Market Research in Turkey
As a transcontinental country located between Asia and Europe, Turkey’s growth record as well as its young and skilled workforce make it an attractive investment destination.
Turkey’s Strategic Industries
Out of the various industries contributing to Turkey’s economy, here are four big ones.
Turkey’s automotive sector is a big part of the country’s manufacturing industry. Global manufacturers like Fiat, Renault, Hyundai, Toyota and Ford are running production plants in the country. As a result, Turkey is a major exporter of both vehicles and components.
Turkey’s manufacturing also covers food processing, metals, non-metallic mineral products, rubber, plastic products, electronics and electrical equipment as well as textiles.
Turkey is a producer of gold, boron, trona, quartz, chalcedony and other metals and minerals. It’s also a source of natural stones. Its mining industry has been growing due to favorable factors such as targeted training of mining engineers and increasing capacity in the industry.
Turkey’s climatic conditions make it possible to produce some of the world’s biggest amounts of cherries, hazelnuts, pomegranates, figs and apricots. It’s also among the top producers of watermelons, pistachios, cucumbers and lentils.
Other agricultural commodities produced in the country include olives, chickpeas, onions, tomatoes, almonds, cotton and barley.
With a total of 17 world heritage sites and many others on UNESCO’s tentative list, tourist visits are bound to increase. Two of the seven wonders of the ancient world are also in Turkey. With a thriving hotel industry and an attractive culture, tourism is a sure contributor to the country’s economy.
Business Opportunities in Turkey
There are various investment opportunities in Turkey. Here are some of the most lucrative.
1. Environment and Waste Management
Turkey has been experiencing rapid growth in population and industrialization. This growth led to its cities expanding faster than it had been planned for, leading to pollution and waste management problems.
The government is struggling to deal with the situation. Since the country is open to foreign investors, waste management businesses have an opportunity to expand into Turkey and grow.
The Turkish government has targeted the healthcare industry for improvement although progress is slow. There are opportunities in the construction and equipping of hospitals, manufacturing of medical equipment as well manufacturing, storing and distribution of medicines.
3. Tours and Travel
Turkey is one of the most visited countries in the world. This has been a continuous trend which indicates a guaranteed market over the long term. With the government promoting tourism, a key investment area would be in tours and travel.
4. Financial Services
Despite having a strong banking sector, Turkey has an under-penetrated insurance sector. With the huge population, the country provides an untapped market fueled by a young workforce in need of insurance products and services.
Turkey’s energy demand is higher than it can satisfy. Although it produces its own lignite, it still imports most of its energy, including almost all of the oil it needs. Alternative sources of energy can be developed, especially by taking advantage of the abundant sunshine and wind.
Challenges Facing Turkey’s Economy
Certain challenges are making it difficult for Turkey to attract the kind of investments it hopes for.
The biggest of these is political instability resulting from the 2016 coup attempt. Environmental pollution is also a big problem with the country’s urban population living under high amounts of particulate matter pollution.
Top Business Hubs in Turkey
The capital of Turkey is the top business hub in the country. Ankara hosts the country’s largest industrial park which is home to thousands of companies working in different sectors.
Marmara is a hub for manufacturing businesses. This region produces most of the country’s sunflower. Other agricultural produce like corn, flax and vegetables come from the Zonguldak region which also hosts the largest coal, iron and steel complexes in the country.