Proceedings of 7th Asia-Pacific Business Research Conference

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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
The Influence of Psychological Types towards
Employee Engagement Driver
Fawziani Inggrita Agniputri1 and Aurik Gustomo2
In order to compete in the business world, organization or a
company must be survive while facing the future turbulence in
business environment by improving the employee engagement
level. This research tried to find out about the influence of
psychological types – which will be focused on Extrovert and
Introvert types – towards employee engagement driver. This
research was done by assessing and analyzing current situation of
employee engagement level in Multinational Consulting Company
and PT LEN Industri as the national company. Reliability, validity,
multicollonearity, heteroscedecity, normality, factor analysis and
multiple linear regression are conducted by SPSS software from the
questionnaire data. After analyzing and interpreting the data, there
are 4 variables that has been formed such as Employee Motivation,
Self Development, Organization Value and Behavior, and Working
Environment with Self Development as the significant variable to the
employee engagement driver.
Keywords: Psychological Types, Extrovert, Introvert, Employee Engagement
Driver
1. Introduction
For the past several years, human resource was one of non-crucial
department that just involved transactional HR activities, which the routine
was bookkeeping tasks – for example, changing an employee’s home
address or health care provider. In the early 20th Century, HRM’s roles were
just a caretaker for the entire company, worked on the employee focus, and
also all the records activities. But in the 21st Century, HRM become the
strategic partner to calculate the cost effectiveness and responsible in
employee development also. (Kavanagh, 2014)
Success in these days’ activities that company did was relying on the human
capital, inside the company. While, the most common problem that company
faced is they consider to takes more resources (time and money) to hire and
train people rather then to retain them. Human capital management is about
how to make the employee feel engage with the company, so that the
company could reduce their replacement cost.
In order create that, the HR manager should put the right system with the right
treatment toward different kind of job description. Yet, since the company
could not give an individual treatment in each employee, then this research
will tries to classified the characteristic and find out what jobs or divisions that
1
Fawziani Inggrita Agniputri, School of Business and Management, ITB, Indonesia. Email:
fawziani@sbm-itb.ac.id
2
Dr. Aurik Gustomo, S. T., M. T., School of Business and Management, ITB, Indonesia.
Email: aurik@sbm-itb.ac.id
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
suitable for the employee based on Psychological types (Introvert and
Extrovert types) in order to give the right treatment in every division. Then the
HR manager could increase the employee engagement rate in the company.
2. Literature Review
2.1
Employee Engagement
There are several definitions of employee engagement based on the expert.
Robinson et al. (2004) define employee engagement as “a positive attitude
held by the employee towards the organization and its value. An engage
employee is aware of business context, and works with colleagues to improve
performance within the job for the benefit of the organization. The
organization must work to develop and nurture engagement, which requires a
two-way relationship between employer and employee”. Based on AON
Hewitt (2013) employee engagement is the psychological and behavioral
outcomes, which lead to a better employee performance. Another expert,
Macey (2008) defines employee engagement with a series of propositions
about (a) psychological state engagement; (b) behavioral management and
(c) trait engagement. In general, employee engagement is a psychological
and behavioral state which shown by the emotional and rational commitment
factors with positive attitude towards the organization and it’s a two-way
relationship between the employee and organization.
2.2 Psychological Types
From all the kinds of psychology types, this research will just focus on
Differentiation Psychology – which explain about the differences between
individuals in terms of their ability, intelligences, personality traits and the way
they differentiate those factors – and Corporation Psychology which attempt
to help the corporation in terms of leadership psychology, recruitment process
and placement process of the employee, training strategy, problem solving,
and try to increase the employee performance. This research will focus on
Extrovert and Introvert types.
Actually there is no all-purpose definition of introversion or extroversion; there
are not unitary categories, like “curly-haired” or “sixteen-year-old”, in which
everyone can agree on who qualifies for inclusion. As Jung (1971) said in his
book, Psychological Types, “There is no such thing as pure extrovert or pure
introvert. Some a man would be in the lunatic asylum.” This is partly because
people are gloriously complex individuals, but also because there are so
many different kinds of introverts and extroverts. Yet both types could be
classified with the traits that they have in general.
2.2.1 Introvert Types
One of the great developmental psychologists of the twentieth century, Kagan
(2004), classified both types of extrovert and introvert into low and high
reactive classification. Kagan choose those measures because he believes
it is to be controlled by a potent organ inside the brain called the Amygdala.
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
The amygdala is located deep in the limbic system, an ancient brain network
found even in primitive animals like mice and rats. This network – sometimes
called the “emotional brain” – underlies many of the basic instincts we share
with these animals, such as appetite, sex drives and fear.
The low-reactive (which define as an extrovert) they had nervous systems that
were unmoved by novelty. By those kinds of nervous systems, extrovert tends
to tackle assignment quickly. They make fast (sometime rash) decisions, and
are comfortable multitasking and risk-taking. They enjoy “the thrill of the
chase” for rewards like money and status. Extrovert think out loud and on their
feet; they prefer talking to listening, rarely find themselves at a loss for words,
and occasionally blurt out things they never meant to say. They are
comfortable with conflict, but not with solitude (Cain, 2012)
With those kinds of characteristics, the jobs that suitable for extrovert are
Marketing, Arts, Counseling, Teaching, Artist, Advertising, Communication
Director, Designer, Musician, Sales Manager, Psychologist, Public Relations,
Human resource Administrator, Management Consultant, Journalist, Traveler,
Investigator, Secretary and many more job which outside world connections
are needed.
2.2.2 Extrovert Types
According to Carl (1971), introverts are drawn to the inner world of thought
and feeling. They may have strong social skills and enjoy parties and
business meetings, but after a while they need some solitude because that is
the way they recharge their batteries - by being alone.
The word Introvert is not a synonym for hermit or misanthrope; they just only
connect with several people. Nor are introverts necessarily shy. Shyness is
the fear of social disapproval or humiliation, while introversion is a preference
for environments that are not overstimulating.
The shy person is afraid to speak up, while introvert is simply overstimulated –
but to the outside world, the two appear to be the same. For very different
reasons, shy and introverted people might choose to spend their days in
behind-the-scenes pursuits like inventing, or researching, or in leadership
positions the execute with quite competence (Cain, 2012)
Introverts more prefer to devote their social energies to close friends,
colleagues, and family. They listen more than they talk, think before they
speak, and often feel as if they express themselves better in writing than in
conversation. They tend to dislike conflict and have a horror of small talk, but
will enjoy a deep conversation.
With those kinds of characteristic, the jobs that suitable for Introvert are
Accountant, Banker, Manager-Government, Mathematician, Office Manager,
Engineer, Counselor, Business Manager, Architect, Researcher, Supervisor,
Football Manager, Translator, Chef, Composer, Corrections Officer, Detective,
Law Enforcement, Financial Analyst or Manager, Auditor, Bookkeeper,
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
Education Administrator and many more job that idea and critical thinking are
needed.
Based on the research as an influential psychologist, Funder (2010), the basis
of these differences between extrovert and introvert might be found in a brain
structure called the Ascending Reticular Activating System (ARAS). The
ARAS is a part of brain stem that has connections leading up to cerebral
cortex and other parts of the brain. The brain has excitatory mechanism that
causes us to feel awake, alert, and energetic – “aroused,” in the parlance of
psychologists. The ARAS functioned differently in introverts and extroverts:
introverts have wide-open information channels, causing them to be flooded
with stimulation and over-aroused – doesn’t produce anxiety that much as the
sense that they can’t think straight which makes them had enough and would
like to have a solitude time in home, while extroverts have tighter channels,
making them prone to under-arousal – something like cabin fever which
makes them feel itchy, restless, and sluggish, like they need to get out of the
house already. (Cain, 2012)
3. Model and Methodology
This research use synthesis of employee engagement theory from Mercer
(2007) as the dependent variable and employee engagement driver from
Development Dimensions International (DDI, 2007) as the independent
variable, while Mayers-Briggs Types Indicator (2009) is used for psychological
types (Extrovert and Introvert) theory as the control variable. In the figure 1
below shows the conceptual model of this research after it was combined.
DDI (Employee Engagement
Driver) = Independent Variable
Mercer (Employee Engagement
Level) = Dependent Variable
MBTI (Psychological Types:
Extrovert & Introvert = Control
Variable
DDI
MBTI
Mercer
Figure 1: New Conceptual Model
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
The scope for this research is the employee of Multinational Consulting
Company and PT LEN Industri as the national company. There are two major
data that uses in this research such as (1) Secondary data, which is collected
by journals, books, websites and other literature and (2) Primary data, which is
collected through questionnaire. The questionnaire consist of 50 questions,
with 30 questions for employee engagement level using likert scale, while the
rest of 20 questions indicate the psychological types using yes/no questions.
In the processing data, this research conducting several analysis such as
reliability, validity, multicolonearity, heteroscedecity, normality, factor analysis
and multiple linear regression by using SPSS statistical software from IBM
company. The data will be analyzed and interpreted after the processing data
was done.
This research tried to analyze about the influence of psychological types (in
terms of Extrovert and Introvert types) toward employee engagement driver in
both national and multinational company. There are 200 questionnaires that
has been spread to PT LEN Industri and; Multinational Consulting Company
and 179 questionnaires were returns.
The total amount of respondent from both Multinational Consulting Company
and PT LEN Industri are ±400. This research using stratified random sampling
questionnaire technique. Stratified random sampling is a type of probability
sampling technique where there is a strata within the population. With this
stratified random sampling, all the employees have the same probability to be
chosen as a respondent. Slovin’s formula will be use to determine the sample
required:
n = Sample number
n = N / (1+Ne2)
N = Total population
E = error tolerance
Based on Slovin’s formula, the sample needed would be:
n = 400 / [1+ {400 x (0.05)2}]
n = 178 samples
This research uses 95% level of confidence, which give a 5% error
tolerance. After the calculation the number of samples that needed from
the total population of Multinational Consulting Company and PT LEN
Industri is 178 employees.
4. The Findings
There are four new factors that resulted by factor analysis test. In the Table 1.
Rotated Component Matrix below shows the entire factor.
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
Table 1: Rotated Component Matrix
By analyzing varimax rotated component matrix in the table above, it shows
that X3, X4, X9, X14, X15, and X16 are in the group 1; X1, X8, X10, and X13
are in the group 2; X2, X11, and X12 are in the group 3; X5, X6, and X7 are in
the group 4. From those variables, the new name is given to the each group;
Employee Motivation, Self Development, Organizational Value and Behavior
and Work Environment respectively.
After calculating the factor analysis, multiple linear regression is conducted
with two different types of data such as Introvert types data and Extrovert
types data. In the table 2 below shows the result for Introvert Types data.
Table 2. Multiple Linear Regression for Introvert Types
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
From multiple linear regression analysis for Introvert respondent above, factor
1 (Employee Motivation), 2 (Self Development), 3 Organizational Value and
Behavior, and 4 (Working Environment) are the new driver factor that will
affecting the employee engagement with the final equation is:
Y = 0.248 + 0.003X1 + 0.547X2 + 0.179X3 + 0.244X4
Where:
Y = Employee Engagement Level
X1 = Employee Motivation Factor
X2 = Self Development Factor
X3 = Organization Value and Behavior Factor
X4 = Work Environment Factor
From Table 2: It shows that Self Development factor has the highest score
then the other factor and the score of sig. are less then 0.05, which means
that Self Development factor significantly affecting the Introvert employee
engagement. In the table 3 below shows the result for Extrovert Types data
Table 3: Multiple Linear Regression for Extrovert Types
From multiple linear regression analysis for Introvert respondent above, the
final equation is:
Y = 1.154 + 0.035X1 + 0.406X2 + 0.086X3 + 0.162X4
Where:
Y = Employee Engagement Level
X1 = Employee Motivation Factor
X2 = Self Development
X3 = Organization Value and Behavior
X4 = Work Environment
From Table 3. It shows that Self Development factor still has the highest score
then the other factor and the score of sig. are less then 0.05, which means that
Self Development factor significantly affecting the Extrovert employee
engagement.
After calculating the factor analysis and the multiple linear regressions, it
concludes that there are 4 factors that affecting the employee engagement,
which are Employee Motivation, Self Development, Organizational Value and
Behavior, and Working Environment. For the summary analysis the
hypotheses are:
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
H0: Recruitment using Mayers-Briggs Type Indicator (MBTI) will
affect the employee engagement level.
Hi: Recruitment using Mayers-Briggs Type Indicator
(MBTI) is not affecting the employee engagement
level.
The H0 will be accepted if the total average of employee engagement level in
Multinational Consulting Company has greater score than PT LEN Industri
and H0 will be rejected if the total average of employee engagement level in
Multinational Consulting Company has fewer score than PT LEN Industri.
In the figure 2 below shows the employee engagement in Multinational
Consulting Company as multinational company and PT LEN Industri as
national company.
Employee Engagement
Advocate
3.59
Committe
d
3.62
Motivated
PT LEN
Industri
Multinational
Consulting
Company
3.26
Satisfied
3.59
1
2
3
4
5
Figure 2: Employee Engagement of Both Multinational Consulting Company
and PT LEN Industri
From the obtained data above, Multinational Consulting Company has a
higher score in all factors of employee engagement level than PT LEN Industri
with scale out of 5. Multinational Consulting Company has 3.59 score for
Satisfied variable, 3.26 score for Motivated variable, 3.62 for Committed
variable, and 3.59 score for Advocate variable. The highest score is 3.62 for
Committed variable. While PT LEN Industri has 3.17 score for Satisfied
variable, 2.99 score for Motivated variable, 3.33 score for Committed variable,
and 3.37 for Advocate variable with the highest score is belong to Advocate
with score 3.37. In the table 4.7 below shows the Unstandardized Coefficient
B form both extrovert and introvert types.
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
Unstandardized Coefficient B
Working
Environment
0.197
0.249
Organization Value
and Behavior
Extrovert
Types
0.095
0.168
Introvert
Types
0.419
0.48
Self Development
Employee
Motivation
0.065
0.042
0
0.1
0.2
0.3
0.4
0.5
0.6
Figure 3: Unstandardized Coefficient B
From the figure above, it shows that the Self Development factor has the
highest score for both Introvert and Extrovert type with 0.480 and 0.419
repetitively. It means that if the Self Development increased 1000 points, then
the employee engagement will increase 480 point for Introvert and 419 points
for Extrovert types.
From that analysis, it concludes that even when the same treatment (Self
Development Factor) is given to Introvert and Extrovert type, the result will be
different. Based on Csikszentmihalyi (1996), the more creative people tended
to be socially poised introverts. But this doesn’t mean that introverts are
always more creative than extroverts. The do suggest that in a group of
people who have been extremely creative throughout their lifetimes, it is likely
to find a lot of introverts (Cain, 2012)
In the other side, Employee Motivation has the least score with 0.042 for
Introvert types and 0.065 for Extrovert types. It means that if the Employee
Motivation increases 1000 points, then the employee engagement will just
increase for 42 points for Introvert and 65 points for Extrovert types.
In the figure 3 below shows the Employee Motivation factor graph.
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
Employee Motivation
3.03
3.26
3.07
3.41
2.98
3.41
3.05
3.37
Training
Values ideas and…
Shares Information
Compliment
PT LEN
Industri
Multinational
Consulting
Company
2.46
2.85
3.02
3.31
Form of Praise
Staff Promotion
0
1
2
3
4
Figure 4: Employee Motivation Factors
Employee Motivation is the most significant factor that has five factors
affecting employee engagement. In the figure 4 above Shares Information and
Values Ideas and Request has the highest score with 3.41 out of 5 for
Multinational Consulting Company, and Values Ideas and Request factor also
becomes the highest score for PT LEN Industri. For both company, Form of
Praise has the lowest score with 2.85 for Multinational Consulting Company
and 2.46 for PT LEN Industri. It shows that both company did not concern
enough with the form of praise that given to the employee as a rewards.
In the figure 2 below shows the Self Development factor graph.
Self Development
Involved in goal
setting
3.23
3.41
Working Period
3.38
3.47
Value of Beliefs
3.38
3.49
PT LEN Industri
3.4
3.59
Skills and Interest
1
2
3
4
5
Figure 5: Self Development
Self Development has four factors affecting employee engagement. In the
figure 5 above Skills and Interest has the highest score with 3.59 out of 5 for
Multinational Consulting Company, which shows that the employee feel
suitable to work with their skills and interest, while Values of Beliefs factor
becomes the highest score 3.38 for PT LEN Industri, which indicate that the
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
employee could work conformable with what they beliefs. In this Group the
entire factor has a similar score for both company.
In the figure 3 below shows the Organizational Value and Behavior graph.
Organizational Value and Behavior
3.41
3.59
Improve Job Quality
Values suggestions and
request
PT LEN Industri
3.38
3.48
Multinational Consultant
Company
3.08
3.32
Bonus
1
2
3
4
5
Figure 6: Organizational Value and Behavior Factor
Organizational Value and Behavior has four factors affecting employee
engagement. In the figure 6 above Improve Job Quality has the highest score
for both companies with 3.59 out of 5 for Multinational Consulting Company
and 3.41 out of 5 for PT LEN Industri with “Supervisor mendorong saya
berpendapat untuk bisa meningkatkan kualitas bekerja” statement. It indicates
that the supervisor could support the employee to improve their quality. In the
table 4.18 below shows the variable statement in Organizational Value and
Behavior.
Working Environment
Relation (High-movement)
3.38
3.48
Working Condition 2
3.22
3.41
PT LEN Industri
Multinational
Consultant
Company
3.08
3.32
Working Condition 1
1
2
3
4
5
Figure 7: Working Environment Factor
Working Environment has three factors affecting employee engagement. In
the figure 7 above Relation (High-Movement) has the highest score for both
Multinational Consulting Company and PT LEN Industri with 3.48 and 3.38 out
of 5 respectively. It shows that the employee needs to be connecting with
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
each other. In Working Environment there is no significant differences for both
company.
5. Summary and Conclusion
This research concludes several points such as:
 PT LEN Industri has the average score 3.22 out of 5 for employee
engagement level and Multinational Consulting Company has the average
score 3.59 out of 5 for employee engagement level. Since the
Multinational Consulting Company has greater score than PT LEN
Industri, it concludes that H0 is accepted which means recruitment using
MBTI is affecting the employee engagement level in the organization. It
shows there is correlation between psychological types and employee
engagement level in the company
 There are 4 variables that has been formed after done the factor analysis
such as Employee Motivation, Self Development, Organization Value and
Behavior, and Work Environment, as the new factor that significantly
affecting the employee engagement level.
 The most significant factor that affecting the employee engagement level
is Self Development, followed by Working Environment, Organization
Value and Behavior, and Employee Motivation.
 Form the multiple linear regression equation of employee engagement,
the psychological types affecting or contribute 13.9% to the employee
engagement, both in Introvert types and Extrovert types.
 Both in Introvert type and Extrovert type, Self Development become the
highest variable that affecting the employee engagement level, with
54.7% for Introvert type and 40.6% for Extrovert type. It concludes even
when the same treatment is given to Introvert and Extrovert type, the
result will be different.
 It concludes that the more creative people tended to be socially poised
introverts.
 Self Development is formed by four independent variables which are
Skills and Interest, Salary Amount, Value of Beliefs and Working Period
with the average score
References
Cain, Susan. 2012. Quite: The Power of Introverts in a World That Can’t
Stop Talking. Penguin Group, Inc. London, England.
Csikszentmihalyi, Mihaly. (1996). Creativity: Flow and the Psychology of
Discovery and Invention. Harper Perennial. 65-68. New York.
DDI. 2007. Employee Engagement: The Key To Realizing Competitive
Advantage. Development Dimensions International, Inc. MMV.
Retrieved on March 15, 2014 on www.ddiworld.com
Funder, Davud C. (2010). The Personality Puzzle. Norton. New York.
Ghozali, Imam. 2006. Aplikasi Analisis Multivariate Dengan Program
SPSS. Semarang: Badan Penerbit Universitas Diponegoro.
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
Hewitt, AON. 2013. Trends in Global Employee Engagement Highlights.
Retrieved on February 17, 2014 on www.aonhewitt.com.
Isabel Myers et al. 1998. MBTI Manual: A Guide to the Development and
Use of the Myers-Briggs Type Indicator, 3rd ed., 2nd printing. Palo
Alto, CA: Consulting Psychology Press.
Jung, Carl, G. 1971. Psychological Types. Princeton University Press.
Princeton.
Kagan, Jerome., Snidman, N. 2004. The Long Shadow of Temperament.
MA: Harvard University Press. Cambridge.
Kavanagh, Michael J., Mohan, Thite., 2014. Human Resource
Information Systems. State University of New York. Albany, USA.
Macey, William H., Scheider, B. 2008. Industrial and Organizational
Psychology. University of Maryland. Maryland.
Macey, William H., Schneider, B., Barbera, Karen M.,Young, Scott A.
2009. Employee Engagement. New Jersey: Wiley-Blackwell.
Mercer. 2007. Engaging Employees to Drive Business. Retrieved on
July 5, 2014 from www.mercer.com
MBTI. 2009. Myers-Briggs Types Indicator. CPP, Inc. Retrieved on May
20, 2014 on www.cpp.com
Saklofske, D. H., Kostura, D. D. 1990. Extraversion – Introversion and
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Apendix, Research Questionnaire
Appendix A. Reliability Test
Appendix B. Validity Test
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Proceedings of 7th Asia-Pacific Business Research Conference
25 - 26 August 2014, Bayview Hotel, Singapore ISBN: 978-1-922069-58-0
Appendix C. Factor Analysis
Appendix D. Heteroscedecity Test
Appendix D. Normality Test
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