Table 5.

Examples of future research areas

Research areaResearch question and potential areas to advance PLS-SEMReferences
Measurement-theoretic foundationsCan composites be assumed to have the same significance as factors in representing conceptual variables? How does metrological uncertainty contribute to this assessment? Under which conditions should composites or factors be preferred for measuring conceptual variables?Rhemtulla et al. (2020), Rigdon et al. (2019), Rigdon and Sarstedt (2022), Rigdon et al. (2020) 
Statistical assumptions of the standard PLS-SEM algorithmAssessing the impact of violating a method’s statistical assumptions (e.g., cross-loadings) on parameter bias and predictive performanceLohmöller (1989, Chap. 2)
Modeling capabilitiesExtending the modeling capabilities, for example by allowing for relationships of an indicator to multiple composites, setting model constraints, and implementing circular and bidirectional relationships. Further extensions include different forms of moderated mediation analyses and hierarchical component modelsLohmöller (1989, Chaps. 2 and 3), Sarstedt et al. (2019; 2020)
Big data analyticsHow can PLS-SEM support big data and machine learning research?Akter et al. (2017), Richter and Tudoran (2024) 
Model specification searchImprove the model specification search based, for instance, on Cohen’s path method to explore path directionality (Callaghan et al., 2007) and the fuzzy-set qualitative comparative analysis (fsQCA) in PLS-SEM (Rasoolimanesh et al., 2021). Thereby, research can benchmark their theoretically established model against model alternatives with, for example, the best predictive capabilitiesCho et al. (2022), Marcoulides and Drezner (2001), Marcoulides and Drezner (2003), Marcoulides et al. (1998) 
Model misspecification assessmentExtending the set of model evaluation criteria, for example to identify measurement model misspecificationsGudergan et al. (2008) 
Congruence assessmentIntroduce congruence assessment to examine whether constructs in the nomological network have proportional correlationsFranke et al. (2021) 
Striking a balance between explanation and predictionHow can explanatory and predictive goals be best accommodated in PLS-SEM-based modeling, especially when considering model selection? When considering out-of-sample prediction, should the focus be on predicting certain specific constructs or the overall model?Liengaard et al. (2021), Sharma et al. (2019; 2021)
Robustness checksRobustness checks of the estimated model, including common method bias, endogeneity, nonlinear relationships, impact of collinearity in formative measurement models, necessary condition analysis, and fuzzy-set qualitative comparative analysis in PLS-SEMChin et al. (2013), Hult et al. (2018), Rasoolimanesh et al. (2021), Richter et al. (2020) 
Latent class analysisImprove the validity of latent class techniques by including explanatory variables as covariates in the model estimation and by analyzing the heterogeneity of intercepts and unstandardized coefficientsBray et al. (2015), Sarstedt et al. (2022a, 2022b)
Longitudinal data analysisHow can researchers compare models across time in longitudinal analysis?Jung et al. (2012), Lohmöller (1989, Chap. 6), Roemer (2016) 
Multilevel modelingHow can PLS-SEM be used for multilevel modelling when we are analyzing data that are drawn from a number of different levels. For instance, levels such as a country’s gross domestic income and gender may be used for PLS path models on job satisfaction (Drabe et al., 2015), sustainable consumption behavior (Saari et al., 2021), and circular innovation (Saari et al., 2024)Hwang et al. (2007), Jung et al. (2015) 
Source: Authors’ own work

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