I have 3 constructs. I have one dependent variable with 7 categories and 30 sub-categories. I have one independent variable with 5 categories and 20 subcategories and I also have one mediator variables with six categories and no sub-category. All these categories and sub-categories are assigned the value 0 or 1( dichotomous) Besides that I have 6 control variables, four are continuous one is dichotomous, one is scale..... Which is the appropriate statistical model and appropriate tests I can use for such type of data?
The RQs are: a) What is the role of reporting structure in firm's value
What is the role of stakeholders relationship in the relation of reporting structure and firm's performance?
Just to include examples IV = Performance Category1= Financial indicators Sub-category1= profit, sub-category 2= leverage, sub-category3= liquidity
Category2 = no-financial indicators sub-category1= environmental sub-category 2= economic sub-category 3= social.
DV=Governance Category 1= Board structure sub-category1= board size sub-category2= board profile sub-category3= board's experience
Category 2= Accountability Sub-category1= no discrimination sub-category2= fairness in reporting
I am interested to do the analysis up to category level. I can change the data from dichotomous(binary) to nominal. I am thinking to use averages or percentages to analyse the relationship between variables and constructs. Can I use Partial Least Square-SEM or any other parametric or non-parametric model?