Data Envelopment Analysis: A Management Science Tool for Scientific Marketing Research

Abstract

Marketing has a tradition in conducting scientific research with cutting-edge techniques developed in management science, such as data envelopment analysis (DEA) (Charnes et al. 1985). Two decades ago, Kamakura, Ratchford, and Agrawal (1988) applied DEA to examine market efficiency and consumer welfare loss. In this review of three new books, my purpose is (1) to provide a background of DEA for marketing scholars and executives and (2) to motivate them with exciting DEA advances for marketing theory and practice.

JEL Classification: M21, M31, G00, G12, L86, M00, M30, M14