Measuring Technical Efficiency in Iranian Wholesaler Businesses by Using Nonparametric Method (Data Envelopment Analysis)

Document Type : Research Paper

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Abstract

One of the major projects in the economic reform plan is settlement of distribution system. The main objectives of this project is to organize the distribution of goods, continuous monitoring of distribution, reducing transaction costs and improving efficiency in the distribution industry. In this context, the main purpose of this article is to review and evaluate the performance of distribution companies. According to definition, efficiency in economic literature means maximum output with definite amount of input or minimum input with definite amount of output. Today, two methods are used for efficiency evaluation that contains; 1) parametric method 2) non parametric method. In this essay, according to nonparametric method that is based on mathematical programming methods, efficiency of Wholesaler businesses in 2008, with two assumptions (constant return to scale and variable return to scale) is evaluated. Results show that under first assumption; Wholesaler businesses Razi, Beh Pakhsh, Sanaye Morgh Madar Iran, Pakhsh Pegah, Saie Saman, Parnian Mahyar and Pakhsh Alborz have the most efficiency and the efficiency average is 58%. In according to second assumption; Wholesaler businesses Ghasem Iran, Sahamie Am Kaf, Daro Pakhsh, Pakhsh Hejrat, Pakhsh Ferdos, Henkel Pak Vash, Pakhsh Pishgam, Kimia Pakhsh Fam, Jahan Dam daro, Darosazan Iran, Poyshe Alke, Livar, Dampezeshkan Amin and Zarin 6 Iranian Journal of Trade Studies Pakhsh Nasr join the efficients and that efficiency average based on this assumption is %71.

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