A comparative analysis of technical efficiency and profitability of agribusiness and non-agribusiness enterprises in eastern DRC
The purpose of this study was to determine whether agribusiness could be competitive compared to non-agribusiness employment opportunities in terms of technical efficiency and profitability. We used data collected on all seven operating cassava community processing centers (CCPCs) and 150 comparable non-agribusiness enterprises in South Kivu province. A Data Envelopment Analysis (DEA), as well as cost–benefit ratios and net monthly revenue, were used to examine technical efficiency and profitability. Our results showed that agribusiness was more competitive than non-agribusiness in terms of technical efficiency and profitability. The cost–benefit ratio shows that every dollar invested in agribusiness earns investors US $2.8, while it earns investors in non-agribusiness US $2.1. Moreover, technical efficiency increases significantly with agribusiness. These results show that agribusiness can compete with other non-agribusiness activities, and it remains a solution to youth unemployment in the region.
Main Authors: | Nyamuhirwa, D.A., Awotide, B.A., Kusinza, D.B., Bishikwabo, K., Mignouna, J., Bamba, Z., Dontsop-Nguezet, P. |
---|---|
Format: | Journal Article biblioteca |
Language: | English |
Published: |
MDPI
2022
|
Subjects: | agribusiness, cassava, processing, value chain, |
Online Access: | https://hdl.handle.net/10568/121880 https://doi.org/10.3390/su14148384 |
Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
Similar Items
-
Case studies of success stories in Kenya’s agribusiness sector
by: Gatonye, Margaret, et al.
Published: (2022-12-30) -
Africans unite to galvanize youth into agribusiness for continental development
by: Akem, C., et al.
Published: (2014-04) -
Nigeria Transforming Agribusiness for Inclusive Recovery, Jobs Creation, and Poverty Reduction : Policy Reforms and Investment Priorities
by: Mghenyi, Elliot W., et al.
Published: (2021-04-30) -
India - Unlocking Agribusiness for Inclusive Growth, Jobs, and More : Policy and Investment Priorities
by: World Bank Group
Published: (2017-07-01) -
The Business Case for Women's Employment in Agribusiness
by: International Finance Corporation
Published: (2016-09)