Guidelines for Applying Structural Equation Modelling Methods Between PLS-SEM and CB-SEM: The Marketing Perspective in Thailand
Article Sidebar
Main Article Content
Abstract
This article aimed to analyze data to show the direction and trend of using structural equation modeling techniques between CB-SEM and PLS-SEM in marketing, Thailand, and suggested guidelines for applying SEM to researchers and scholars. It is a document research by searching for marketing and related journals. Journals published between 2021-2023 and currently active, totaling 1,118 journals, were selected. Then, journals were evaluated for quality in the TCI1 and TCI2 databases and were relevant to the study topic, namely marketing, business, and management, a total of 34 journals, were selected. Later, articles from those journals were selected. The selection criteria were that articles must be full-text research articles on marketing and use SEM statistics with CB-SEM or PLS-SEM software. There were 162 research articles, accounting for 49.56 percent of all published research articles. When analyzed and synthesized, it was found that the direction of using structural equation modeling techniques between CB-SEM and PLS-SEM in marketing tends to increase at an increasing rate and continuously in the future. Another issue that researchers must be aware of is choosing between CB-SEM and PLS-SEM correctly and appropriately. Both software has differences in terms of strengths, limitations, data analysis, and evaluation criteria. Therefore, researchers should have knowledge and understanding before deciding to use them to create efficiency.
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Journal of KMITL Business School is available both online and in printed version.
**All articles or opinions presented in this issue of the Journal of KMITL Business School reflect the thoughts of their respective authors. This journal serves as an independent platform for a variety of viewpoints. Authors bear full responsibility for the content of their articles.**
**All articles published in this journal are copyrighted by KMITL Business School, King Mongkut's Institute of Technology Ladkrabang. The editorial team permits copying or using articles, but a reference to the journal is required.**
References
กุลยา อุปพงษ์ สรณ โภชนจันทร์ และ ศิริกาญจน์ ธรรมยัติวงศ์. (2565). อิทธิพลของเครื่องมือสื่อสารการตลาดดิจิทัลในการสร้างความพึงพอใจของลูกค้า. NIDA BUSINESS JOURNAL, 30, 42- 68.
ฉันธะ จันทะเสนา. (2563). วิธีรายงานผลการศึกษาของตัวแปรสร้างระดับที่สองของ PLS-SEM. จุฬาลงกรณ์ธุรกิจปริทัศน์,42(3), 39-67.
ศูนย์ดัชนีการอ้างอิงวารสารไทย. (2567). Statistical info. https://tci-thailand.org/
Abaddi, S. (2024). Digital skills and entrepreneurial intentions for final-year undergraduates: entrepreneurship education as a moderator and entrepreneurial alertness as a mediator. Management & Sustainability: An Arab Review, 3(3), 298-321.
Abarbanel, B., Singh, A. K., Bernhard. B, & Lucas, A. (2022). A comparative study of CB-SEM and PLS-SEM methods using online casino survey data. Journal of Applied Statistics & Machine Learning, 1(2), 101-116.
Anderson, J. & Gerbing, D. (1988). Structural Equation Modeling in Practice: A Review and Recommended Two-Step Approach. Psychological Bulletin, 103, 411-423.
Assaker, G. & O’Connor, P. (2023). Using PLS-SEM to test for the moderation Effects of continuous variables in hospitality and tourism studies. Cutting Edge Research Methods in Hospitality and Tourism, ch. 3, pp. 29-51.
Awang, Z., Lim, S. H., & Zainudin, N. F. S. (2018). Pendekatan mudah SEM: Structural Equation Modelling. Selangor: MPWS Rich Publication.
Bagozzi, R., & Yi, Y. (2012). Specification, evaluation, and interpretation of structural equation models. Journal of the Academy of Marketing Science, 40(1), 8-34.
Babin, B. J., Hair, J. F., & Boles, J. S. (2008). Publishing research in marketing journals using structural equation modeling. Journal of marketing theory and practice, 16(4), 279-286.
Baumgartner, H. & Homburg, C. (1996). Applications of Structural Equation Modeling in Marketing and Consumer Research: A Review. International Journal of Research in Marketing, 13(2), 139-161.
Cheung, G. W. (2008). Testing equivalence in the structure, means, and variances of higher-order constructs with structural equation modeling. Organizational Research Methods, 11(3), 593–613.
Cohen, J. (1988). Statistical Power Analysis for the Behavioral Sciences (2nd ed.). Hillsdale, NJ: Lawrence Erlbaum Associates, Publishers.
Dash, G., & Paul, J. (2021). CB-SEM vs PLS-SEM methods for research in social sciences and technology forecasting. Technological Forecasting and Social Change, 173, 121092.
Davvetas, V., Diamantopoulos, A., Zaefarian, G., & Sichtmann, C. (2020). Ten basic questions about structural equations modeling you should know the answers to – But perhaps you don’t. Industrial Marketing Management, 90, 252–263.
Diamantopoulos, A. & Siguaw, J. A., (2000). Introduction to LISREL: A guide for the uninitiated. London: SAGE Publications, Inc,.
Dijkstra, T. K. (2014). PLS' Janus Face – Response to Professor Rigdon's ‘Rethinking Partial Least Squares Modeling: In Praise of Simple Methods’. Long Range Planning, 47(3), 146-153.
Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39-50.
Guenther, P., M. Guenther, C. M. Zeafarian. R. G. & Cartwright. S. (2023). Improving PLS-SEM use for business marketing research. Industrial Marketing Management, 111, 127–142.
Hair Jr, J. F., Babin, B. J., & Krey, N. (2017). Covariance-based structural equation modeling in the Journal of Advertising: Review and recommendations. Journal of Advertising, 46(1), 163-177.
Hair Jr., J. F., Gabriel M. L. D. S. & Patel, V. K. (2014). AMOS Covariance-Based Structural Equation Modeling (CBSEM): Guidelines on Its Application as a Marketing Research Tool. Brazilian Journal of Marketing, 13(2), 44–55.
Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2019). Multivariate Data Analysis. Hampshire, Cengage Learning EMEA.
Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E., (2010). Multivariate data analysis: A global perspectives. Upper Saddle River, NJ: Pearson Education, International.
Hair, J. F., Hult, G. T. M., Ringle, C. M., Sarstedt, M., & Thiele, K. O. (2017). Mirror, mirror on the wall: A comparative evaluation of composite-based structural equation modeling methods. Journal of the Academy of Marketing Science, 45(5), 616–632.
Hair, J. F., Ringle, C. M., & Sarstedt, M. (2012). Partial least squares: the better approach to structural equation modeling?. Long range planning, 45(5-6), 312-319.
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2018). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2-24.
Hair, J. F., Hult, G. T. M. Ringle, C. M. & Sarstedt, M. (2022). A primer on partial least squares structural equation modeling (PLS-SEM), 3rd ed. Thousand Oaks, CA: Sage.
Henseler, J., Ringle C. M., & Sinkovics R. R. (2009). The Use of Partial Least Squares Path Modeling in International Marketing. Advances in International Marketing, 20, 277-319.
Hu, L-T. & Bentler, P.M., (1999). Cutoff criteria for fit indexes in covariance structure analysis: Conventional criteria versus new alternatives. Structural equation modeling, 6(1), 1-55.
Hwang, G. J., Xie, H., Wah, B. W., & Gašević, D. (2020). Vision, challenges, roles and research issues of Artificial Intelligence in Education. Computers and Education: Artificial Intelligence, 1, 100001. https://doi.org/10.1016/j.caeai.2020.100001
Jöreskog, K. G. & Sörbom, D., (1993). LISREL 8: User’s Reference Guide. Scientific Software International.
Jöreskog, K. G., & Sörbom, D., (2012). LISREL 9.1: LISREL syntax guide. Scientific Software International.
Jöreskorg, K, G., Sörbom, D., (1997) LISREL 8: A Guide to the Program and Applications. Scientific Software International.
Kelloway, E. K. (2015). Using Mplus for Structural Equation Modeling; A Researcher’s Guide. SAGE.
Kline, R. B. (2023). Principles and Practice of Structural Equation Modeling (5th ed.). PRESS.
Marsh, H. W., & Hocevar, D. (1985). Application of Confirmatory Factor Analysis to the Study of Self-Concept: First- and Higher-Order Factor Models and Their Invariance across Groups. Psychological Bulletin, 97, 562-582.
Nunnally, J. C. (1978). Psychometric Theory. McGraw-Hill.
Rigdon, E. E., Sarstedt, M., & Ringle, C. M. (2017). On comparing results from CB-SEM and PLS-SEM: Five perspectives and five recommendations. Marketing: ZFP–Journal of Research and Management, 39(3), 4-16.
Sakaria. D., Maat. S. T. Mohd Matore. M. E. E. (2023). Examining the Optimal Choice of SEM Statistical Software Packages for Sustainable Mathematics Education: A Systematic Review. Sustainability, 15(4), 3209.
Sarstedt, M., Hair, J. F., Ringle, C. M., Thiele, K. O., & Gudergan, S. P. (2016). Estimation issues with PLS and CBSEM: Where the bias lies!. Journal of business research, 69(10), 3998-4010.
Sarstedt, M., Radomir, L., Moisescu, O. I., & Ringle, C. M. (2022). Latent class analysis in PLS-SEM: A review and recommendations for future applications. Journal of Business Research, 138, 398–407.
Schumacker, R. E. & Lomax, R. G., (2010). A beginner’s guide to structural equation modeling (3th ed.). Lawrence Erlbaum Associates.
Shevlin, M., & Miles, J. N. (1998). Effects of sample size, model specification and factor loadings on the GFI in confirmatory factor analysis. Personality and Individual differences, 25(1), 85-90.
Trail, G. T. Kim, Y. K. & Alfaro-Barrantes. P. (2022). A Critical Assessment for Sport Management Research: Comparing PLS-SEM and CB-SEM Techniques for Moderation Analysis Using Formative Measures. Journal of Global Sport Management, 9(1), 248 – 268.
Ünal, U. (2021). Structural Equation Modeling as a Marketing Research Tool: A Guideline for SEM Users About Critical Issues and Problematic Practices. Journal of Statistics & Applied Science, 2(2). 66-77.
Untachai, S., Dullayaphut, P. Junla, J. & Bast, C. (2024). An Exploratory Study of the Effect of Entrepreneurial Marketing Orientation on Performance in the Context of Community Enterprises in Thailand. Creative Business and Sustainability Journal (CBSJ), 46(2), 44-61.
Uppapong, K., Mangkang, K. & Photchanachan, S. (2022). Developing Digital Marketing to Enhance Business Outcomes of Woven Fabric Entrepreneurs in Uttaradit Province. Journal of Business Administration The Association of Private Higher Education Institutions of Thailand, 11(1), 175-195.
Usakli, A., & Rasoolimanesh, S. M. (2023). Which SEM to use and what to report? A comparison of CB-SEM and PLS-SEM. In Cutting edge research methods in hospitality and tourism. Emerald Publishing Limited, 5-28.
Usakli, A. & Rasoolimanesh, S. M. (2023). Which SEM to Use and What to Report? A Comparison of CB-SEM and PLS-SEM. Cutting Edge Research Methods in Hospitality and Tourism, 5-28. https://doi.org/10.1108/978-1-80455-063-220231002
Vom Brocke, J., Simons, A., Niehaves, B., Riemer, K., Plattfaut, R., & Cleven, A. (2009). Reconstructing the giant: On the importance of rigour in documenting the literature search process. 17th [Paper persentation]. European Conference on Information Systems (ECIS), 3226–3238. Verona, Italy.
Wang, Y. A., & Rhemtulla, M. (2021). Power Analysis for Parameter Estimation in Structural Equation Modeling: A Discussion and Tutorial. Advances in Methods and Practices in Psychological Science, 4(1), 1–17.
Wong, K. K. (2013). Partial least squares structural equation modeling (PLS-SEM) techniques using SmartPLS. Marketing Bulletin, 1-32.
