Driven by digital technologies, manufacturers aim to tap into data-driven business models, in which value is generated from data as a complement to physical products. However, this transformation can be complex, as different archetypes of data-driven business models require substantially...

Although conceptually pleasing, normal-gamma frontier models lead to difficult estimation problems. It is shown here that unless the sample size reaches several thousands of observations the shape parameter of the gamma density is hard to estimate, and that this carries over to estimates of the...

Driven by digital technologies, manufacturers aim to tap into data-driven business models, in which value is generated from data as a complement to physical products. However, this transformation can be complex, as different archetypes of data-driven business models require substantially...

The American electric utility data, which are frequently analyzed in the context of frontier models, can be explained by a linear model without inefficiencies. the observed maximum likelihood for this linear model is very mildly smaller than the maximum likelihood for more flexible stochastic...