Squares-structural Equation Modeling Research Articles

Industry clusters and firm performance: Evidence from the leather product industry in Addis Ababa

Industrial clustering is the co-location of firms in a geographic area, which can lead to numerous economic benefits such as joint resources and knowledge pooling, R&D collaboration, technology sharing, and joint marketing. This study aims to examine the influence of industrial clustering on the performance of firms in the leather and leather products industry in Addis Ababa. Moreover, this study aims to investigates whether innovation capacity and collaboration networks indirectly contribute to the relationship between clustering factors and firms' performance. In this study, both primary and secondary data were collected for analysis. Partial Least Squares Structural Equation Modeling was employed to explore the impact of clustering on performance in terms of innovation, job creation, attracting investment, export intensity, and productivity growth. This study found that a one-unit increase in cluster factors is associated with a 0.43-unit increase in firm performance. The mediation analysis revealed that collaboration networks mediate the relationship between cluster factors and firm performance by 0.21 and innovation capacity mediates the relationship between cluster factors and firm performance by 0.15 units. The findings indicate that industrial clusters strongly influence firm performance within the leather industry in Addis Ababa. Therefore, the results suggest that innovation capacity and collaboration networks are mechanisms through which industrial clusters affect firm performance. Future researchers should explore the cluster effect in other industrial sectors and regions to validate the research findings.

Driving Success in the Digital Age: The Role of Emotional Intelligence, Innovation, and Risk-Taking in Culinary MSMEs in South Banjarmasin District, Indonesia

The rapid growth of digital platforms has transformed the business landscape, presenting both challenges and opportunities for micro, small, and medium enterprises (MSMEs), particularly in the culinary sector. This study investigates the critical factors that drive business success in this dynamic digital age, focusing on the role of emotional intelligence, product innovation, and risk-taking propensity among culinary MSMEs in the South Banjarmasin District, Indonesia. Utilizing a quantitative approach, data were gathered from 40 culinary MSME owners or managers through a structured questionnaire. The research model, grounded in established theoretical frameworks, was tested using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings reveal that while emotional intelligence and product innovation exhibit a positive association with business success, their direct impact was not statistically significant in this specific context. In contrast, risk-taking propensity emerged as a powerful predictor of business success, underscoring the importance of calculated risk-taking in navigating the complexities of the digital marketplace. This research contributes valuable insights into the entrepreneurial dynamics of digital-based culinary MSMEs. It highlights the critical role of risk-taking propensity in achieving success, suggesting that a willingness to embrace calculated risks is essential for thriving in the competitive digital landscape. The study also underscores the need for further research to explore the nuanced interplay of emotional intelligence, product innovation, and other factors in driving business success in this sector.

Who’s the Winner? A Comparative Study of Like, Comment and Share Functions in Consumers’ Purchase Intention between Facebook and Instagram

In the past few years, there has been a significant focus on investigating the impact of social media engagement. Although previous studies recognize the importance of social media engagement, there is still a lack of in-depth analysis regarding the specific influences of likes, comments, and shares on consumer behaviour, especially concerning how these engagements affect different platforms. This study aims to examine the relationship between social media engagement metrics (likes, comments, and shares) and consumer purchase intention on two prominent platforms, Facebook and Instagram. By adopting a cross-sectional design, this study employed purposive sampling to gather data from Malaysian university students who have engaged in purchasing activities on social media platforms such as Facebook and Instagram. The analysis was conducted using Partial Least Squares Structural Equation Modeling (PLS-SEM) based on 265 completed responses, comprising 131 from Facebook users and 134 from Instagram users. The results reveal a significant positive relationship between likes and shares with consumer purchase intention on both Facebook and Instagram. However, comments were not found to be associated with consumer purchase intention on either platform. Furthermore, the study conducted a comparative analysis between Facebook and Instagram and found no significant differences in the relationships between engagement metrics and purchase intention. These findings have practical implications for marketers, emphasizing the importance of fostering engagement through likes and shares to drive consumer purchasing behaviour on social media platforms.

Assessing and explaining rising global carbon sink capacity in karst ecosystems

Global karst vegetation is crucial for carbon sequestration and biodiversity conservation. However, research on the carbon sink capacity of vegetation and its potential driving mechanisms across different geographic types of global karst remains scant. This research delineates the trend characteristics and differences of net primary productivity (NPP), heterotrophic respiration (Rh), and net ecosystem productivity (NEP) across various bedrock and climatic zones within global karst landscapes. Extreme Gradient Boosting (XGBoost), Shapley Additive Explanations (SHAP), Neural Network fitting, and Partial Least Squares Structural Equation Modeling were utilized to investigate the nonlinear impacts and underlying mechanisms exerted by the explanatory variables on NPP, Rh, and NEP. The findings indicate that from 1981 to 2019, the rates of increase in NPP (2.02 gC·m⁻2 yr⁻1), Rh (1.47 gC·m⁻2 yr⁻1), and NEP (0.54 gC·m⁻2 yr⁻1) were marginally higher in global karst regions compared to non-karst areas. Additionally, when contrasted with various bedrock types, the differences in mean values and trends of these three indicators were more pronounced across different climatic zones of karst areas. XGBoost effectively captures the nonlinear relationship between NEP and its explanatory variables, while SHAP provides a detailed explanation of the contribution and interaction of these variables. The leaf area index (LAI) was the major contributor to NEP. Additionally, the nonlinear effects of individual critical drivers on NEP varied across different aridity gradients. The cascade effect of explanatory variables on NEP follows a pathway where geography affects climate, climate change subsequently alters vegetation characteristics, and these changes in vegetation directly drive NPP and Rh, ultimately leading to an indirect impact on NEP. This impact pathway exhibits minimal difference across different bedrock and climate types. This study enhances our comprehension of the role of vegetation carbon sinks and their underlying mechanisms across various bedrock and climate types in global karst regions.

Digital Organizational Culture, Organizational Readiness, and Knowledge Acquisition Affecting Digital Transformation in SMEs from Food Manufacturing Sector

Small and medium-sized enterprises (SMEs) operating in Thailand’s food manufacturing sector face increasing pressure to embrace digital transformation. This study explores the critical factors influencing digital transformation in SMEs, focusing on digital organizational culture, knowledge acquisition, and organizational readiness. Drawing upon the Technology–Organization–Environment (TOE) framework, we investigate the relationships between digital organizational culture, knowledge acquisition, organizational readiness, and digital transformation. Data were collected from 198 food manufacturing SMEs using purposive sampling and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). Our findings underscore the pivotal role of digital organizational culture and knowledge acquisition in facilitating digital transformation within Thai SMEs. We also reveal that organizational readiness acts as a full mediator, significantly impacting the success of digital transformation initiatives. Practically, this study highlights the importance of fostering a robust digital organizational culture through collaborative efforts and advocating for knowledge exchange from external sources. Additionally, it emphasizes the need for SMEs to allocate resources and prioritize readiness for change to ensure seamless digital transformation. Theoretically, our research contributes to a deeper understanding of the digital transformation journey within the context of SMEs in the food manufacturing industry. By aligning with the TOE framework, we provide valuable insights tailored to SMEs, offering guidance for navigating the complexities of digital transformation in today’s rapidly evolving business landscape.

The impact of electronic marketing on the purchase behavior of Saudi consumers: An empirical study

This study aimed to investigate how e-marketing and its various aspects affect the buying habits of Saudi consumers in the service industry in the Al-Jouf region. The researchers used the Partial Least Squares Structural Equation Modeling (PLS-SEM) method to analyze the model after collecting data from the service sector in the Al-Jouf region. The statistical results showed a significant correlation between marketing activities and the purchasing behavior of Saudi consumers, consistent with previous studies. Additionally, the study found a statistically significant relationship between individual factors and the purchasing behavior of Saudi consumers, also in line with previous research. Finally, the study demonstrated a statistically significant link between tangible elements and the purchasing behavior of Saudi consumers. This study offers several important insights that will be valuable for future researchers looking to improve this area of study.

The Performance Implications of Management Control Systems and Dynamic Capabilities: Evidence from Vietnam

Drawing on the resource-based view and dynamic-capability view, this study examines the relationship between the interactive use of management control systems, dynamic capabilities, and firm performance in the Vietnamese information and communication technology industry. The research model and hypotheses have been tested by partial least squares-structural equation modelling (PLS-SEM) with 240 survey samples obtained from managers working in Vietnamese information and communication technology firms. The results indicate that the interactive use of management control systems has a positive effect on dynamic capabilities. Additionally, both the interactive use of management control systems and dynamic capabilities have direct positive effects on firm performance. The results reveal that dynamic capabilities complementary mediate the relationships between the interactive use of management control systems and firm performance. This study provides theoretical and managerial implications for Vietnamese information and communication technology firms that are striving to develop management control systems and dynamic capabilities for enhancing firm performance.

Spatiotemporal characteristics and socio-ecological drivers of ecosystem service interactions in the Dongting Lake Ecological Economic Zone

Uncovering the spatiotemporal characteristics of ecosystem services and their complex interactions is a prerequisite for managing multiple simultaneously. However, the prior research has predominantly overlooked cultural service objects and neglected the indirect socio-ecological impact pathways on ecosystem services. To delve into the dynamics and developmental trends of ecosystem alterations prior to and following the inception of an Eco-Economic Zone, this study quantitatively assessed four pivotal ecosystem services within the Dongting Lake Ecological Economic Zone spanning from 2000 to 2020. These services encompassed:crop production(CP), carbon sequestration(CS), habitat quality(HQ), and forest recreation (RS). The trade-offs and synergies between them were explored, and the driving mechanism of ecosystem services was explained based on the partial least squares-structural equation model (PLS-SEM). The results revealed that: (1) during the study timeframe, the crop production witnessed a pronounced upward trajectory, whereas the carbon sequestration, habitat quality and forest recreation remained relatively stable. Notably, the low habitat quality area (HQ ≤ 0.3) has been expanding, with a growth rate of 29.4 %; (2) the most trade-offs were observed between crop production and other ecosystem services, among which the trade-off effect between crop production and habitat quality was the strongest, with the highest average proportion of trade-off area, reaching 57.8 %. Among the six ecosystem service pairs, two are in a state of deterioration: the crop production and forest recreation, the carbon sequestration and habitat quality; (3)topographic factors were identified as the primary drivers of crop production, carbon sequestration, and habitat quality, whereas forest recreation was chiefly influenced by landscape configuration factors. Land use intensity and landscape configuration played crucial intermediary roles, with socio-economic elements adversely impacting all four ecosystem services directly, yet significantly contributed to the crop production and carbon sequestration through Suppression Effects. The research endorses the combined utilization of lake area land to improve human welfare, based on the principle of protecting the primary services of various functional sub-regions.

Examining the effect of ChatGPT usage on students’ academic learning and achievement: A survey-based study in Ajman, UAE

This research examines the use of ChatGPT among university-level students in the United Arab Emirates (UAE) and its effects on their learning experiences. The precise focus remains on the effects of ChatGPT usage on Student Engagement, Critical Thinking Abilities, and Academic Achievement. Using the cross-sectional design, the Constructivism Learning Theory supports this research. Data gathered using 353 structured questionnaires is analyzed using Partial Least Square-Structural Equation Modelling (PLS-SEM). Results showed that ChatGPT usage positively affects student engagement in the learning process. The effect of ChatGPT usage on Critical Thinking Abilities also remained significant. Finally, the findings indicated the positive effect of ChatGPT usage on the Academic Achievement of Emirati students. These results imply a robust, positive, and constructive role of AI technology, particularly ChatGPT, in the education and learning journey of university students in the UAE. It is concluded that ChatGPT is a useful tool that helps students by providing resources and suggestions throughout their learning process. It increases engagement, effort, and ambition in academic tasks, enhancing academic achievement. ChatGPT supports educational progress and motivates students to obtain knowledge by improving their interest in learning. Finally, the study's implications and limitations are discussed. Also, recommendations for future studies are proposed.

Unveiling the link between test anxiety, online engagement, and academic achievement: insights from LMS interaction data

ABSTRACT There is a growing body of literature that recognizes the importance of test anxiety in learning contexts. However, currently little is known about test anxiety experienced in online assessment and its role in online learning efforts and outcomes based on insights from Learning Management Systems (LMS) interaction data. This study investigated the mediating role of test anxiety in the relationship between behavioral engagement and academic achievement. To test the research model, the study data were analyzed using the Partial Least Squares Structural Equation Modelling approach. The analyses drew on data from 2994 online distance learners. Behavioral engagement of students was derived from learning analytics indicators based on LMS interaction data. Our results showed that test anxiety reduces the positive effect of online behavioral engagement on academic achievement. This study provides valuable insights for educators, students, and test designers in understanding the dynamics between online test anxiety, behavioral engagement and academic achievement and developing effective strategies for online learning. This analysis highlights the importance of understanding the interplay between these factors for educators, students, and test designers to develop effective online learning strategies.

Brand Equity in Pakistan’s FMCG Sector: The Influence of Employee Engagement, Brand Orientation, CSR, and Organizational Culture

This study explores the relationships between employee engagement, brand orientation, and corporate social responsibility (CSR) initiatives in enhancing brand equity in Pakistan's fast-moving consumer goods (FMCG) sector, using organizational culture as a moderator. Grounded in the Resource-Based View (RBV), this research highlights how internal organizational resources can provide sustainable competitive advantages through brand equity. A structured questionnaire was distributed to employees within FMCG firms, and data was analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results demonstrate that employee engagement, brand orientation, and CSR initiatives positively influence brand equity. Additionally, organizational culture significantly moderates the relationship between brand orientation and brand equity, while its moderating impact on employee engagement and CSR initiatives is less pronounced. The study offers valuable theoretical contributions by integrating internal factors within the RBV framework and practical insights for FMCG managers aiming to enhance brand equity. Limitations include the cross-sectional nature of the study and sector-specific focus. Future research should consider longitudinal approaches and explore additional moderating variables across different markets.

Responsible Environmental Management: Sustainable Strategy Models for the Future

The aim of this study is to explore the relationship between responsible en- vironmental management and business performance, emphasizing sustainable strategy models that enhance both environmental sustainability and profitability in modern organizations. Using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS, data were collected from 150 medium to large organizations across multiple industries, including manufacturing, retail, and energy sectors, all of which have implemented formal environmental man- agement initiatives. The findings reveal a statistically significant positive impact of responsible environmental management on both environmental sustainability (β = 0.72, p < 0.01) and business performance (β = 0.65, p < 0.01). Addi- tionally, environmental sustainability was found to positively influence business performance (β = 0.54, p < 0.01). These results validate the relevance of models such as the Triple Bottom Line and Circular Economy, providing action- able insights for companies aiming to enhance competitiveness while achieving sustainability goals. This study highlights the practical implications for busi- ness leaders and policymakers, particularly in fostering sustainable practices that align with both regulatory demands and long-term profitability. Future research is recommended to explore the longitudinal impacts of these strategies across different sectors and regulatory environments.

Effects of External Adoption of E-Procurement on Financial Performance in Pakistan’s Manufacturing Sector

Purpose: This study examines the effects of external adoption of E-procurement on firms’ performance Design/Methodology/Approach: collected data from supply chain professionals in the manufacturing companies, the study employs a mixed-methods approach using both self-administered and online surveys. A questionnaire used for data collection, and Partial Least Squares Structural Equation Modeling (PLS-SEM) was employed for data analysis through SmartPLS 3.2.9. Findings: The results reveal that while external adoption of e-procurement negatively influences financial performance, however it positively impacts information transparency and supply chain integration. Financial performance is not directly increased by Information transparency, though it fosters supply chain integration. Supply chain integration, in turn, positively contributes to financial performance. Moreover, when mediated with supply chain integration external adoption of e-procurement increases financial performance. Furthermore, a sequential mediation effect is observed, where both information transparency and supply chain integration mediate between e-procurement adoption and financial performance. Implications/Originality/Value: These results offer significant theoretical and practical implications for enhancing supply chain strategies in emerging markets. The study concludes by providing recommendations for future research directions, particularly about digital procurement systems.

ANALYSING FACTORS INFLUENCING TECHNOLOGY ADOPTION BY UNORGANIZED RETAILERS USING UTAUT 2 FRAMEWORK

The swift progress of technology has greatly altered the worldwide retail environment, but its implementation among loosely organised retailers, especially in developing markets such as India, has not been thoroughly investigated. This paper examines the determinants of technology adoption among unorganised merchants in Kolkata using the Unified Theory of Acceptance and Use of Technology 2 (UTAUT 2) paradigm. The main objective of the study is to examine the influence of Perceived Value (PV) and Perceived Ease of Use (PEU) on the implementation of technology in this industry. The study employed a quantitative empirical approach, gathering data from 698 participants using standardised questionnaires. The data underwent analysis using Partial Least Squares Structural Equation Modelling (PLS-SEM) and the Tukey HSD Post Hoc Test statistical tests. The results demonstrate that both perceived value (PV) and perceived ease of use (PEU) have a substantial impact on the adoption of technology. Specifically, higher-income groups tend to see more value and ease in utilising technology. The findings offer important perspectives for policymakers, technology suppliers, and retail groups to formulate focused approaches that promote the digitisation of unorganised retail, ultimately improving operational effectiveness and competitiveness. The present study enhances the overall comprehension of digital inclusion within the retail sector and its capacity to stimulate economic development.

THE IMPACT OF PERSONAL INNOVATIVENESS ON THE BEHAVIORAL INTENTION TO USING TOURISM MOBILE APPLICATIONS OF GENERATION Z IN HO CHI MINH CITY, VIETNAM

The advancement of technology has significantly transformed various activities in human life, including tourism. Mobile technology, especially mobile applications, has become an integral part of users’ travel experiences. Generation Z, with their natural and proficient access to technology, has become one of the primary user groups of mobile applications in the tourism industry. Recognizing the lack of research on the intention to use mobile applications in tourism, particularly of Generation Z in Vietnam, a generation expected to reshape the tourism industry in the future, this study aims to investigate how personal innovativeness influences the intention to use mobile applications in tourism among Generation Z and mediation of attitudes. To test the proposed hypotheses, the study conducted an online survey using Google Forms targeting Generation Z individuals living and working in Ho Chi Minh City, Vietnam. A total of 318 participants took part in the survey. The collected data were analyzed using the Partial Least Squares Structural Equation Modeling (PLS-SEM) method. Based on the research findings, the study proposed potential solutions for mobile application development businesses, destination management organizations, tourism businesses to enhance the intention to use mobile applications in tourism among Generation Z in Ho Chi Minh City and Vietnam as a whole.

Analisis Pengaruh Budaya Organisasi dan Keadilan Organisasi Terhadap Organizational Citizenship Behavior (OCB) Dengan Komitmen Organisasional Sebagai Variabel Intervening

This study aims to determine the Analysis of the Influence of Organizational Culture and Organizational Justice on Organizational Citizenship Behavior (OCB) with Organizational Commitment as an Intervening Variable. (Study on Employees of the Mataram City Health Office). This study used primary and secondary data obtained through the distribution of questionnaires to respondents who were employees of the Mataram City Health Office. The population in this study is 76 employees of the Mataram City Health Office. This research is a quantitative research. The analysis method uses Partial Least Squares Structural Equation Modeling (PLS-SEM) using the SmartPLS v.4.0 tool. The results of the study show that Organizational Culture has a significant positive effect on Organizational Citizenship Behavior (OCB), Organizational Justice has a positive and significant effect on Organizational Citizenship Behavior (OCB), Organizational Culture has a positive and significant effect on Organizational Commitment, Organizational Justice has a positive and significant effect on Organizational Commitment, Organizational Commitment has a positive and significant effect on Organizational Citizenship Behavior (OCB), Organizational Culture has a positive and significant effect on Organizational Commitment through Organizational Citizenship Behavior (OCB), Organizational Justice has a positive and significant effect on Organizational Commitment through Organizational Citizenship Behavior (OCB).

Modeling the Relationship Between Employee Conflict, Work Stress, and Turnover Intention in the Food-Service Industry

The fast-paced and demanding food service industry faces challenges like employee conflict, workplace stress, and high turnover intentions, which impact both employee well-being and business performance. This study examines the causal relationships among employee conflict, work stress, and turnover intention using Partial Least Squares Structural Equation Modeling (PLS-SEM). A sample of 237 food service restaurant workers from Pampanga, Philippines, was selected via purposive sampling. Data were collected using a survey instrument with rating scales. The study evaluated the model’s fit, internal reliability, and construct validity using confirmatory factor analysis. Path analysis revealed a moderate fit of the model to the data, indicating acceptable reliability and validity. Findings showed a direct positive effect of employee conflict on turnover intention, with work stress having an indirect influence. Recommendations include the following: implementing conflict resolution and stress management programs, improving communication, offering flexible work hours, task management, employee assistance programs, rewards, and career advancement opportunities. Due to geographical limitations, future studies should also employ qualitative or mixed methods and longitudinal designs to examine these effects over time.

Personal Characteristics of Youths and Their Influences on Sexual Health Information Seeking

The primary aim of this research is to examine how youths in the Klang Valley utilize social media to seek information about sexual health issues, particularly premarital heterosexuality. By investigating this relatively unexplored area, the study aims to address a gap in the existing literature concerning the use of social media as a technology to seek sexual health information among youths in the Klang Valley. A survey technique was employed to collect data from youths aged between 18 and 24 years old who knew about sexual health issues caused by premarital heterosexuality. Three hundred eighty-four usable responses were received and analyzed using appropriate statistical procedures. The Partial Least Squares Structural Equation Modeling (SmartPLS 4.0) technique was used to test the research model. The study confirmed that user personal characteristics, which were problem recognition and involvement, enabled youths in the Klang Valley to seek sexual health information through social media. The empirical results of this study also led to several significant findings. The findings indicated that user personal characteristics directly influenced the use of social media for sexual health information. The platform's usefulness and abundance of sexual health information aided youths in the management of sexual health issues. Overall, social media plays an essential role as a platform for youths to seek sexual health information in Malaysia. Keywords: Premarital heterosexuality, youth, social media, Technology Acceptance Model, information-seeking.

Analisis Pengaruh Kualitas Layanan terhadap Kepuasan Pelanggan dan Loyalitas Pelanggan E-Commerce Shopee

This study explores the impact of service quality on customer satisfaction and loyalty on the Shopee e-commerce platform, using Means-End Chain Theory (MEC) as the theoretical foundation. The research employs a quantitative method, with primary data collected through an online questionnaire. Conducted in Yogyakarta, the study involves 260 respondents selected using purposive sampling, targeting users of the Shopee app or website. The data is analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The study measures five dimensions of service quality: efficiency, fulfillment, privacy & security, responsiveness, and accessibility. The results show that efficiency, accessibility, privacy & security, and responsiveness have a positive and significant impact on customer satisfaction. In contrast, fulfillment does not significantly affect satisfaction. For customer loyalty, efficiency and responsiveness have a significant impact, while accessibility, privacy & security, and fulfillment do not. These findings provide valuable insights for Shopee to enhance specific aspects of service quality to improve customer satisfaction and loyalty.

The Impact of Financial Literacy on Investment Decisions: The Moderating Role of Financial Technology

This study investigates the impact of financial literacy on investment decisions and explores the moderating role of financial technology (Fintech). Conducted among small and medium-sized enterprises (SMEs) in Bali Province, Indonesia, the research seeks to understand how financial literacy influences investment choices and how Fintech enhances this relationship. A quantitative approach was used, involving the distribution of questionnaires to 100 SME owners who received business legality through decentralization funds. The data, collected via primary sources and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) 4.0, included measures of financial literacy, investment decisions, and Fintech usage. The findings reveal that higher financial literacy positively impacts investment decisions, with SMEs demonstrating better investment management and decision-making capabilities. Additionally, Fintech was found to strengthen this relationship by providing real-time data and advanced analytical tools that enhance investment decisions for those with strong financial literacy. However, the benefits of Fintech were more significant for individuals with higher financial knowledge, indicating that technology alone cannot replace the need for financial education. This study underscores the importance of integrating financial literacy with technological tools to improve investment outcomes and suggests that future research should explore diverse geographic contexts and longitudinal studies to better understand the evolving dynamics between financial literacy, Fintech, and investment decisions