1975), assessed using a seven-point
have specialised individuals as
Likert scale, with 1 = strongly disagree,
participants in the study. The three
through 4 = neutral, to 7 = strongly agree.
questionnaires were pre-tested using both
academics and members of the business
In addition, the instrument also included a
community.
number of items in attempt to explore
other aspects, including satisfaction and
Subsequent to the questionnaire pre-test
importance of received knowledge. The
the first author approached participants
instructions informed participants that they
and asked if they would like to partake in
were an employee of the scenario
the study. Both lecturers and postgraduate
organisation and as part of their job they
students from the Waikato Management
were required to report to senior
management on whether or not the
which were used to investigate the
company should make the new
importance of knowledge.
investment. The instructions also advised
participants that the questions and
Bartlett’s test of Sphericity was significant
corresponding responses were those
at 870.619 (p<0.05) which together with a
provided by their staff and should be used
Kaiser-Meyer-Olkin measure of sampling
to guide them with their investment
adequacy (KMO= 0.801) suggested that
the data may be factorable. Exploratory
decision. Unlike the first phase, the
factor analysis using principal component
scenario case was not included in the
extraction, with Varimax rotation and
questionnaires, thereby limiting
Kaiser normalisation was undertaken over
participant’s (the recipients) knowledge on
three iterations in an attempt to derive a
the investment opportunity, to that
stable factor structure (Churchill, 1979;
obtainable from the responses. The new
questionnaires were again pre-tested
Taylor & Wright, 2004). After the first
using academics and members of the
iteration 3 items were dropped from the
analysis because they did not meet the
business community.
general guidelines of individual loadings
greater than 0.35 or cross-loading of less
The three groups of questionnaires were
then distributed to students of a third year
than 0.35 (Kim & Mueller, 1978). A further
business management class during a
3 items were dropped after the second
iteration due to complex cross-loadings.
normal scheduled lecture hour. Prior to
distribution the questionnaires had been
After the third and final iteration 12 items
randomly sorted to ensure that the
loaded onto three underlying factors and
likelihood of a participant receiving a
explained 68.3% of the variance.
binary, open-ended or directed
After Varimax rotation the strongest factor
questionnaire was comparable. The total
(explaining 31.0% of the variance) was
number of students enrolled in the course
loaded by items Q14-Q18, the variables
was 168. Exactly one hundred students
that comprise the construct attitude.
were present on the day of data collection
and 97 participants responded, with 90
Internal consistency reliability was high for
this factor with a Cronbach’s alpha of
usable questionnaires, of which 30 were
binary, 31 open-ended and 29 directed.
0.9032. Factor 2, labelled satisfaction,
explained 24.7% of the variance with a
reliability of 0.8161. The final factor
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