2020
DOI: 10.1108/imds-11-2019-0638
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When predictors of outcomes are necessary: guidelines for the combined use of PLS-SEM and NCA

Abstract: PurposeThis research introduces the combined use of partial least squares–structural equation modeling (PLS-SEM) and necessary condition analysis (NCA) that enables researchers to explore and validate hypotheses following a sufficiency logic, as well as hypotheses drawing on a necessity logic. The authors’ objective is to encourage the practice of combining PLS-SEM and NCA as complementary views of causality and data analysis.Design/methodology/approachThe authors present guidelines describing how to combine P… Show more

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Cited by 266 publications
(246 citation statements)
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References 87 publications
(152 reference statements)
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“…SEM is an advanced level technique for data analysis to evaluate complex models, as is the case with the current research study. Further, SEM analysis is a co-variance-based analysis approach that is very popular among contemporary researchers [ 97 , 98 , 99 ], due to its advanced level features when compared to the conventional regression-based technique of data analysis. The authors in this connection performed SEM analysis in two stages.…”
Section: Resultsmentioning
confidence: 99%
“…SEM is an advanced level technique for data analysis to evaluate complex models, as is the case with the current research study. Further, SEM analysis is a co-variance-based analysis approach that is very popular among contemporary researchers [ 97 , 98 , 99 ], due to its advanced level features when compared to the conventional regression-based technique of data analysis. The authors in this connection performed SEM analysis in two stages.…”
Section: Resultsmentioning
confidence: 99%
“…PLS-SEM is complemented with a necessary condition analysis (NCA) (Dul 2016a) to gain further insights into the potential necessity of factors. To combine both approaches, we draw on the procedure recently suggested in the PLS literature and use latent variable scores as input for NCA (Richter et al 2020).…”
Section: Introductionmentioning
confidence: 99%
“…The model created in this way should certainly enable the simultaneous assessment of the direct or indirect effects of both necessary and sufficient conditions, that is, factors for sustainable investments, using the Partial Least Squares Structural Equation Modeling logic (PLS-SEM) [67][68][69]. Finally, the idea of the combined use of PLS-SEM and NCA as a tool, which should enable researchers to explore and validate hypotheses following a sufficiency logic, as well as hypotheses drawing on a necessity logic [70] would give a new contribution to the theory and practice of sustainable investments in recycling.…”
Section: Discussionmentioning
confidence: 99%