Page 136 - MARSIUM'21 COMP OF PAPER

CHAI JING MIN (2022)

The convergent and discriminant validity are used to evaluate the formative measurement model. The measurement of
convergent validity (CV) is based on the AVE of each component, he added. The average variance extracted (AVE) must be
more than 0.5, according to Barclay et al. (1995). The overall amount of variance captured by the indicators in relation to
measurement error is measured by AVE. While composite reliability (CR) is used to determine the latent construct indicators,
the result should be better than 0.7. According to the study findings as demonstrated in the Table 4.4, all components in the
loadings were greater than 0.5, whereas AVE, CR in range, and CV were acceptable.

Table 4.4: Construct Reliability and Validity
Cronbach's rho_A Composite Average Variance
Alpha Reliability Extracted (AVE)
brand association .780 .775 .767 .684

brand awareness .778 .732 .752 .700
brand loyalty .789 .729 .743 .671

consumer purchase .739 .768 .825 .692
intention

perceived quality .748 .755 .897 .707

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