earticle

영어

Based on a two-stage analysis of a panel of data for 12 outlets of a high-end retailer for 24 months, this paper investigates how the level of supervision affects the productivity of retail outlets in a high-end department store. In the first stage, Data Envelopment Analysis (DEA) is used to compute the relative productivity of retail outlets in using their labor and capital resources to generate store sales. In the second stage, the logarithm of DEA scores is regressed on contextual variables to obtain consistent estimators of the impact of contextual variables on productivity. Contrary to agency theoretic prediction that the higher level of supervision leads to an increase in the productivity of retail outlets, empirical results of this paper indicate that the higher the level of supervision, the lower is the productivity for high-end retail outlets.