Formative measurement model results for lower- and higher-order components
| Lower-order components (formative) and items | Outer loading | VIF |
|---|---|---|
| Compared to the old generation of the product, how would you evaluate the new generation of the product in terms of the following? | ||
| Product improvement | ||
| Product quality | 0.70 | 1.68 |
| Product design and style | 0.54 | 1.73 |
| Product features | 0.77 | 1.56 |
| Brand name | 0.79 | 1.17 |
| Price improvement | ||
| List price | 0.76 | 1.62 |
| Credit terms and conditions | 0.84 | 1.67 |
| Discounts and allowances policy | 0.68 | 1.52 |
| Profit margins | 0.80 | 1.54 |
| Distribution improvement | ||
| Length of distribution channels | 0.79 | 1.73 |
| Intensity of distribution | 0.84 | 2.07 |
| Control over distribution channels | 0.81 | 2.06 |
| Inventory management | 0.82 | 1.65 |
| Promotion improvement | ||
| Communication campaign/ support | 0.78 | 1.74 |
| Support from public relations | 0.79 | 2.48 |
| Communication budget | 0.83 | 1.83 |
| Advertising message | 0.85 | 1.89 |
| Higher-order components (formative) | ||
| MMI | ||
| Product improvement | 0.86 | 2.06 |
| Price improvement | 0.92 | 2.95 |
| Distribution improvement | 0.89 | 3.38 |
| Promotion improvement | 0.84 | 2.87 |
| Lower-order components (formative) and items | Outer loading | |
|---|---|---|
| Compared to the old generation of the product, how would you evaluate the new generation of the product in terms of the following? | ||
| Product quality | 0.70 | 1.68 |
| Product design and style | 0.54 | 1.73 |
| Product features | 0.77 | 1.56 |
| Brand name | 0.79 | 1.17 |
| List price | 0.76 | 1.62 |
| Credit terms and conditions | 0.84 | 1.67 |
| Discounts and allowances policy | 0.68 | 1.52 |
| Profit margins | 0.80 | 1.54 |
| Length of distribution channels | 0.79 | 1.73 |
| Intensity of distribution | 0.84 | 2.07 |
| Control over distribution channels | 0.81 | 2.06 |
| Inventory management | 0.82 | 1.65 |
| Communication campaign/ support | 0.78 | 1.74 |
| Support from public relations | 0.79 | 2.48 |
| Communication budget | 0.83 | 1.83 |
| Advertising message | 0.85 | 1.89 |
| Product improvement | 0.86 | 2.06 |
| Price improvement | 0.92 | 2.95 |
| Distribution improvement | 0.89 | 3.38 |
| Promotion improvement | 0.84 | 2.87 |