Results on the Standard Error of the Coefficient Alpha Index of Reliability

In this research, we investigate the behavior of Cronbach's coefficient alpha and its new standard error. We systematically analyze the effects of sample size, scale length, strength of item intercorrelations, and scale dimensionality. We demonstrate the beneficial effects of sample size on alpha's standard error and of scale length and the strengths of item intercorrelations (effects that are substitutes in their benefits) on both alpha and its standard error. Our findings also speak to this adage: Heterogeneity within the item covariance matrix (e.g., through multidimensionality or poor items) negatively impacts reliability by decreasing the precision of the estimation. We also examined the question of "equilibrium" scale length, showing the conditions for which it is optimal to add no items, or one, or multiple items to a scale. In terms of "best practices," we recommend that researchers report a confidence interval or standard error along with the coefficient alpha point estimate.

[1]  D. G. Morrison,et al.  Do We Really Need Multiple-Item Measures in Service Research? , 2001 .

[2]  Akshay R. Rao,et al.  Close Encounters of Two Kinds: False Alarms and Dashed Hopes , 2002 .

[3]  R. Peterson A Meta-analysis of Cronbach's Coefficient Alpha , 1994 .

[4]  Willem Verbeke,et al.  Moving in Social Circles – Social Circle Membership and Performance Implications , 2006 .

[5]  G. Duncan,et al.  Do the Right Thing: Diverging Effects of Accountability in a Managerial Context , 1999 .

[6]  Recall, Recognition and the Measurement of Memory for Print Advertisements: A Reassessment , 1992 .

[7]  Richard G. Netemeyer,et al.  Handbook of Marketing Scales , 1999 .

[8]  H. Neudecker,et al.  On the distribution of the maximum likelihood estimator of Cronbach's alpha , 2000 .

[9]  A R Hakstian,et al.  The Robustness of Confidence Intervals for Coefficient Alpha Under Violation of the Assumption of Essential Parallelism. , 1997, Multivariate behavioral research.

[10]  John R. Rossiter,et al.  The C-OAR-SE procedure for scale development in marketing , 2002 .

[11]  John G. Lynch,et al.  Wine Online: Search Costs Affect Competition on Price, Quality, and Distribution , 2000 .

[12]  Donna L. Hoffman,et al.  Measuring the Customer Experience in Online Environments: A Structural Modeling Approach , 2000 .

[13]  Eric T. Bradlow,et al.  The Variety of an Assortment , 1999 .

[14]  Richard G. Netemeyer,et al.  Handbook of Marketing Scales: Multi-Item Measures for Marketing and Consumer Behavior Research , 1993 .

[15]  Claudia González-Vallejo,et al.  Modeling the Effects of Advertised Price Claims: Tensile Versus Precise Claims? , 1999 .

[16]  Valerie J. Trifts,et al.  Consumer Decision Making in Online Shopping Environments: The Effects of Interactive Decision Aids , 2000 .

[17]  Akshay R. Rao,et al.  The Price of Launching a New Product: Empirical Evidence on Factors Affecting the Relative Magnitude of Slotting Allowances , 2003 .

[18]  M. F. Luce,et al.  Understanding High-Stakes Consumer Decisions: Mammography Adherence Following False-Alarm Test Results , 2003 .

[19]  Gordon C. Bruner,et al.  Marketing Scales Handbook: A Compilation of Multi-Item Measures , 1992 .

[20]  Susan Bardi Kleiser,et al.  Marketing research: A state-of-the-art review and directions for the twenty-first century , 1999 .

[21]  Jianmin Jia,et al.  What You Don'T Know About Customer-Perceived Quality: the Role of Customer Expectation Distributions , 1999 .

[22]  Dawn Iacobucci,et al.  FAC-SEM: A Methodology for Modeling Factorial Structural Equations Models, Applied to Cross-Cultural and Cross-Industry Drivers of Customer Evaluations , 2003 .

[23]  R. Rust,et al.  Reliability Measures for Qualitative Data: Theory and Implications , 1994 .

[24]  Amar Cheema,et al.  The Effect of Credit on Spending Decisions: The Role of the Credit Limit and Credibility , 2002 .

[25]  Roland T. Rust,et al.  Reliability and expected loss: A unifying principle , 1994 .

[26]  Jean-Noël Kapferer,et al.  The Underlying Structure of Brand Awareness Scores , 1995 .

[27]  L. Cronbach Coefficient alpha and the internal structure of tests , 1951 .

[28]  E. Ghiselli Theory of psychological measurement , 1964 .