This scientific paper is written within the scope of the Global Perspectives of
International Management. A PESTEL analysis is carried out for Turkey and
described with the help of its six factors. In the beginning, the concept PESTEL
is explained and later applied to ‘Turkey’ as a practical example.
Table of Contents
1. Introduction
2. Basic principle of the PESTEL analysis
3. PESTEL analysis for Turkey
3.1 Political
3.2 Economic
3.3 Social
3.4 Technological
3.5 Environmental
3.6 Legal
3.6.1 Turkish Limited (Limited Sirketi)
3.6.2 Public limited company in Turkey
4. Conclusion
Objectives and Thematic Focus
This scientific paper aims to provide potential investors with a comprehensive overview of the Turkish market environment. By applying the PESTEL framework, the work evaluates Turkey's suitability as an investment destination through an analysis of political, economic, social, technological, environmental, and legal factors.
- Theoretical foundation and application of the PESTEL analysis method.
- Evaluation of Turkey's political stability and economic framework.
- Assessment of demographic trends and the social labor market environment.
- Analysis of technological advancements and significant infrastructure projects.
- Overview of legal requirements for establishing business entities in Turkey.
Excerpt from the Book
3.4 Technological
Turkey, according to an article, offers one of the strongest markets for technologies in the world. The use of Internet plays an important role. According to gemalto.com, 78% of the population use Internet regularly. However, Turkey has not yet reached the peak of development in this area. Internet plays a significant role not only for young people, but also for big companies and the Turkish government.
Besides, Turkey has been the first country which allowed the transfer without bank map. It has introduced the NFC (mobile Near-Field Communications) or the eID (electronic identification maps).
Particularly in the areas of Transfer, identity and authentication, Turkey is ahead of its western neighbours by some years. This aspect can be a big competitive advantage for investment in Turkey for the future.
In the area of nanotechnology, the country has made significant progress. Engineers developed in Turkey are made up of new material using nanotechnology. This new material could also be used in satellite. The project is financed by the TÜBITAK of the Turkish institution for scientific and technological research (Türkiye Bilimsel ve Teknolojik Araştırma Kurumu). Turkey becomes the first country in the world which uses this new material in space.
Chapter Summaries
1. Introduction: This chapter outlines the purpose of the paper, which is to provide investors with a structured insight into Turkey's market environment using the PESTEL analysis.
2. Basic principle of the PESTEL analysis: This section defines the PESTEL framework as a management tool for evaluating the six key external factors impacting organizations or countries.
3. PESTEL analysis for Turkey: This main section applies the six factors of the PESTEL model to the specific context of Turkey, covering political, economic, social, technological, environmental, and legal aspects.
3.1 Political: This section discusses the Turkish political system, the role of the AKP government, and the challenges posed by political corruption and terrorism.
3.2 Economic: This section analyzes Turkey’s free market economy, foreign direct investment inflows, and macroeconomic indicators like inflation and GDP growth.
3.3 Social: This section highlights Turkey’s favorable demographic profile with a young population while addressing the challenges of unemployment.
3.4 Technological: This section examines Turkey's progress in internet usage, nanotechnology, and major infrastructure projects like the Marmaray tunnel.
3.5 Environmental: This section reviews Turkey's natural resources and environmental policies, highlighting both economic potential and the risks associated with seismic activity.
3.6 Legal: This section details the Turkish code of commercial law and the regulatory requirements for establishing Limited and Public limited companies.
3.6.1 Turkish Limited (Limited Sirketi): This subsection explains the specific articles and capital requirements necessary to set up a Turkish Limited company.
3.6.2 Public limited company in Turkey: This subsection outlines the regulations and audit requirements for forming a public limited company in Turkey.
4. Conclusion: This final chapter synthesizes the analysis, concluding that Turkey represents a promising and stable investment destination despite specific regional challenges.
Keywords
PESTEL analysis, Turkey, Foreign Direct Investment, Economic growth, Demography, Technology, Nanotechnology, Infrastructure, Marmaray tunnel, Commercial law, Turkish Limited, Public limited company, Market entry, Investment strategy, Political stability.
Frequently Asked Questions
What is the primary purpose of this scientific paper?
The paper serves as a guide for potential investors by providing an in-depth analysis of the Turkish business environment using the PESTEL framework.
Which six factors are evaluated in the PESTEL analysis?
The analysis covers Political, Economic, Social, Technological, Environmental, and Legal factors.
What is the central research focus regarding Turkey?
The focus is on identifying opportunities and risks for international investors within the specific context of Turkey's current political, economic, and social development.
What research method does the author employ?
The author utilizes the PESTEL analysis, a standard management procedure, to systematically evaluate the macro-environmental factors affecting the Turkish market.
What does the main body of the work cover?
The main body systematically applies each of the six PESTEL factors to Turkey, including detailed sections on legal company structures like the Turkish Limited and Public limited company.
Which keywords best characterize the work?
The work is characterized by terms such as PESTEL analysis, Turkey, foreign direct investment, demographics, technology, and commercial law.
Why is Turkey's demographic profile considered an advantage?
Turkey has a very young population, with over half being under 30, offering significant potential for productive labor and entrepreneurial growth compared to older European populations.
What legal similarity exists between Turkey and Germany?
The Turkish code of commercial law bears significant resemblances to the German Commercial Code, making it relatively comparable for German investors.
How does the author view the technological landscape in Turkey?
The author highlights Turkey as a strong technology market, particularly in areas like nanotechnology, mobile communication, and massive infrastructure developments such as the Marmaray tunnel.
- Quote paper
- Belal Kayumi (Author), 2014, PESTEL Analysis for Turkey, Munich, GRIN Verlag, https://www.grin.com/document/271183
