The technical efficiency of manufacturing companies on the Nigerian stock exchange
The technical efficiency of manufacturing companies on the Nigerian stock exchange
The objective of the study is to establish whether quoted manufacturing companies in Nigeria are operating on the production possibility frontier, that is, if they are technically and scale efficient. In pursuance of this, the study adopted the output orientated DEA with input variables as total asset, shareholder’s equity, cost of goods sold and operating expenses, while the output variables are sales/turnover, net profit, return on asset, and return on equity. Output orientated DEAP Version 2.