Effect_technology_disruption_organisational_health_competence_Chapter4_Part9.docx - 4.12.2 Measurement model of Competence Adequacy In total there were

Effect_technology_disruption_organisational_health_competence_Chapter4_Part9.docx

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4.12.2 Measurement model of Competence Adequacy In total, there were twenty-five items used to measure Competence Adequacy with Technological Competence (eight items), Marketing Competence (eight items) and Integrative Competence (9 items). An initial measure of latent constructs has been given in Figure 4.8. Competence adequacy is a second order reflective construct with three dimensions and 25 items. The three dimensions explain the measure of competence available in the firm in terms of technology, market and interative elements. Higher mean ratings of these items under the three dimensions will reflect higher order of Competence adequacy. A firm with adequate technology competence, market competence and integrative competence reflectively will have competence adequacy. The introductory CFA for Competence Adequacy demonstrated that the fitness indices did not reach up to the required level. The measures of ChiSq/df (5.415) and GFI (0.878) did not achieve the adequate level. As these two fitness measures did not achieve the level, point-by-point evaluation was performed to alter the model and make it more parsimonious. As a first step of re-specifying the model, an inspection of modification index values of the residual errors were checked (Schumacher & Lomax, 1996; Hair et al., 2006). The difference between the observed covariance and
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