IDEAS home Printed from https://ideas.repec.org/a/bpj/econoa/v18y2024i1p17n1.html
   My bibliography  Save this article

Operating Efficiency in the Capital-Intensive Semiconductor Industry: A Nonparametric Frontier Approach

Author

Listed:
  • Qiao Guangshun

    (School of Finance and Trade, Wenzhou Business College, Wenzhou, 325035, China)

  • Lu Yulin

    (School of Accounting, Jilin Business and Technology College, Jilin, 130507, China)

Abstract

This article uses a nonparametric production frontier approach to investigate the operating efficiency differences by the impacts of capital expenditure and business model in the global semiconductor industry. Handling the impact of capital expenditure as a fixed input by the directional distance estimator, this study compares the operating efficiencies in the global semiconductor industry between the integrated device manufacturers and the fabless and foundry firms over 1999–2018. The estimation results indicate that the operating efficiencies do vary in the semiconductor by the business model. The vertically integrated manufacturers dominate the semiconductor industry, and the capital-intensive manufacturers operate more efficiently than the asset-light fabless firms on average.

Suggested Citation

  • Qiao Guangshun & Lu Yulin, 2024. "Operating Efficiency in the Capital-Intensive Semiconductor Industry: A Nonparametric Frontier Approach," Economics - The Open-Access, Open-Assessment Journal, De Gruyter, vol. 18(1), pages 1-17, January.
    • Handle: RePEc:bpj:econoa:v:18:y:2024:i:1:p:17:n:1
    DOI: 10.1515/econ-2022-0050
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/econ-2022-0050
    Download Restriction: no
    File URL: https://libkey.io/10.1515/econ-2022-0050?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:econoa:v:18:y:2024:i:1:p:17:n:1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.