Efficiency measurement of fintech companies: a two-stage DEA approach

ÇAĞLAR M., NİŞEL S.

Electronic Commerce Research, cilt.24, sa.2, ss.1335-1366, 2024 (SSCI) identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 24 Sayı: 2
  • Basım Tarihi: 2024
  • Doi Numarası: 10.1007/s10660-023-09804-3
  • Dergi Adı: Electronic Commerce Research
  • Derginin Tarandığı İndeksler: Social Sciences Citation Index (SSCI), Scopus, IBZ Online, ABI/INFORM, Business Source Elite, Business Source Premier, Compendex, INSPEC, zbMATH
  • Sayfa Sayıları: ss.1335-1366
  • Anahtar Kelimeler: Data envelopment analysis (DEA), Efficiency, Efficiency measurement, FinTech, Two-stage DEA
  • İstanbul Üniversitesi Adresli: Evet

Özet

FinTechs have gained an important place in the financial sector with their dynamic and customer-oriented structures and innovative approaches and business models. In recent years, the competition between actors in the financial sector has intensified. In a rapidly developing sector, where competition is intense and challenging, efficiency is a very important performance indicator for fintechs. This study aims to measure and examine the efficiency performance of FinTech companies. Data Envelopment Analysis was used for efficiency measurement. By establishing a two-stage data envelopment analysis model, "profitability", "marketability" and "overall process" efficiencies of fintechs were measured and analyzed. Efficiency of FinTechs operating in eight different sub-sectors was measured for the period of 2010–2019. The results show that, fintechs’ profitability efficiency performances are higher than their marketability efficiency performances. Besides, efficiency performance of the fintech companies differs on the basis of sub-sectors. This paper is a pioneer study in efficiency measurement of FinTechs.