Research on Performance Evaluation for Listed Companies Based on DEA Approach

Most previous studies concerning company performance evaluation focus merely on operational efficiency. However, operational effectiveness, which might directly influence the survival of a company, is usually ignored. So, this paper presents a study that uses a two-stage data envelopment analysis model. And that model separates efficiency and effectiveness to evaluate the performance of 50 listed companies of manufacturing industry in China. In the end we find that there is no significant correlation between these two indicators. By using the empirical result and Boston Consulting Group Matrix (BCG Matrix) we could find the weaknesses of any listed company, which will contribute to helping executives, have a definite object in view to operating their own companies.