International Journal of Business and Management Study
Author(s) : MAMDOUH ELBADRY MOHAMED, NOURAN ABD EL HAMID IBRAHIM ABD EL GAWWAD, SAMIR BASILIOUS NAKHLA GHOBRAIL
This study aims to: estimate the marketing efficiency of the most important crops and agricultural commodities in Egypt represented in (wheat, maize, rice, lentils, faba bean, peanuts, tomatoes, onions, potatoes, zucchini, peas, garlic, cucumber, oranges, bananas, grapes, mangoes, dates, red meat, poultry, fish, oils) during the period (1998-2013) using the functions specified methodology of Farrell Approach, or Data Envelopment Analysis (DEA) , according to the concepts of Constant Returns To Scale (CRS) ,Variable Returns To Scale (VRS) for estimating both the Technical Efficiency (TE), and Scale Efficiency (SE). It also aims to study the distribution of marketing margins and scale of marketing of the product, wholesaler and retailer of pounds consumer to know the factors that lead to the lifting of the marketing efficiency to achieve the objectives of both the producer and consumer. It was found from the results of a study marketing efficiency by using Data Envelopment Analysis (DEA) in accordance with the model of Variable Return to Scale (VRS) for crops and commodities of this study, the average marketing efficiency amounted to about 85.7%, 92.8%, 90.4%, 83.7%, 77.1% for field crops, vegetable crops, fruit crops, meat, and oils, respectively. While the average of Scale Efficiency reached about 83.5%, 88.1%, 83.9%, 74.4%, 93.5% for field crops, vegetable crops, fruit crops, meat, and oils, respectively. And suffer and commodities crops study of a lack of marketing efficiency was about 14.3%,7.2%, 9.6%,16.3%,22.9% for field crops, vegetable crops, fruit crop meat, and oils, respectively, and this is due to other factors not included in the model, and thus marketing efficiency can be increased by reducing marketing margins used. It turns out that about 71.9%, 63.4%, 66.3%, 89.6%, 6.25% of the yield size in increasing returns to scale (irs) for field crops, vegetable crops, fruit crops, meat, oils, respectively. While it is showing that about 21.9%, 21.4%, 16.3%, 4.2%, 87.5% of the yield size decreasing returns to scale (drs) for field crops, vegetable crops, fruit crops, meat, and oils, respectively. Recommendations: 1. Working to improve marketing efficiency of agricultural products and commodities, as that would lead to improving the production efficiency of commodities and agricultural products, thereby increasing self-sufficiency ratios. 2. Through the use of a methodology (DEA) have been identified on the reasons for the lack of efficiency, and thus the possibility of working on the increase, and thus using the Envelopment data methodology when assessing marketing efficiency is preferred, because it is a scientific methodology utilized to know the reasons for the lack of efficiency, it can also find out crops and commodities the potential to increase efficiency, and the search for factors that help to do so.Developing the production and marketing predictive policies for the most important crops and agricultural commodities, which benefit the product and trader of Egyptian crops and agricultural commodities. 4. The ability to make a national study on all the governorates of Egypt, leading to the identification of the causes of and obstacles to the lack of production and marketing efficiency of agricultural crops and commodities, and thus help develop plans to solve the problems and constraints of the lack of production and marketing efficiency of agricultural crops and commodities. 5. Marketing differences should be reduced through marketing tract of crops and agricultural commodities, where it was found that the marketing differences made by the intermediaries in the retail stage outweigh its counterpart in the wholesale stage. 6. Where crops are suffering most from the study and the lack of commodities in the marketing efficiency, and thus can increase marketing efficiency by reducing marketing margins. 7. Develop policies aimed at reducing the increase a marketing costs of the retail price, to reduce the increasing burden on the consumer in endures in the increasing share of marketing costs.