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Chapter 17 STRUCTURAL EQUATION MODELING

1 Chapter 17 STRUCTURAL EQUATION MODELING1 Victoria Savalei, University of California, Los Angeles Peter M. Bentler, University of California, Los Angeles introduction STRUCTURAL EQUATION MODELING (SEM) is a tool for analyzing multivariate data that has been long known in marketing to be especially appropriate for theory testing ( , Bagozzi, 1980). STRUCTURAL EQUATION models go beyond ordinary regression models to incorporate multiple independent and dependent variables as well as hypothetical latent constructs that clusters of observed variables might represent. They also provide a way to test the specified set of relationships among observed and latent variables as a whole, and allow theory testing even when experiments are not possible.

Introduction Structural equation modeling (SEM) is a tool for analyzing multivariate data that has been long known in marketing to be especially appropriate for theory testing (e.g., Bagozzi, 1980).

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