Why researchers should be cautious about using PLS-SEM

Abstract

A recent contribution to Industrial Marketing Management by Guenther, Guenther, Ringle, Zaefarian, and Cartwright (2023) aims at “[i]mproving PLS-SEM use.” It assumes that the use of PLS-SEM could be improved by more strictly following existing PLS-SEM guidelines and using advanced techniques. Unfortunately, such “improved” use of PLS-SEM does not necessarily translate into more rigorous scientific analyses. In this commentary, we show that the PLS-SEM guidelines themselves are problematic and that using PLS-SEM can lead to erroneous conclusions. It is, therefore, not so much the use of PLS-SEM that needs improvement, but the literature on PLS-SEM itself, particularly its guidelines. The commentary concludes with recommendations for analysts and questions for PLS-SEM proponents to stimulate further research on PLS-SEM.