Representation of measurement error in marketing variables: Review of approaches and extension to three-facet designs

This paper explores approaches for modeling measurement error in marketing research, including random, method and measure specific sources of error. T he following approaches are considered: classic confirmatory factor analysi s, second-order models, panel models, additive trait-method models, correla ted uniqueness models, covariance components analysis, additive trait-metho d-measure specific-error models, and the direct product model, where traits and methods interact. Finally, a three-facet multiplicative model is addre ssed wherein latent variables underlying a phenomenon under investigation a re shown to interact with multiple methods and occasions of measurement. Th e three-facet model is illustrated on a study of consumer attitudes toward losing weight explicitly conducted for this paper. (C) 1999 Elsevier Scienc e S.A, All rights reserved.