Manualizing Factor Analysis of Likert Scale Data
Nadeem Uz Zaman, Zainab Bibi, Sana Ur Rehman Sheikh, Abdul Raziq · Journal of Management Sciences · 2020
Despite the academic value of factor analysis (FA) on Likert scale data, its statistical legality has been relentlessly questioned by professional statisticians. This article reviews relevant literature and proposes a statistically appropriate method of getting most out of FA on Likert scale. The review shows that a larger sample size is an important consideration in improving the appropriateness of FA on LS as it improves the solution in terms of normality, communalities and loadings. Further, a 7-9 point or greater scale to account for normality, an alpha level of 0.01 or 0.005, polychoric correlation instead of Pearson's are