ASSIGNMENT:

Confirmative Factor Analysis

Structured Equation Model
SUBMITTED TO:
Prof. Dr. Fayyaz Ahmad
SUBMITTED BY:
Muhammad Abubakar
18272720-020
COURSE:
Quantitative Techniques in Business

MBA 6th (Section-A)

UNIVERSITY OF GUJRAT
Faculty of Management & Administrative sciences
Hafiz Hayat Campus Gujrat.

Date 15-Jun-2021
Overview of Study
The problem considered for structural equation modelling analysis in the case study was to
determine the impact of working women on their children personality. In this study has five
main factors and 40 questions. There are factors like
1. Academic Achievement (AA)
2. Emotional Stability (ES)
3. Altruistic Behavior (BE)
4. Social Development (SD)
5. Children Affiliation (CA)
Total number of observations 400
Research variable are, Mothers’ status (Working or Non-working)

Graph

Graph shows comparison between working and non-working women children in five factors
In demographic view.
 Factor 1,4 and 5 of working women children show better results rather than non-working
women children results.
 Factor 2 of working women children show less results, non-working women children
show better results
 Factor 3 of working and non-working women children results are same
 Group Statistics
Std. Std.
Deviatio Error
Status N Mean n Mean
Factor working 185 21.1676 3.91750 .28802
1 non.workin
g 215 18.8279 3.77438 .25741
Factor working 185 30.9027 5.19837 .38219
2
non.workin
g 215 30.8698 5.46798 .37291
Factor working 185 26.9676 6.67483 .49074
3
non.workin
g 215 28.9581 6.28030 .42831
Factor working 185 30.8703 5.47072 .40222
4
non.workin
g 215 29.9256 5.08287 .34665
Factor working 185 20.6541 4.63204 .34055
5
non.workin
g 215 18.9395 3.47771 .23718

Independent Samples Test

Levene's Test for
Equality of Variances t-test for Equality of Means
95% Confidence
Interval of the
Mean Std. Error
Difference
Sig. (2- Differenc Differenc
  F Sig. t df tailed) e e Lower Upper
Factor Equal
1 variance
.112 .738 6.074 398 .000 2.33966 .38521 1.58237 3.09695
s
assumed
Factor Equal
2 variance
.332 .565 .061 398 .951 .03294 .53601 -1.02083 1.08671
s
assumed
Factor Equal
3 variance
.791 .374 -3.070 398 .002 -1.99057 .64839 -3.26528 -.71587
s
assumed
Factor Equal
4 variance
1.422 .234 1.789 398 .074 .94469 .52806 -.09345 1.98282
s
assumed
Factor Equal
5 variance
2.409 .121 4.219 398 .000 1.71452 .40639 .91558 2.51346
s
assumed
 Factor 1 (Academic Achievement)
Factor 1 show significant value 0.000 (fig 1.1), But Working women children more
academic achievement value 21.1676 rather than non-working women children value
18.8279 (fig 1.2).
 Factor 2 (Emotional Stability)
Factor 2 show insignificant value 0.951 (fig 1.1), Emotional Stability of both children
working or non-working women are same value, there is no difference
 Factor 3 (Altruistic Behavior)
Factor 3 are significant value 0.002 (fig 1.1), working women children has not good
behavior because there less altruistic behavior value 26.9676 rather than non-working
women children value 28.9581 (fig 1.2)
 Factor 4 (Social Development)
Factor 4 show insignificant value 0.074 (fig 1.1), Social Development of both children
working or non-working women are same value, there is no difference
 Factor 5 (Children Affiliation)
Factor 5 are significant value 0.000, Working women children more children affiliation
value 20.6541 rather than non-working women children value 18.9581 (fig 1.2).
 CFA Model

The Path Diagram for Structural Equation Modelling.

The above figure shows that the factor loadings of each variable. In the above diagram, the
value of the factors considered for deriving the value of Academic Achievement (AA),
Emotional Stability (ES), Altruistic Behavior (BE), Social Development (SD) and Children
Affiliation (CA) is considered.
  The loading of Academic Achievement i.e., Q1.1(.44), Q1.2(.58), Q1.3(.62), Q1.5(.52), is
greater than the absolute value of 0.40.
 The factor loading of Emotional Stability factors i.e., Q2.2(.55), Q2.3(.42), Q2.4(0.53),
Q2.5(0.56), Q2.6(0.45), Q2.8(0.50) is also greater than the absolute value of 0.40.
 The factor loading of Altruistic Behavior factor i.e., Q3.1(0.61), Q3,2(0.69), Q3.3(0.68),
Q3.4(0.69), Q3.5(0.66), Q3.6(0.399), Q3.8(0.43) is also greater than absolute value of
0.40.
 The factor loading of Social Development i.e., Q4.1(0.64), Q4.3(0.42), Q4.4(0.50),
Q4.5(0.60) is also greater than absolute value of 0.40.
 The factor loading of Children Affiliation i.e., Q5.1(0.42), Q5.2(0.64), Q5.3(0.62),
Q5.6(0.44) is also greater than absolute value of 0.40.
Thus, all the factors included in the model for determining the value of latent variables are
relevant. And all the factors are significant.

Model Fit Summary

Model Fit Measures
Cutoff Criteria*
Measu Estima Thresho Interpretat
re te ld ion Measure Terrible Acceptable Excellent
552.52
CMIN -- -- CMIN/D
1 >5 >3 >1
F
DF 265 -- -- The GFI <0.90 <0.95 >0.95
CMIN/ Between above
2.085 Excellent CFI <0.90 <0.95 >0.95
DF 1 and 3 table
shows the SRMR >0.10 >0.08 <0.08
GFI 0.902 >0.95 Acceptable RMSEA >0.08 >0.06 <0.06
model
Need More fitness. In PClose <0.01 <0.05 >0.05
CFI 0.858 >0.95 case of
DF
absolute fitness, the value of relative/normed Chi-
SRMR 0.058 <0.08 Excellent
Square (CMIN/Df), the goodness of fit (GFI) and
RMSE
A
0.052 <0.06 Excellent the root mean square error of approximation
(RMSEA) is satisfying the required criteria.
PClose 0.275 >0.05 Excellent
CMIN/Df value is 2.085 that is less than 5, GFI is
0.902 which is greater than 0.9 and RMSEA is
0.052 which is less than 0.10. Thus, the model for studying the impact of working women on
their children personality is adequately fit.

Comparative Fit Index (CFI) shows the incremental fitness of the model. CFI value is 0.858
are les then to 0.9, CFI value are acceptable but need to improve.

CFA Model Modifying

      Estimate S.E. C.R. P Label
 CA <--- BE -0.193 0.047 -4.127 *** par_22
ES <--- BE 0.585 0.082 7.098 *** par_21
ES <--- SD 0.305 0.068 4.494 *** par_24
CA <--- AA 0.36 0.115 3.129 0.002 par_23
SD <--- CA 0.875 0.176 4.964 *** par_25
AA <--- SD 0.328 0.091 3.604 *** par_26

Interpretation of the Results and Modifying the Model

Relevant hypotheses of the above model are as follows
Children Affiliation depended on Academic Achievement. Those students have good academic
achievement there are better behave other students. These relationships are strongly significant
(P value 0.002) and positive relationships in this model.
Social Development depended on Children Affiliation. Those students have good children
affiliation there are more active in social development. These relationships are positive
significant (P value 0.00)
Academic Achievement are depended on Social Development and these relationships are
positive significant.
Emotional Stability depended on Social Development and these relationships are positive
significant.
Children Affiliation depended on Behavior and these relationships are negatively significant.
Emotional Stability are depended on Behavior and these relationships are positive significant.
Model Fit Summary
Model Fit Measure
Measure Estimate Threshold Interpretation
CMIN 562.76 -- --
DF 269 -- --
CMIN/DF 2.092 Between 1 and 3 Excellent
GFI 900 >0.95 Acceptable
CFI 0.855 >0.95 Need More DF
SRMR 0.061 <0.08 Excellent
RMSEA 0.052 <0.06 Excellent
PClose 0.259 >0.05 Excellent

CFA Model Modifying Reverse

Regression Weights:
       Estimate S.E. C.R. P Label
SD <--- ES 0.19 0.077 2.479 0.013 par_25
BE <--- CA -0.64 0.128 -5.005 *** par_24
BE <--- ES 0.735 0.108 6.811 *** par_26
AA <--- CA 0.598 0.152 3.941 *** par_21
SD <--- AA 0.442 0.181 2.437 0.015 par_22
CA <--- SD 0.385 0.082 4.698 *** par_23

Interpretation of the Results and Reverse Modifying the Model

Relevant hypotheses of the above model are as follows
Academic Achievement depended on Children Affiliation. These relationships are strongly
significant and positive relationships in this model.
Social Development depended on Academic Achievement. These relationships are positive
significant.
Children Affiliation are depended on Social Development and these relationships are positive
significant.
Social Development on Emotional Stability and these relationships are positive significant.
Behavior depended on Children Affiliation and these relationships are negatively significant.
Behavior is depended on Emotional Stability and these relationships are positive significant.

Model Fit Summary

Model Fit Measure
Measure Estimate Threshold Interpretation
CMIN 557.329 -- --
DF 269 -- --
CMIN/DF 2.072 Between 1 and 3 Excellent
GFI 0.901 >0.95 Acceptable
CFI 0.858 >0.95 Need More DF
SRMR 0.059 <0.08 Excellent
RMSEA 0.052 <0.06 Excellent
PClose 0.303 >0.05 Excellent