Technical efficiency (TE) of small and medium (SME) food enterprise in West Malaysia


Citation

Rashilah Mohamad, . and Normah Ab. Majid, . and Nur Fazliana Md. Noh, . and Mohamad Faireal Ahmad, . Technical efficiency (TE) of small and medium (SME) food enterprise in West Malaysia. pp. 51-55. ISSN 1823-8149

Abstract

The study focused on measuring the technical efficiency of small and medium enterprises (SME) in the food processing industry. A total of 158 companies were involved and data were analysed using Frontier 4.1. The majority of the companies (96.84) attained a level of technical efficiency of around 80 Production elasticity of the sample companies was estimated at 0.9957 indicated that the sample companies were operating at slightly decreasing return to scale. At this stage an introduction of new innovation in technology usage of machinery or optimum scale of production is required in order to improve productivity.


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Abstract

The study focused on measuring the technical efficiency of small and medium enterprises (SME) in the food processing industry. A total of 158 companies were involved and data were analysed using Frontier 4.1. The majority of the companies (96.84) attained a level of technical efficiency of around 80 Production elasticity of the sample companies was estimated at 0.9957 indicated that the sample companies were operating at slightly decreasing return to scale. At this stage an introduction of new innovation in technology usage of machinery or optimum scale of production is required in order to improve productivity.

Additional Metadata

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Item Type: Article
AGROVOC Term: Technical development
AGROVOC Term: small and medium enterprises
AGROVOC Term: Food sector
AGROVOC Term: Food chains
AGROVOC Term: Food processing
AGROVOC Term: Application of technology
AGROVOC Term: Innovation adoption
AGROVOC Term: Machinery
AGROVOC Term: Food production
AGROVOC Term: Productivity
Depositing User: Mr. AFANDI ABDUL MALEK
Last Modified: 24 Apr 2025 00:55
URI: http://webagris.upm.edu.my/id/eprint/9743

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