Exploratory Factor Analysis; Concepts and Theory

Abstract

Exploratory factor analysis is a complex and multivariate statistical technique commonly employed in information system, social science, education and psychology. This paper intends to provide a simplified collection of information for researchers and practitioners undertaking exploratory factor analysis (EFA) and to make decisions about best practice in EFA. Particularly, the objective of the paper is to provide practical and theoretical information on decision making of sample size, extraction, number of factors to retain and rotational methods.

Keywords: Factor Analysis, Exploratory Factor Analysis, Factor Retention Decisions, Scale Development, Extraction and Rotation Methods.