Affordable Access

X-Efficiency of Innovation Processes: Concept and Evaluation based on Data Envelopment Analysis

Authors
Publication Date
Keywords
  • D0 - General
  • C43 - Index Numbers And Aggregation
  • Q55 - Technological Innovation
  • O32 - Management Of Technological Innovation And R&D
  • C67 - Input-Output Models
Disciplines
  • Mathematics

Abstract

This paper investigates X-(in)efficiency of innovation processes in Small and Medium-sized Enterprises (SMEs). We have adopted the following approach: (a) we provide both a concept of X-(in)efficiency and a model of innovation processes for each SME; (b) from this model we evaluate both the dimensions of the innovation processes and the X-(in)efficiency of these processes using a variant of the Data Envelopment Analysis (DEA) model; (c) finally, we characterize X-inefficiency by using techniques of exploratory analysis derived from an empirical analysis. Our approach has been applied to regional SMEs in Normandy (France) with a representative random sample of 80 innovative businesses. The results show the existence of X- inefficiency in the innovation processes of SMEs in 71% of cases. This X-inefficiency arises primarily from the difficulties that entrepreneurs face in implementing the interacting rules and standards of exploitation and exploration activities.

There are no comments yet on this publication. Be the first to share your thoughts.