Skip to main content

Using Factor Analysis to Estimate Parameters

By February 15, 1969February 5th, 2019Marketing Research
Print Friendly, PDF & Email
Factor analysis has been traditionally utilized for three broad purposes:

  1. A data reduction technique which will hopefully simplify a multivariate situation to a smaller set of dimensions and enable the researcher to utilize data on a large number of variables
  2. As an indexing device in which overtly manifested data are transformed to provide the latent or unobservable trait of a phenomenon
  3. As a cluster technique which helps the researcher to classify a variety of observations into a small set of clusters which are also generally ordered.
Using Factor Analysis to Estimate Parameters

Leave a Reply