Evaluation of Manufacturing Innovation Performance in Wuhan City Circle Based on DEA-BCC Model and DEA-Malmquist Index Method

Abstract

The innovation performance of the manufacturing industry in the Wuhan city circle is evaluated based on the relevant data from 2018 to 2020 in 9 cities of Hubei Province within the Wuhan city circle using the DEA-BCC model, the DEA-Malmquist index method, and the location quotient method. This article measures the agglomeration level of innovation elements in the Wuhan city circle, constructs a performance evaluation index system including two input indicators: R&D expenditure and R&D personnel, and two output indicators: new product sales revenue and number of patent applications; evaluates the innovation performance of 27 manufacturing industries in the Wuhan city circle from five aspects: technical efficiency change (effch), technical progress change (techch), pure technical efficiency change (pech), scale efficiency change (sech), and total factor productivity change (tfpch), and compares and analyzes the innovation performance of Wuhan, Xianning, Xiantao, and Tianmen using the DEA-BCC model and DEAP 2.1. The results show that the agglomeration level of talent elements in the Wuhan city circle is between 0.24 and 1.75, and the agglomeration level of capital elements is between 0.23 and 1.52. The differences between regions are obvious, the degree of coordination is low, and the radiation effect of Wuhan is insufficient. The average value of technological progress is 1.274, which is vital to enhance the innovation performance of the Wuhan manufacturing industry. The technical efficiency dropped by 65%, but the total factor productivity fell only 13%, indicating that the technical efficiency value is not the main factor affecting the innovation performance of Wuhan. The innovation performance of high-tech and high-value-added industries such as computer, communication, and other electronic equipment manufacturing industries is relatively high, while the innovation performance of low-tech and low-value-added industries such as agricultural and sideline food processing industry and textile industry is relatively low. The innovation performance of Xianning, Xiantao, and Tianmen is higher, while the relative technological inefficiency caused by the low-scale efficiency value adversely affects the innovation performance of Wuhan. The results indicate that increasing the scale of manufacturing innovation investment can effectively enhance the innovation performance of the Wuhan city circle manufacturing industry.