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100 _aBaruah, Manuj and Saha, Paramita
_959593
245 _aTechnical efficiency of handloom-based micro-enterprises in Assam, India: A stochastic frontier analysis
260 _aInternational Journal of Rural Management
300 _a20(1), Suppl, April, 2024: p.S70-S84
520 _aImproving technical efficiency is one of the most effective ways to boost output in any manufacturing process. The efficiency level of enterprises can be improved by identifying their sources of inefficiency. The present article examines the technical efficiency and tries to identify the factors causing technical inefficiency in handloom-based micro-enterprises in Assam. The article used primary data and collected from 312 micro-level handloom enterprises spread across four districts of Assam. The stochastic frontier production with an inefficiency effects model is used for the purpose of analysis. Labour, capital and material inputs are found to be significant and labour is the most effective factor for increasing of output level. The mean technical efficiency of overall enterprises is 0.67 and a wide variation in the level of technical efficiency among the sample handloom enterprises is observed. Inefficiency model shows that a high yarn capital ratio, lower product diversity, entrepreneurs with training, a higher number of employees and adoption of promotional practices tend to reduce the technical inefficiency of the handloom enterprise significantly.- Reproduced https://journals.sagepub.com/doi/full/10.1177/09730052231225586
650 _aHandloom enterprises, Technical efficiency, Stochastic production frontier analysis.
_949030
773 _aInternational Journal of Rural Management
906 _aINDUSTRIAL DEVELOPMENT
942 _cAR