Türkiye İmalat Sanayindeki Yabancı Sermayeli Şirketlerin Profili ve Karlılıklarının Belirleyicileri[Profile of Foreign Owned Companies in Turkish Manufacturing Industry and Determinants of Their Profitability]

It is a widely accepted view in the literature that foreign direct investments contribute to overall economic performance by financing the current account deficit in a healthy channel and increasing total factor productivity in host countries through technology transfer. In this study, basic balance sheet ratios of foreign owned companies are compared with those of domestic ones operating in Turkish manufacturing industry for the period of 2009-2023. In addition, the determinants of profit margins (an indicator of firm performance) of foreign owned companies are tested using the dynamic panel method. Moreover, export share and its interactions with companies’ foreign owned shares (CFS), scale and age groups are included as independent variables in the regressions. The results revealed that there is a positive relationship between export shares and profit margins. This positive relationship is more visible for younger, relatively smaller and firms with higher CFS. Therefore, increase in the activities of these company groups might contribute to the sustainability of the external balance in Türkiye.