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Journal Article Evaluating the Efficiency of Mobile Content Companies Using Data Envelopment Analysis and Principal Component Analysis
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Authors
Eun Jin Cho, Myeong Cheol Park
Issue Date
2011-06
Citation
ETRI Journal, v.33, no.3, pp.443-453
ISSN
1225-6463
Publisher
한국전자통신연구원 (ETRI)
Language
English
Type
Journal Article
DOI
https://dx.doi.org/10.4218/etrij.11.0110.0430
Project Code
10KE1100, A Study on Regulation System under the Broadcast and Telecommunication Convergence, Byun Jae Ho
Abstract
This paper evaluates the efficiency of mobile content firms through a hybrid approach combining data envelopment analysis (DEA) to analyze the relative efficiency and performance of firms and principal component analysis (PCA) to analyze data structures. We performed a DEA using the total amount of assets, operating costs, employees, and years in business as inputs, and revenue as output. We calculated fifteen combinations of DEA efficiency in the mobile content firms. We performed a PCA on the results of the fifteen DEA models, dividing the mobile content firms into those having either 'asset-oriented' or 'manpower and experience-oriented' efficiency. Discriminant analysis was used to validate the relationship between the efficiency models and mobile content types. This paper contributes toward the construction of a framework that combines the DEA and PCA approaches in mobile content firms for use in comprehensive measurements. Such a framework has the potential to present major factors of efficiency for sustainable management in mobile content firms and to aid in planning mobile content industry policies. © 2011 ETRI.
KSP Keywords
DEA models, Data envelopment analysis(DEA), Data structure, Efficiency and Performance, Mobile content, Operating costs, Principal component analysis (pca), Sustainable management, content types, discriminant analysis, hybrid approach