Abstract

This study considers a DEA(Data Envelope Analysis) model to improve the operational performance of apparel franchise stores where CCR and BBC models are applied to analyze the efficiency of decision making units as retail agents. Firstly, we propose a DEA model based on correlation analysis between input and output variables. Secondly, we compare and evaluate TE(technical efficiency) and PTE(pure technical efficiency) based on real data of 202 apparel franchise stores of the company P and then propose benchmarking strategies to improve the efficiency of retail agents. Thirdly, we classify two groups by the mean value of input variables and compare the difference of mean values between each evaluation group for TE, TPE, and SE(scale efficiency) by Mann-Whiteny test to evaluate the effectiveness of the proposed DEA model. Finally, we propose operational strategies of retail agents through the efficiency analysis of commercial areas.BR This study has the meanings as a case study based on field data measured from apparel franchise stores by applying a DEA model. It will be expected that the application of a DEA model is a good alternative to increase the operational efficiencies of retail agents.

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