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Textile Manufacturing in Eight Developing Countries: Does Business Environment Matter for Firm Technical Efficiency?

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  • Mohamed Chaffai
  • Tidiane Kinda
  • Patrick Plane

Abstract

Production frontiers with technical inefficiency determinants are estimated using stochastic models for textile manufacturing in eight developing countries encompassing about 800 firms. Inefficiency determinants are considered either on an individual basis, or in the form of composite indicators reflecting in-house or managerial factors and various dimensions of the external environment. Although each of these two categories of factors is statistically significant, the former proves more influential in the explanation of the difference in efficiency between firms. Simulations are then proposed to assess the efficiency levels that would occur if firms had the opportunity to produce in the most favourable productive environments.

Suggested Citation

  • Mohamed Chaffai & Tidiane Kinda & Patrick Plane, 2012. "Textile Manufacturing in Eight Developing Countries: Does Business Environment Matter for Firm Technical Efficiency?," Journal of Development Studies, Taylor & Francis Journals, vol. 48(10), pages 1470-1488, October.
  • Handle: RePEc:taf:jdevst:v:48:y:2012:i:10:p:1470-1488
    DOI: 10.1080/00220388.2012.671471
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    File URL: http://hdl.handle.net/10.1080/00220388.2012.671471
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    References listed on IDEAS

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    1. Ricardo Hausmann & Dani Rodrik & Charles F. Sabel, 2008. "Reconfiguring Industrial Policy: A Framework with an Application to South Africa," CID Working Papers 168, Center for International Development at Harvard University.
    2. World Bank, 2003. "Better Governance for Development in the Middle East and North Africa : Enhancing Inclusiveness and Accountability," World Bank Publications, The World Bank, number 15077.
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    Cited by:

    1. Nadine Levratto & Clarisse Nguedam Ntouko & Maarouf Ramadan, 2017. "Institutions and firms’ internationalization: an empirical analysis on three Middle East countries," EconomiX Working Papers 2017-37, University of Paris Nanterre, EconomiX.
    2. Mohamed Chaffai & Patrick Plane, 2017. "Firm Productivity, Technology and Export Status, What Can We Learn from Egyptian Industries?," Working Papers 1134, Economic Research Forum, revised 09 Jun 2017.
    3. Tidiane Kinda, 2014. "The Quest for Non-Resource-Based FDI; Do Taxes Matter?," IMF Working Papers 14/15, International Monetary Fund.
    4. International Monetary Fund, 2015. "Republic of Poland; Selected Issues," IMF Staff Country Reports 15/183, International Monetary Fund.
    5. repec:kap:ecopln:v:51:y:2018:i:1:d:10.1007_s10644-016-9198-6 is not listed on IDEAS
    6. Mai Nguyen & Marie-Ange Veganzones-Varoudakis, 2017. "Investment climate, outward orientation and manufacturing firm productivity: New empirical evidence," Working Papers halshs-01618733, HAL.

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