Imagine this, you (as a researcher) have been tasked by a large marketing company in your country to find the average income of all their customers to help them formulate new marketing strategies to enrich consumer preference and interests. The right way of doing this is to collect data on all their income and then […]
In exploratory factor analysis (EFA) , a scree plot is a plot of eigenvalues of factors arranged in descending order of magnitude from the left to the right side of the plot. The idea is to find out the number of factors that can be retained by identifying the point of inflexion (where the curve […]
The table below presents two different tests: the Kaiser-Meyer-Olkin (KMO) Measure of Sampling Adequacy and Bartlett’s test of Sphericity. KMO is a test conducted to examine the strength of the partial correlation (how the factors explain each other) between the variables. KMO values closer to 1.0 are consider ideal while values less than 0.5 are […]
