Research on the Operating Efficiency of Chinese Listed Pharmaceutical Companies Based on Two-Stage Network DEA and Malmquist

Tsung-Xian Lin,Jia-Jia Yang,Zhong-Huan Wu,Xiao-Xia Ji,Yiwen Zhang

doi:10.1155/2021/1475781

Abstract

The development of pharmaceutical companies, which is an important part of the national economy and industry, is closely related to people’s livelihood issues. With the era of big data, this paper uses the two-stage DEA and Malmquist method to evaluate the efficiency of listed Chinese pharmaceutical companies. From a static and dynamic perspective, it analyses the total factor productivity index, pure efficiency change index, scale efficiency index, and so on. The results show that government subsidies have not had a positive impact on most Chinese pharmaceutical companies, and for films, diseconomies of scale caused by rapid expansion should be avoided.

Highlights

Since the outbreak of the COVID-19, medical health has become the primary topic of concern for the government and the public. e operation of pharmaceutical companies has become the focus of discussion
Based on the above background, this article focuses on the research on the operating efficiency of pharmaceutical companies, innovatively combining the DEA method with Malmquist, taking 164 listed companies in China as a sample, and studying their operating conditions during the five-year period from 2015 to 2019
There are few literatures on the research of listed pharmaceutical companies using the two-stage network DEA and Malmquist index method, most of which focus on the traditional DEA method

Summary

Introduction

Since the outbreak of the COVID-19, medical health has become the primary topic of concern for the government and the public. e operation of pharmaceutical companies has become the focus of discussion. China’s pharmaceutical manufacturing industry has long been in a state of low industry concentration, high product homogeneity, and weak technological innovation capabilities. It has a large gap with the international advanced level. Based on the above background, this article focuses on the research on the operating efficiency of pharmaceutical companies, innovatively combining the DEA method with Malmquist, taking 164 listed companies in China as a sample, and studying their operating conditions during the five-year period from 2015 to 2019.

Literature Review

Research Method

Empirical Analysis

Findings

Variable Selection