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Mechanical Engineering: Medium-Sized Companies with Highest Savings Potential

DIW Weekly Report 16 / 2010, S. 121-125

Alexander S. Kritikos, Alexander Schiersch

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The German mechanical engineering industry, dominated by medium-sized companies, is greatly successful - both on the domestic and on the international market. A first analysis conducted by DIW Berlin reveals that this success cannot be attributed to a better exploitation of potential efficiencies - mechanical engineering is about as efficient as other key sectors (for instance the chemical industry). In fact, despite their obvious success medium-sized mechanical engineering businesses have larger savings potential than bigger companies and even than smaller enterprises in this industry.

Alexander Schiersch

Research Associate in the Firms and Markets Department

Topics: Industry

JEL-Classification: C40;L60
Keywords: Data envelopment analysis, German engineering firms, Efficiency, Firm size
Frei zugängliche Version: (econstor)