Std. Beta

SE

t-value

Decision/Supported

H1

Expectation -> Quality

0.486

0.057

8.474**

Supported

H2
H3

Expectation -> Satisfaction

Expectation -> Value

0.084
0.016

0.048
0.069

1.727*
0.234

Supported
Not Supported

H4

Quality -> Satisfaction

0.630

0.050

12.570**

Supported

H5

Quality -> Value

0.579

0.070

8.242**

Supported

H6

Satisfaction -> Loyalty

0.655

0.056

11.767**

Supported

H7

Value -> Satisfaction

0.212

0.057

3.697**

Supported

**p<0.01(2.33); *0.05(1.645)
Or

t-values > 1.65*(p<0.05); t-values > 2.33** (p<0.01)

Significant Levels
1 tail
2 tail
1% **
2.33
2.58
5%*
1.645
1.96