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Article
Publication date: 19 November 2018

Bayesian structural equation modelling tutorial for novice management researchers

Harindranath R.M. and Jayanth Jacob

This paper aims to popularize the Bayesian methods among novice management researchers. The paper interprets the results of Bayesian method of confirmatory factor analysis…

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Abstract

Purpose

This paper aims to popularize the Bayesian methods among novice management researchers. The paper interprets the results of Bayesian method of confirmatory factor analysis (CFA), structural equation modelling (SEM), mediation and moderation analysis, with the intention that the novice researchers will apply this method in their research. The paper made an attempt in discussing various complex mathematical concepts such as Markov Chain Monte Carlo, Bayes factor, Bayesian information criterion and deviance information criterion (DIC), etc. in a lucid manner.

Design/methodology/approach

Data collected from 172 pharmaceutical sales representatives were used. The study will help the management researchers to perform Bayesian CFA, Bayesian SEM, Bayesian moderation analysis and Bayesian mediation analysis using SPSS AMOS software.

Findings

The interpretation of the results of Bayesian CFA, Bayesian SEM and Bayesian mediation analysis were discussed.

Practical implications

The management scholars are non-statisticians and are not much aware of the benefits offered by Bayesian methods. Hitherto, the management scholars use predominantly traditional SEM in validating their models empirically, and this study will give an exposure to “Bayesian statistics” that has practical advantages.

Originality/value

This is one paper, which discusses the following four concepts: Bayesian method of CFA, SEM, mediation and moderation analysis.

Details

Management Research Review, vol. 41 no. 11
Type: Research Article
DOI: https://doi.org/10.1108/MRR-11-2017-0377
ISSN: 2040-8269

Keywords

  • Bayesian structural equation modelling
  • AMOS software
  • Bayesian confirmatory factor analysis
  • Bayesian mediation
  • Bayesian moderation analysis
  • MCMC

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Article
Publication date: 5 February 2018

A comparison between structural equation modelling (SEM) and Bayesian SEM approaches on in-store behaviour

Fon Sim Ong, Kok Wei Khong, Ken Kyid Yeoh, Osman Syuhaily and Othman Mohd. Nor

The purpose of this paper is to examine the effects of atmospherics and affective state on shoppers’ in-store behaviour using the two approaches in structural equation…

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Abstract

Purpose

The purpose of this paper is to examine the effects of atmospherics and affective state on shoppers’ in-store behaviour using the two approaches in structural equation modelling (SEM), i.e. Frequentist and Bayesian approaches. Shoppers’ affective state was tested for its mediating effect on in-store shopping behaviour.

Design/methodology/approach

The final sample consists of 382 respondents who were drawn from shoppers at selected apparel stores in six of the most popular shopping malls around Kuala Lumpur (Malaysia). A frequentist approach to SEM is common among researchers and offers generally an analysis of the relationships between multiple latent variables and constructs. Alternatively, the Bayesian SEM (BSEM) approach stems from the diffusion of the model’s posterior distributions using the Markov Chain Monte Carlo technique. More specifically, this technique is inherently more flexible and substantive in determining parameter estimates as compared to the more conventional, the frequentist approach to SEM.

Findings

The results show the mixed effects of atmospheric cues in retail setting on shoppers’ affective state. More specifically, the positive direct effect of atmospheric cues (music) on in-store behaviour was confirmed while other atmospheric cues (colour and store layout) were found to be fully mediated by affective state. The Bayesian approach was able to offer more distinctive results complementing the frequentist approach.

Research limitations/implications

Although the current sample size is adequate, it will be interesting to examine how a bigger sample size and different antecedents of in-store behaviour in retailing can affect the comparison between the frequentist approach in SEM and BSEM.

Practical implications

The authors found that a combination of well-designed store atmospherics and layout store can produce pleasurable effects on shoppers resulting in positive affective state. This study found that results from both frequentist and Bayesian approaches complement each other and it may be beneficial for future studies to utilise both approaches in SEM.

Originality/value

This paper met the aim to compare the approaches in SEM and the need to consider both approaches on in-store shopping environment. Overall, the authors contend that the Bayesian approach to SEM is a potentially viable alternative to frequentist SEM, especially when studies are conducted under dynamic conditions such as apparel retailing.

Details

Industrial Management & Data Systems, vol. 118 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/IMDS-10-2016-0423
ISSN: 0263-5577

Keywords

  • Atmospherics
  • Affective state
  • Bayesian SEM
  • Frequentist structural equation modelling
  • In-store behaviour
  • Markov Chain Monte Carlo

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Article
Publication date: 18 November 2019

Diagnostic testing in Bayesian analysis

A. George Assaf and Mike G. Tsionas

This paper aims to present several Bayesian specification tests for both in- and out-of-sample situations.

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Abstract

Purpose

This paper aims to present several Bayesian specification tests for both in- and out-of-sample situations.

Design/methodology/approach

The authors focus on the Bayesian equivalents of the frequentist approach for testing heteroskedasticity, autocorrelation and functional form specification. For out-of-sample diagnostics, the authors consider several tests to evaluate the predictive ability of the model.

Findings

The authors demonstrate the performance of these tests using an application on the relationship between price and occupancy rate from the hotel industry. For purposes of comparison, the authors also provide evidence from traditional frequentist tests.

Research limitations/implications

There certainly exist other issues and diagnostic tests that are not covered in this paper. The issues that are addressed, however, are critically important and can be applied to most modeling situations.

Originality/value

With the increased use of the Bayesian approach in various modeling contexts, this paper serves as an important guide for diagnostic testing in Bayesian analysis. Diagnostic analysis is essential and should always accompany the estimation of regression models.

Details

International Journal of Contemporary Hospitality Management, vol. 32 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/IJCHM-03-2019-0255
ISSN: 0959-6119

Keywords

  • Bayesian analysis
  • Diagnostic testing
  • In- and out-of-sample

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Article
Publication date: 2 September 2019

Multi-dimensional flexibility-complexity trade-off modeling in manufacturing systems: Structural equation modeling approach

Nasser Javid, Kaveh Khalili-Damghani, Ahmad Makui and Farshid Abdi

This paper aims to propose a multi-dimensional model on the basis of the key factors of the flexibility and the complexity through structural equation modeling (SEM)…

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Abstract

Purpose

This paper aims to propose a multi-dimensional model on the basis of the key factors of the flexibility and the complexity through structural equation modeling (SEM). Dimensions of the flexibilities and complexity, including 16 main factors and 34 sub-factors, are investigated. The sampling of the research is accomplished using both academic and industrial experts.

Design/methodology/approach

A huge electronic questionnaire analysis, including 1,250 samples from which 1,036 were returned, was accomplished in various universities and manufacturing companies throughout the USA, Europe and Asia. Partial least square-SEM (PLS-SEM) is used to test the hypotheses through confirmatory factor analysis.

Findings

The results reveal insightful information about the impacts of different dimensions of flexibility on each other and also the effect of the flexibility on the complexity. Finally, system of linear mathematical equations for flexibility-complexity trade-off is proposed. This can be applied to realize the trade-off among dimensions of flexibility and complexity.

Originality/value

Flexible manufacturing systems are formed to meet the needs of the customers. Such systems try to produce products in appropriate quality at the right time and at the specified quantity. These, in turn, require flexibility and will cause complexity. Although flexibility and complexity are both important, there is no comprehensive framework in which the multi-dimensional relationships of the manufacturing flexibility and complexity, as well as their dimensions, are demonstrated.

Details

Kybernetes, vol. 48 no. 8
Type: Research Article
DOI: https://doi.org/10.1108/K-05-2018-0259
ISSN: 0368-492X

Keywords

  • Statistical analysis
  • Multivariate statistical analysis
  • Structural equation modeling
  • Manufacturing systems
  • Manufacturing flexibility
  • Manufacturing complexity

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Article
Publication date: 3 April 2017

Environmental risk perception and its influence on well-being

Ge Xu, Xiangnan Feng, Yiwei Li, Xiaohong Chen and Jianmin Jia

This study aims to investigate the effects of environmental risk perception on the evaluation of socioeconomic development and subjective well-being in China.

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Abstract

Purpose

This study aims to investigate the effects of environmental risk perception on the evaluation of socioeconomic development and subjective well-being in China.

Design/methodology/approach

A questionnaire survey was conducted, and data were collected from 408 participants of four major universities and government organizations in Changsha, China. Structural equation modeling (SEM) was used to analyze the collected data and to test the hypotheses with regard to the relationship among latent variables. Bayesian method was used as the statistical inference procedure.

Findings

Results show that environmental risk perception has a direct negative influence on perceived socioeconomic development and on subjective total well-being (i.e. both hedonic and eudaimonic well-being). The perceived socioeconomic development has a direct positive effect on the subjective total well-being; thus, it plays a partial mediation role between environmental risk perception and subjective total well-being.

Research limitations/implications

Findings suggest that the environment protection act of the government and their contribution to socioeconomic development will significantly affect the total well-being of people. The empirical analysis is based on survey data; thus, this study may suffer the common problems of questionnaire survey.

Social implications

Promoting pro-environment and health behaviors is important in developing a happy society.

Originality/value

This study demonstrates a significant negative effect of environmental risk perception on the total well-being of people according to SEM approach. This study determines two independent paths for government and policy makers to increase the total well-being of people in China, namely, increasing socioeconomic value to people and controlling and reducing environmental threats.

Details

Chinese Management Studies, vol. 11 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/CMS-12-2016-0261
ISSN: 1750-614X

Keywords

  • Risk perception
  • Structural equation modelling
  • Environmental pollution
  • Socioeconomic development
  • Subjective total well-being

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Article
Publication date: 8 July 2019

Quantitative research in tourism and hospitality: an agenda for best-practice recommendations

A. George Assaf and Mike G. Tsionas

This paper aims to serve as an important guide for more rigorous quantitative research in tourism and hospitality.

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Abstract

Purpose

This paper aims to serve as an important guide for more rigorous quantitative research in tourism and hospitality.

Design/methodology/approach

This paper relies on comments from several methodological experts in the field, as well as the authors’ main observation of the literature.

Findings

This paper identifies ten important areas of concern. In each of these areas, the authors provide recommendations for best practices.

Research limitations/implications

There are certainly other issues and concerns that are not covered in this paper. However, the issues addressed can be applied or generalized to most methodological contexts.

Originality/value

This paper does not present results from original research but provides interesting and comprehensive recommendations for more rigorous quantitative research.

Details

International Journal of Contemporary Hospitality Management, vol. 31 no. 7
Type: Research Article
DOI: https://doi.org/10.1108/IJCHM-02-2019-0148
ISSN: 0959-6119

Keywords

  • Quantitative research
  • Tourism and hospitality
  • Best-practice recommendations

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Article
Publication date: 20 July 2010

The underlying social identities of a nation's brand

Richard Lee, Jane Klobas, Tito Tezinde and Jamie Murphy

The purpose of this paper is to draw on self‐categorisation theory and nation branding to investigate the social identities and influences which underpin consumer…

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Abstract

Purpose

The purpose of this paper is to draw on self‐categorisation theory and nation branding to investigate the social identities and influences which underpin consumer preferences for national brands.

Design/methodology/approach

A survey in Mozambique, an underdeveloped African country, compared a domestic mobile phone company whose brand contains the country name against a European brand. Consumer ethnocentrism might arise identifying with the national brand or with Mozambican personalities endorsing the brand. Value‐expressiveness might arise from consumers associating with celebrity endorsers. A dichotomy of youth versus older consumers moderated the relationships between social identities and brand preference. Bayesian structural equation modelling using Monte Carlo simulations estimated the path coefficients from a sample of 611.

Findings

Across age groups, ethnocentrism is stronger than value‐expressiveness in determining preference for national brands. Moreover, ethnocentrism is stronger with the older rather than younger consumers. Consumer ethnocentrism stemmed mainly from injunctive influence (IN) with both age groups. With older consumers, value‐expressiveness related significantly to descriptive influence, but not to IN. With youth, neither social influence significantly related to value‐expressiveness.

Research limitations/implications

Single‐item measures might be less effective than multi‐item measures for psychological concepts of social identities and influences.

Practical implications

Understanding the role of social identity in consumer preferences for national brands may help managers heighten consumers' social identities and increase their loyalty for national brands. Shedding light on under‐researched African consumers may help firms doing business in these emerging markets as well as African governments that are attempting to strengthen the perceptions of their nation brand.

Originality/value

This paper bridges research in social psychology and international marketing by investigating the social identities and influences that underpin consumer preferences for national brands.

Details

International Marketing Review, vol. 27 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/02651331011058608
ISSN: 0265-1335

Keywords

  • Brands
  • Country of origin
  • Consumer behaviour
  • Customer loyalty
  • Ethnocentrism
  • Mozambique

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Article
Publication date: 14 August 2017

Innovation performance of Italian manufacturing firms: The effect of internal and external knowledge sources

Fabio de Oliveira Paula and Jorge Ferreira da Silva

The purpose of this paper is to explain how internal and external sources of knowledge influence the innovation performance (IP) in Italian manufacturing firms and how…

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Abstract

Purpose

The purpose of this paper is to explain how internal and external sources of knowledge influence the innovation performance (IP) in Italian manufacturing firms and how different these relationships are for low-technology (LT) and high-technology (HT) firms.

Design/methodology/approach

The study proposed a model relating external knowledge, internal knowledge and IP that was tested using Bayesian structural equation modeling with a sample of Italian manufacturing firms of Community Innovation Survey 2010. It was run separately for high-tech firms (including HT and medium-HT aggregations of manufacturing industries of NACE Rev. 2) and low-tech firms (including LT and medium-LT aggregations).

Findings

The results showed a difference between high-tech and low-tech manufacturing firms in Italy. The investments to leverage internal knowledge sources are important for high-techs and not significant for low-techs. On the other hand, the level of external KS improves significantly the IP of low-techs and has a negative effect for high-techs. The level of absorptive capacity is central to improve the positive effect of the external knowledge on the IP for all firms, but it is still underdeveloped.

Originality/value

The effects of 2008 economic crisis hit the Italian manufacturing industry specifically hard and are still felt. Innovation is a solution for firms’ growth and Italy is considered a below-average innovator country in Europe. The study could identify important gaps in Italian manufacturing firms that hinder their innovative performance improvement.

Details

European Journal of Innovation Management, vol. 20 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/EJIM-12-2016-0119
ISSN: 1460-1060

Keywords

  • Innovation performance
  • Bayesian structural equation modelling
  • Italian manufacture industry
  • Knowledge sources

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Article
Publication date: 11 April 2016

The effect of demographic and personality characteristics on fashion shopping proneness: A study of the Indian market

Subhadip Roy, Raj Sethuraman and Rashmita Saran

The global fashion industry is growing at a rapid pace and developing nations such as India are emerging as major contributors to the same. In such case, most academics…

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Abstract

Purpose

The global fashion industry is growing at a rapid pace and developing nations such as India are emerging as major contributors to the same. In such case, most academics and marketers are interested in the variables that influence fashion shopping. The purpose of this paper is to investigate the influence of consumer demographic and personality characteristics on fashion shopping proneness (FSP) in India.

Design/methodology/approach

Data were collected from 561 respondents using mall intercept survey method. Hypothesized relationships were assessed using multiple regression and structural equation modelling.

Findings

Traditional view that younger and female consumers are more fashion prone than older and male consumers is validated. However, demographics accounted for only 9 per cent of the variance in FSP while personality characteristics accounted for 46 per cent. Being agreeable, extroverted, open minded, and stable are all positively associated with fashion shopping.

Research limitations/implications

The study finds both personality dimensions and consumer demographics to influence FSP. As a limitation, the authors do not probe deep into the why and how of the mentioned relationships between personality and fashion buying.

Practical implications

With respect to demographics, managers could target young females as the primary segment for fashion clothing but cannot ignore young males and older females. With respect to personality, managers can appeal to agreeable, extroverted, open-minded personalities by linking novelty, fun, relaxation, and recreation with fashion buying.

Originality/value

This is one of the first attempts that simultaneously investigates the effects of demographic and personality characteristics on fashion shopping behaviour in India.

Details

International Journal of Retail & Distribution Management, vol. 44 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/IJRDM-12-2014-0162
ISSN: 0959-0552

Keywords

  • India
  • Personality
  • Consumer demographics
  • Fashion shopping
  • Fashion shopping proneness

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Article
Publication date: 12 August 2014

What workers want: a global perspective

Milton Mayfield and Jacqueline Mayfield

The purpose of this study is to examine the changes in global worker preferences for job attributes and incentives at the national cultural level, knowledge that is key to…

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Abstract

Purpose

The purpose of this study is to examine the changes in global worker preferences for job attributes and incentives at the national cultural level, knowledge that is key to the architecture of effective human resource systems.

Design/methodology/approach

A Bayesian latent growth curve (LGC) model was used to test data from the World and European Values Surveys from the time periods 1981 to 2005.

Findings

Results (based on Bayesian LGC analysis) indicate that employee-related beliefs about what is attractive in a job do change considerably over time, with pay, then employment security having the highest priorities. Equally important, demand for good pay and a job that matches one’s abilities are the fastest growing global worker desires.

Originality/value

These findings of national culture’s active evolution in the workplace indicate a need for scholars, leaders in practice – especially human resource managers – to rethink our cultural conceptualizations for model building and global job design and reward systems.

Details

Competitiveness Review, vol. 24 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/CR-01-2013-0006
ISSN: 1059-5422

Keywords

  • Human resource management
  • National culture
  • World values survey
  • Bayesian statistics
  • Latent growth curve analysis
  • Worker culture

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