Question:3

GET
FILE='C:\Program Files\SPSS\tv-survey.sav'.
DATASET NAME DataSet1 WINDOW=FRONT.
FACTOR
/VARIABLES cost size alcohol reputat color aroma taste /MISSING LISTWISE
/ANALYSIS cost size alcohol reputat color aroma taste
/PRINT INITIAL CORRELATION DET KMO REPR EXTRACTION ROTATION
/FORMAT BLANK(.10)
/PLOT EIGEN
/CRITERIA MINEIGEN(1) ITERATE(25)
/EXTRACTION PC
/CRITERIA ITERATE(25)
/ROTATION VARIMAX
/METHOD=CORRELATION .
Descriptive Statistics
Mean
47.60
48.67

Std. Deviation
38.003
36.374

Analysis N
15
15

alcohol

47.27

32.938

15

reputat

48.67

27.351

15

color

56.33

20.656

15

aroma

49.67

22.636

15

taste

69.00

22.136

15

cost
size

Factor Analysis
Comments:
A correlation matrix is rectangular array of nos. Which gives the correlation coefficients
between a single variable and every other variable in investigation. The correlation
coefficient between a variable and itself is always 1.
Correlation Matrix(a)

Correlation

cost
1.000
.851

size
.851
1.000

alcohol
.760
.946

reputat
-.542
-.551

color
.402
.426

aroma
.205
.203

taste
.214
.251

alcohol

.760

.946

1.000

-.637

.502

.327

.363

reputat

cost
size

-.542

-.551

-.637

1.000

-.408

-.503

-.401

color

.402

.426

.502

-.408

1.000

.830

.937

aroma

.205

.203

.327

-.503

.830

1.000

.883

taste

.214

.251

.363

-.401

.937

.883

1.000

a Determinant = .000

KMO measure is 0.708. from the same table we can see that the Barletts tes tof
spheircity is significant. Value is nearly 0. This means corrlatin matrix is not identity
matrix.
Ho: r=I (hypothesis)
KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling
Adequacy.
Bartlett's Test of
Sphericity

Approx. Chi-Square
df

.708
97.399
21

Sig.

.000

Comments:
Over 90% of variance in:
Size, alcohol, color, aroma and taste
Least is reputat at 57.1%
Communalities
Initial
1.000
1.000

Extraction
.827
.938

alcohol

1.000

.905

reputat

1.000

.571

color

1.000

.908

aroma

1.000

.910

cost
size

taste

1.000
.954
Extraction Method: Principal Component Analysis.
Comments:
First factor accounts for 59.94%of variance, the second 25.97% the third 7.94% (least significant all remaining
are not significant.
Total Variance Explained
Extraction Sums of Squared
Initial Eigenvalues
Loadings
Compon
% of
Cumulativ
% of
Cumulativ
ent
Total
Variance
e%
Total
Variance
e%
1
4.196
59.946
59.946
4.196
59.946
59.946
2
1.818
25.971
85.917
1.818
25.971
85.917
3
.556
7.943
93.860
4
.251
3.581
97.441
5
.115
1.639
99.080
6
.036
.514
99.595
7
.028
.405
100.000
Extraction Method: Principal Component Analysis.

Comments:

Rotation Sums of Squared

Loadings
% of
Cumulativ
Total
Variance
e%
3.148
44.967
44.967
2.867
40.951
85.917

In scree plot the point fo interest is where the curve starts flatten. It can be seen
that the curve begins to flatten between 3 and 4. Eigen value for third one 0.556
( is less than 1) so only two factor are retained

The gap on the table represents the loading. Wesuppressed all loading less than 0.1 to be more precise.
( this can be done by supressing 0.5 also)
Component Matrix(a)
Component
1
cost
size

.737
.790

2
-.532
-.561

alcohol

.846

-.436

reputat

-.742

.143

color

.830

.467

aroma

.722

.624

taste

.743
.634
Extraction Method: Principal Component Analysis.
a 2 components extracted.
Reproduced Correlations

Reproduced
Correlation

Residual(a)

cost
.827(b)
.881

size
.881
.938(b)

alcohol
.855
.912

reputat
-.623
-.666

color
.364
.394

aroma
.200
.220

taste
.211
.231

alcohol

.855

.912

.905(b)

-.690

.499

.338

.352

reputat

cost
size

-.623

-.666

-.690

.571(b)

-.550

-.446

-.461

color

.364

.394

.499

-.550

.908(b)

.891

.914

aroma

.200

.220

.338

-.446

.891

.910(b)

.932

taste

.211

.231

.352

-.461

.914

.932

.954(b)

-.030

-.096

.081

.038

.004

.003

.034

.115

.032

-.016

.020

.053

.003
.142

-.011
-.056

.011
.061

cost
size

-.030

alcohol

-.096
.081

reputat

.034
.115

.053

color

.038

.032

.003

.142

aroma

.004

-.016

-.011

-.056

-.061

taste

.003

.020

.011

.061

.023

-.061

-.049
-.049

Extraction Method: Principal Component Analysis.

a Residuals are computed between observed and reproduced correlations. There are 8 (38.0%) nonredundant
residuals with absolute values greater than 0.05.
b Reproduced communalities
Rotated Component Matrix(a)
Component
1
cost
size

2
.904
.963

.105

alcohol

.922

.236

reputat

-.650

-.386

color

.311

.901

aroma

.125

.946

taste

.135
.968
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a Rotation converged in 3 iterations.
Component Transformation Matrix
Component
1
2

2
.748
.664
-.664
.748
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.

.023