Technical Efficiency of Small Scale Food and Beverage Enterprise of Female Entrepreneurs in Bantul using Data Envelopment Analysis (DEA)

Abstract

Thirty five female entrepreneurs of food and beverage subsector in Bantul district were interviewed to find out the efficiency of the business they operated. All of the businesses were of the kind of micro and small enterprises. Analysis was made using data envelopment analysis (DEA). The results of the analysis showed that there were 9 efficient small scale enterprises (SSE) and the remaining was inefficient. The mean technical efficiency was 0.79. Overall, there were 3 SSE in a condition of constant return to scale, 3 SSE in a condition of increasing return to scale and 29 SSE in a condition of decreasing return to scale. It was possible for the inefficient SSE to reach efficiency level by decreasing input and increasing output as recommended. General Terms Agribusiness Management.