Abstract
Abstract This study uses the DEA method to evaluate and analyze the innovation capability of 233 listed companies in 5 major industrial sectors defined by the China Securities Regulatory Commission (CSRC). The results of overall efficiency evaluation show that the overall innovation efficiency values of therespective 5 major industries all relatively low, with differences between each other. Insufficient innovation input is the reason for low scale efficiency. Firms can expand input to increase output, but the resources invested should follow proper proportions to avoid input redundancy, which is a major cause for firms’ failure in reaching DEA efficiency. This study puts forward the following suggestions: Under the premise of seeking help from the government, firms must always pay attention to their own innovation input-output ratio, identify the root causes of problems, so as to effectively improve innovation capability.
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