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Efficiency evaluation of China's high-tech industry with a multi-activity network data envelopment analysis approach

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  • Zhang, Bin
  • Luo, Yuan
  • Chiu, Yung-Ho

Abstract

This paper employs a Russell multi-activity network DEA model and divides the overall innovation process into the upstream Research and Development (R&D) process and the downstream commercialization process to appraise the innovation performance of China's high-tech industries from 2009 to 2013. This model can deal with the problems of intermediates, shared inputs and slack-based measure in a unified framework, and the result can provide policy makers with process-specific information on how to improve the innovation performance of China's high-tech industries. The main findings are presented as follows. First, the overall efficiency of China's high-tech industries still remains at a low level, which has its roots mainly in commercialization inefficiencies other than R&D inefficiencies. Second, for most provinces, their R&D efficiencies do not match up with their commercialization efficiencies. Finally, the innovative activities of China's high-tech industries should be driven by the market demand -oriented for the improvement of innovation efficiency.

Suggested Citation

  • Zhang, Bin & Luo, Yuan & Chiu, Yung-Ho, 2019. "Efficiency evaluation of China's high-tech industry with a multi-activity network data envelopment analysis approach," Socio-Economic Planning Sciences, Elsevier, vol. 66(C), pages 2-9.
    • Handle: RePEc:eee:soceps:v:66:y:2019:i:c:p:2-9
    DOI: 10.1016/j.seps.2018.07.013
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