Partial least squares structural equation modeling (PLS SEM) An emerging tool in business research
Purpose The authors aim to present partial least squares (PLS) as an evolving approach to structural equation modeling (SEM) highlight its advantages and limitations and provide an overview of recent research on the method across various fields. Design/methodology/approach In this review article, the authors merge literatures from the marketing, management, and management information systems fields to present the state of the art of PLS SEM research. Furthermore, the authors meta analyze recent review studies to shed light on popular reasons for PLS SEM usage. Findings PLS SEM has experienced increasing dissemination in a variety of fields in recent years with nonnormal data, small sample sizes and the use of formative indicators being the most prominent reasons for its application. Recent methodological research has extended PLS SEM's methodological toolbox to accommodate more complex model structures or handle data inadequacies such as heterogeneity. Research limitations/implications While rese.