Performance Measurement of Turkish and Chinese Manufacturing Firms: A Comparative Analysis
Keywords:DEA, CCA, Manufacturing Companies, Turkey and China, Efficiency
The aim of this paper is to compare the relative efficiencies of manufacturing companies of China, one of the BRIC countries (BRIC: Brazil, Russia, India, China) that are expected to dominate the world economy in 2050s, and Turkey, that is an attractive emerging market (Morgan Stanley Index 2006) with great potential. We will determine the relative performances of Turkish and Chinese manufacturing firms using weight restricted Data Envelopment Analysis (DEA). Weights of inputs and outputs are estimated by canonical correlation analysis. Mean efficiencies of the firms of the two countries are compared by t-test. The results of DEA and statistical analyses indicate that Chinese manufacturing firms are highly efficient than Turkish manufacturing firms on average.