Table 2 Convergent, discriminant and... | Emerald Publishing

Table 2

Convergent, discriminant and nomological validity

	CR	AVE	Operational efficiency	Channel inefficiency	Strategy and organisational culture
Operational efficiency	0.950	0.654	0.808
Channel inefficiency	0.942	0.643	0.693	0.802
Strategy and organisational culture	0.941	0.615	0.603	0.701	0.784

	CR	AVE	Operational efficiency	Channel inefficiency	Strategy and organisational culture
Operational efficiency	0.950	0.654	0.808
Channel inefficiency	0.942	0.643	0.693	0.802
Strategy and organisational culture	0.941	0.615	0.603	0.701	0.784

Nomological validity assessment
Model parameters	Profitability				Profitability
Model parameters	3-Factor model				2-Factor model
Independent variable	Standardised beta coef	Std. Error	Tolerance	VIF	Standardised beta coef	Std. Error	Tolerance	VIF
Main effects
Factor 1: Operational efficiency	−0.139*	0.045	0.541	1.849	−0.177**	0.040	0.683	1.463
Factor 2: Strategy and Organisational culture	−0.190**	0.050	0.522	1.914	−0.229***	0.044	0.664	1.506
Factor 3: Channel inefficiency	−0.092	0.051	0.446	2.244	N/A
Controls
Firm size	0.028	0.043	0.962	1.040	0.028	0.043	0.962	1.040
Constant		0.189				0.187
R²	0.137				0.133
Adjusted R²	0.128				0.127
Durbin-Watson	1.829				1.833
No. of surveyed firms	406

Nomological validity assessment
Model parameters	Profitability				Profitability
Model parameters	3-Factor model				2-Factor model
Independent variable	Standardised beta coef	Std. Error	Tolerance	VIF	Standardised beta coef	Std. Error	Tolerance	VIF
Main effects
Factor 1: Operational efficiency	−0.139*	0.045	0.541	1.849	−0.177**	0.040	0.683	1.463
Factor 2: Strategy and Organisational culture	−0.190**	0.050	0.522	1.914	−0.229***	0.044	0.664	1.506
Factor 3: Channel inefficiency	−0.092	0.051	0.446	2.244	N/A
Controls
Firm size	0.028	0.043	0.962	1.040	0.028	0.043	0.962	1.040
Constant		0.189				0.187
R²	0.137				0.133
Adjusted R²	0.128				0.127
Durbin-Watson	1.829				1.833
No. of surveyed firms	406

Note(s): *p < 0.05; **p < 0.01; ***p < 0.001

Source(s): Authors’ own work