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A Study of Productivity Changes in Food Retailing

Author

Listed:
  • Brian T. Ratchford

    (State University of New York at Buffalo)

  • James R. Brown

    (University of Nebraska-Lincoln)

Abstract

Based on a general production function, this study estimates productivity gains and losses for the various outputs of food retailing over the period 1959 to 1979. Because it allows for the incorporation of all factors of production rather than just labor, the methodology employed in this study is superior to conventional methods of studying productivity change. Our estimates indicate that, between 1959–1979, total factor productivity in food retailing rose at a slower rate than total factor productivity in manufacturing. While total factor productivity in food retailing rose from 1959 until about 1972, it remained constant or declined between 1972–1979. We discuss the policy and managerial implications of our results, and provide suggestions for further research.

Suggested Citation

  • Brian T. Ratchford & James R. Brown, 1985. "A Study of Productivity Changes in Food Retailing," Marketing Science, INFORMS, vol. 4(4), pages 292-311.
    • Handle: RePEc:inm:ormksc:v:4:y:1985:i:4:p:292-311
    DOI: 10.1287/mksc.4.4.292
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    Citations

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    Cited by:

    1. Aude Hubrecht & Michel Dietsch & Fabienne Guerra, 2005. "Mesure de la performance des agences bancaires par une approche DEA," Revue Finance Contrôle Stratégie, revues.org, vol. 8(2), pages 131-171, June.
    2. Keh, Hean Tat & Chu, Singfat, 2003. "Retail productivity and scale economies at the firm level: a DEA approach," Omega, Elsevier, vol. 31(2), pages 75-82, April.
    3. Walter Y. Oi, 1992. "Productivity in the Distributive Trades: The Shopper and the Economies of Massed Reserves," NBER Chapters, in: Output Measurement in the Service Sectors, pages 161-193, National Bureau of Economic Research, Inc.
    4. Patalinghug Jason C., 2019. "Estimation of a Production Function for Philippine Retail Stores," Economics, Sciendo, vol. 7(1), pages 69-79, June.
    5. Manuel Xavier, José & Ferreira Moutinho, Victor & Carrizo Moreira, António, 2015. "An empirical examination of performance in the clothing retailing industry: A case study," Journal of Retailing and Consumer Services, Elsevier, vol. 25(C), pages 96-105.
    6. Rajiv Banker & Seok-Young Lee & Gordon Potter & Dhinu Srinivasan, 2010. "The impact of supervisory monitoring on high-end retail sales productivity," Annals of Operations Research, Springer, vol. 173(1), pages 25-37, January.
    7. Dubelaar, Chris & Bhargava, Mukesh & Ferrarin, David, 2002. "Measuring retail productivity: what really matters?," Journal of Business Research, Elsevier, vol. 55(5), pages 417-426, May.
    8. Gauri, Dinesh K., 2013. "Benchmarking Retail Productivity Considering Retail Pricing and Format Strategy," Journal of Retailing, Elsevier, vol. 89(1), pages 1-14.
    9. Öner, Özge, 2014. "Retail Productivity: Investigating the Influence of Market Size and Regional Hierarchy," Working Paper Series 1047, Research Institute of Industrial Economics.
    10. Vazquez, Emilia & Cancelo, M.Teresa, 1996. "Un estudio de la productividad del sector comercial español," Economic Development 11, University of Santiago de Compostela. Faculty of Economics and Business. Econometrics..
    11. Elodie Huré & Hoa Vo & Gérard Cliquet & Bruno Durand, 2013. "E-Supply Chain And Productivity: The Case Of Food Retailing [E-Supply Chain Et Productivite : Le Cas De La Distribution Alimentaire]," Post-Print hal-01771853, HAL.
    12. Francisco J. Más & Ricardo Sellers, 2006. "Technical Efficiency In The Retail Food Industry: The Influence Of Inventory Investment, Wage Levels, And Age Of The Firm," Working Papers. Serie EC 2006-15, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    13. King, Robert P. & Park, Timothy A., 2004. "Modeling Productivity In Supermarket Operations: Incorporating The Impacts Of Store Characteristics And Information Technologies," Journal of Food Distribution Research, Food Distribution Research Society, vol. 35(2), pages 1-14, July.

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