Using PLS Path Modeling for Assessing Hierarchical Construct Models: Guidelines and Empirical Illustration

In this paper, the authors show that PLS path modeling can be used to assess a hierarchical construct model.They provide guidelines outlining four key steps to construct a hier-1 Carol Saunders was the accepting senior editor for this paper.archical construct model using PLS path modeling.This approach is illustrated empirically using a reflective, fourthorder latent variable model of online experiential value in the context of online book and CD retailing.Moreover, the guidelines for the use of PLS path modeling to estimate parameters in a hierarchical construct model are extended beyond the scope of the empirical illustration.The findings of the empirical illustration are used to discuss the use of covariance-based SEM versus PLS path modeling.The authors conclude with the limitations of their study and suggestions for future research.