Several widely-cited weaknesses of Partial Least Squares (PLS) path modeling center on its
character as a composite-based method rather than a factor-based method. Yet factor
models as a framework for research may have been oversold. Insights from the forecasting
literature suggest that PLS path modeling has strengths as a tool for prediction which have
not been fully appreciated. PLS Mode A, typically thought of as “reflective measurement,” is
equivalent to the use of correlation weights, which deliver better prediction on out-of-sample …