Hypermarket retail store efficiency in Portugal

This paper analyses the efficiency of individual retail stores belonging to a Portuguese multi‐market hypermarket retailing chain, employing data envelopment analysis (DEA). The use of DEA for the analysis of intra‐chain comparative store efficiency can be of value in examining the competitiveness of the chain as a whole. Competitiveness should be based on benchmarking the retail outlets which compose the chain. We conclude from our research that some outlets are at the frontier of best practice, while others are inefficient. Managerial implications arising from the study are considered.

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