Obstacles to Growth for Small and Medium Enterprises in Turkey
Many studies have shown that firm growth decreases monotonically with size and age. In this study, the authors investigate employment growth of firms in Turkey with an emphasis on small and medium size enterprises. In Turkey, small and medium size...
| Main Authors: | , |
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| Format: | Policy Research Working Paper |
| Language: | English |
| Published: |
2012
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| Subjects: | |
| Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20100527130349 http://hdl.handle.net/10986/3809 |
| Summary: | Many studies have shown that firm growth
decreases monotonically with size and age. In this study,
the authors investigate employment growth of firms in Turkey
with an emphasis on small and medium size enterprises. In
Turkey, small and medium size enterprises account for almost
77 percent of employment and play a crucial role in the
economy. However, the analysis of firm dynamics in Turkey
shows that medium-size firms (51-250 workers) are the
slowest growing group in the economy. Moreover, small and
medium size enterprises grow at a slower rate in Turkey than
in several comparator countries in the Eastern Europe and
Central Asia region. After determining this irregularity,
the paper analyzes how the investment climate affects firm
growth and finds that improved access to finance is the most
important factor that significantly increases firm growth rates. |
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