Question 9
There are 7 business units and you are using the DEA to compare them. You solve the LP for business unit 5. You find from the constraint expression that business unit 4 has obtained an efficiency of 0.9 and business unit 2 has obtained an efficiency of 0.6 with the optimal weights of business unit 5. Which of the following statements is correct?
Business unit 5 may be inefficient
Business unit 4 will be inefficient
Business unit 5 may be efficient
Business unit 2 will be inefficient