Competitiveness strength research in Turkey and EU Countries according to porter's diamond model: Panel data analysis (2007-2010)

Creative Commons License

Erkekoǧlu H., Kivanç H. A.

Actual Problems of Economics, vol.141, no.3, pp.255-266, 2013 (SCI-Expanded) identifier

  • Publication Type: Article / Article
  • Volume: 141 Issue: 3
  • Publication Date: 2013
  • Journal Name: Actual Problems of Economics
  • Journal Indexes: Science Citation Index Expanded (SCI-EXPANDED), Scopus, ABI/INFORM, EconLit
  • Page Numbers: pp.255-266
  • Kayseri University Affiliated: No


This article deals with the competitiveness strength of Turkey and the EU 27 by using the

Porter's Diamond model. 13 independent variables determined for 4 factors of the model and 4

independent variables determined with mean of these 13 variables were used in 2 separate models.

These variables are the ones used in Global Competitiveness Strength Index by the WEF and can

represent the factors of the diamond model. In the first model, a positive impact of local supplier

quality and cooperation in laboremployer relations over foreign trade, while the variables of

degree of customer orientation, buyer sophistication, state of cluster development and value chain

breadth revealed a negative impact over foreign trade. In the second model, while a positive impact

of factor conditions over trade performance, demand conditions and related and supporting indus

tries revealed a negative effect over trade performance. Firm structure, strategy and competitive

ness revealed insignificant impact over trade performance.

Keywords: panel data analysis, foreign trade performance, Diamond Model, competitiveness.