Consumer Behavior Research Methods

Factor Analysis

Examples II - Interpreting the relationship between Variance and Covariance

 
What can we say about the variances?

  • Lot of variance in “s_cbrm”

  • Lot of variance in “s_cb”

How about the covariance?

  • Does knowing how satisfied someone is studying at TUM tells us something about how satisfied this person is with this course (or vice versa)?

  • Yes! So, the covariance is rather strong and positive --> So, the correlation positive

  • So, very roughly what could our covariance matrix S look like?

 

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