Application of Factor Analysis: To Study the Factor Structure Among Variables

J. P. Verma ()
Additional contact information
J. P. Verma: Lakshmibai National University of Physical Education, Research and Advanced Studies

Chapter Chapter 11 in Data Analysis in Management with SPSS Software, 2013, pp 359-387 from Springer

Abstract: Abstract Buying decision of an individual depends upon large number of product characteristics. But the market strategy cannot be developed on the basis of all those parameters of a product that affect the buying behavior of an individual. The factor analysis, a multivariate technique, comes to our rescue in solving such problems. The factor analysis technique reduces the large number of variables into few underlying factors to explain the variability of the group characteristics. The concept used in factor analysis technique is to investigate the relationship among the group of variables and segregate them in different factors on the basis of their relationship. Thus, each factor consists of those variables which are related among themselves and explain some portion of the group variability. For example, personality characteristics of an individual can be assessed by the large number of parameters. The factor analysis may group these variables into different factors where each factor measure some dimension of personality characteristics. Factors are so formed that the variables included in it are related with each other in some way. The significant factors are extracted to explain the maximum variability of the group under study.

Keywords: Factor Loading; Test Battery; Varimax Rotation; Group Characteristic; Scree Plot (search for similar items in EconPapers)
Date: 2013
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-81-322-0786-3_11

Ordering information: This item can be ordered from
http://www.springer.com/9788132207863

DOI: 10.1007/978-81-322-0786-3_11

Access Statistics for this chapter

More chapters in Springer Books from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().