Research On The Efficiency Of Chinese Iron And Steel Listed Companies On G-DEA Model With Weight Constraints

Iron and steel industry is the important industry of national economy, which promotes the development of mining industry and transportation industry, drives the progress of construction industry and machinery manufacturing industry. Development of iron and steel industry for decades, our country has made remarkable achievements, but also faced serious problems, for example, serious environmental pollution, not strong innovation ability, low market concentration, and the serious overcapacity. In order to solve these problems, we should develop technology and improve efficiency.Therefore, the following research is carried out in this paper. First of all, Based on the definition of efficiency, this paper finds out the effective evaluation method of DEA (Data envelope analysis). Secondly, it introduces the G-DEA theory model through the reading comprehension of paper at home and abroad. Thirdly, according to the previous research, we select the data 28 listed steel companies from 2007 to 2014, and appropriate input and output indicators are selected Selection of 2007-2014 data of 28 listed steel companies. Combining with China’s national conditions and the related policy, we build efficiency evaluation model of listed steel companies-PSGEE. We estimate the technical efficiency and pure technical efficiency of these enterprises, and analyze the whole industry, different regions, different sizes and key enterprises. The research results show that trapped in domestic economic downturn, two efficiency of steel enterprises in recent years are generally in decline; The eastern region is obviously superior to the northeast, central and western regions; small and medium-sized steel enterprises is generally superior to large steel enterprises; Baosteel is the best in the three major steel companies, obviously better than Anshan steel and Wuhan steel. From the perspective of the influence factors of the efficiency, firm size and firm age has a significant inhibitory effect, and iron and steel enterprises are located in regional economic development of enterprise comprehensive efficiency has a significant role in promoting. Then, according to the definition and method of Malmquist index, we estimate dynamic efficiency changes of the listed steel companies from 2007 to 2014. It is found that the growth of TFP in iron and steel enterprises mainly rely on the growth of technical change, technical efficiency change is relatively low. Finally, according to the two part of the empirical results, we put forward reasonable policy and recommendations for the development of Chinese iron and steel industry.