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Market Structure, Technical Efficiency and Performance: An Empirical Study of E-commerce in China

Published: 19 May 2020 Publication History

Abstract

The purpose of this paper is to examine whether market structure or technical efficiency is correlated with the performance of ecommerce in China. The paper estimates technical efficiencies by using input-oriented data envelopment analysis (DEA) model. The fixed effect panel regressions by the estimation of pool least square (PLS) are employed to test the relationship of market structure, technical efficiency and performance. The findings indicate that market structure of e-commerce in China undergoes transition from monopoly to oligopoly. Meanwhile, overall technical inefficiencies are not only caused by poor pure technical efficiency but also unsuccessful operation at decreasing returns to scale. The results also show that market structure and market size have an insignificant relationship with performance; but market share and pure technical efficiency have a significant positive effect on performance; and scale efficiency has a negative effect on the performance. Therefore, modified efficient structure (MES) hypothesis holds in China.

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  • (2022)Modeling Intention-Based Critical Determinants of E-Commerce Utilization: Emerging Business Models and Transformation in the Digital WorldFrontiers in Psychology10.3389/fpsyg.2022.88914713Online publication date: 10-Aug-2022

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  1. Market Structure, Technical Efficiency and Performance: An Empirical Study of E-commerce in China

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    cover image ACM Other conferences
    ICMSS 2020: Proceedings of the 2020 4th International Conference on Management Engineering, Software Engineering and Service Sciences
    January 2020
    301 pages
    ISBN:9781450376419
    DOI:10.1145/3380625
    Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than ACM must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected]

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    • China University of Geosciences

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    New York, NY, United States

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    Published: 19 May 2020

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    Author Tags

    1. China
    2. Electronic commerce
    3. Market structure
    4. Performance
    5. Technical Efficiency

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    • Humanities and Social Sciences Found of Ministry of Education in China
    • Social Science Foundation of Shan Xi

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    • (2022)Modeling Intention-Based Critical Determinants of E-Commerce Utilization: Emerging Business Models and Transformation in the Digital WorldFrontiers in Psychology10.3389/fpsyg.2022.88914713Online publication date: 10-Aug-2022

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