Analysis On TFP Of Listed Household Appliance Enterprises Based On The Cross-efficiency DEA Malmquist Index

Nowadays, as the pillar industry in national light industry, the household appliance industry promotes the development of economy and the improvement of living standard in our country. The household appliance industry with a set of perfect operation and management system is developed from the introduction of foreign technology in the 1970s. A batch of household appliance enterprise groups with competitiveness has formed in the industry, its products amount for 80% domestic market share and creates more and more foreign currency and profits. However, a series of problems in the domestic household appliance industry are exposed with the integration of Chinese economy with the world economy, such as, poor in R&D capacity, light brand consciousness, lack of core competence. Thus, it is urgent to promote industrial restructuring and upgrading. Therefore, it is of great practical significance to analyze and evaluate the productivity of household appliance industry and enterprises systematically.Malmquist Index is a popular tool to measure the Total Factor Productivity dynamically. However, with the defects of subjective and inaccurate of the traditional DEA Malmquist index model, the evaluation result is not quite satisfactory. Therefore, the study reviews the Data Envelopment Analysis efficiency evaluation model first, and then presents a new model of Cross-Efficiency Malmquist Index based on the combination of Cross-Efficiency DEA model and traditional Malmquist Index model, at last proves the scientificity and the feasibility of the new model. The paper uses the model to analyze the TFP of the listed household appliance enterprises from 2005 to 2009. The result shows that the productivity of the household appliance industry were improved steadily, but suffered some negative effects from the Great Recession of 2008. Besides, the smaller the enterprises is, the more the positive effect was made by the technological progress, while the improvement of productivity of the middle-size enterprises is simultaneously coming from the technical efficiency and technological progress. In the era of post-financial crisis, the white household appliance enterprises productivity rebounded strongly compared with the growth momentum of black household appliance enterprises slowing down gradually, and the enterprises operates products of battery and lighting would become the industry's rising star.