Page 245 - MARSIUM'21 COMP OF PAPER

223 Geby Firstania Rolanda Rambe (2022)

I would stay with this brand
This brand brand really excites me

3.3.3. Section C: Purchase Intention

Purchase Intention:

1. I will prefer to purchase this brand over other cosmetic brand
2. I am willing to purchase this brand for my beauty purpose (Kim Et Al, 2013)
3. I will make an effort to purchase this brand

■ 4.0 DATA ANALYSIS PLAN

4.1 Outer Model

4.1.1 Convergent Validity
Convergent validity is concerned with establishing the validity of the relationship between variables and the constructed variables. A loading
factor limit of 0.70 will be employed in this study. Convergent validity refers to the fact that a collection of indicators represents a single
latent variable and that the hidden variable underpins the collection of indicators. This representation is exemplified by its unidimensionality,
which can be represented in terms of the extracted average variance (AVE). Convergent validity can be determined by examining the outer
loadings or loading factor, as well as the Average Variance Extracted (AVE). Typically, a loading factor limit of 0.70 is employed in research.
When the outer loadings are greater than 0.70 and the Average Variance Extracted (AVE) value is greater than 0.50, an indicator can be said
to have convergent validity and a high level of validity (Chin & Todd, 1995). For instance, each indicator in the research variable has an
outer loadings value greater than 0.70, indicating that all indicators possess convergent validity and a high value.

4.1.2 Discriminant Validity

Discriminant validity is a term that refers to the degree of disagreement between attributes that should not be evaluated by instruments and
theoretical conceptions about these variables. Discriminant The validity of the reflexive measurement model can be determined by the
manifest variable's cross loading value for each latent variable. If the correlation between the latent variable and each indicator (manifest
variable) is greater than the correlation between the latent variables, the latent variable is said to predict the indicator more accurately than
the other latent variables. Additionally, discriminant validity can be determined by comparing the value of the extracted square root of the
average variance (AVE). When the AVE value is greater than the correlation coefficient between latent variables, discriminant validity has
been established. Discriminant validity is said to be established when the AVE value is greater than besar dari 0,5.

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