3.2 Construct analysis
LISREL models are employed to identify the validity of the entire model (nomological
validity). Before estimating the nomological validity of the model, it is important to
evaluate the convergent validity and the discriminant validity of the constructs. Three
sub-constructs of C-C identification exist: identity membership, identity similarity, and
identity loyalty. Respondents are first asked to evaluate their feelings of membership
to the company they bought from. There are four indicators in the first construct.
A seven-point Likert-type scale from 1 (not at all) to 7 (very much) was used for these
indicators, and the respondents indicated their degree of identification with this
company. Secondly, respondents are also asked to assess their loyalty or support of the
company. The stronger motivation the consumers have to consume from this company,
the greater the consumer’s loyalty is, and the higher the possibility of C-C
identification. There are three seven-point indicators in this construct. Thirdly,
respondents are asked to assess their perceptions of shared characteristics or similarity
to the company they selected. There are four seven-point indicators in this construct.
Responses indicate the degree of consumer characteristics resemble this company.
This produced three average scores, indicating the degree of the three sub-constructs of
the C-C identification.
The antecedents of the C-C identification include identity distinctiveness, identity
prestige, and identity attractiveness. Identity distinctiveness means the company
stands out from its competitors. There are three indicators in this construct.
Identity prestige reflects the degree of class and quality from the perspective of the
consumer, and there are two indicators in this construct. Identity attractiveness
represents the degree the company interests consumers, and there are three indicators
in this construct.
The consequences of the C-C identification include customer recruitment and loyalty,
tolerance of defect, and consumer advice and complaints. Customer recruitment and
loyalty means that the customer will be loyal to the company they identify with and try
to persuade others to use this company. Tolerance of defect indicates the consumer will
forgive mistakes from or negative information about the company. Consumer advice
and complaints shows the customer feels they have a right to tell the company what it
should do. The construct of customer recruitment and loyalty has three indicators and
the other two constructs contain two indicators each. Seven-point Likert-type scales
from 1 (not at all) to 7 (very much) were used for all the above indicators for antecedents
and consequences of C-C identification.
Identity trustworthiness and identity embeddedness are measured with four
and three indicators, respectively. Identity trustworthiness indicators include
statements like “I don’t trust this company,” and identity embeddedness indictors
include statements like “My interactions with company X make me an important
player in the organization.” A seven-point Likert-type scale ranging from 1 (not at all)
to 7 (very much) was used for these indicators.