Moscow, June 7 — “News. Economy” in Turkey There are those who believe that the Western powers, especially the US, are trying to undermine the economic development of the country. However, they do not seem to realize large-scale transformations in the world economy over the last 20 years.
On Friday, President Recep Tayyip Erdogan said that those who believed that the economic problems of Turkey are due to internal factors, I don’t know about conspiracies against the country.
However, as noted in an article for the Ahval Eser Karakas, if you examine the situation with leading companies in the main economies in the world since 1970-ies until today, it is obvious that these countries had the development of such countries as Turkey, so they can thrive.
In the 1970-ies in addition to energy giants ExxonMobil, Texaco and Gulf Oil in the list of the 10 strongest U.S. companies included General Motors, General Electric, Ford, Chrysler and ITT. Today, they are perceived as representatives of the “old economy.”
If we consider the 10 largest companies in the world in terms of market capitalization in 2018, we can see that the list is dominated by tech giants.
ExxonMobil on the 10th place of the list, led by Apple, Amazon, Google, and Microsoft. Berkshire Hathaway’s Warren Buffett-is a holding company, which owns dozens of subsidiary companies in technology, insurance and food industry. Tencent Holdings, located in China, JP Morgan Chase are investment and Finance companies.
Changes in the composition of the leading companies impact on U.S. foreign policy. Compared with the old giants of the new customers are not States, and individuals. Today, Washington sees the country in the middle East and Turkey, not as customers, but as a state of citizens-customers.
Apple and Amazon need new markets where people are rich enough to buy new mobile phones, laptops and software. Therefore, US foreign policy aims to establish the rule of law and property rights in developing countries, critical for sustainable economic development and consumer markets.
Last week, the Turkish statistical Institute announced that the country’s economy in the first quarter of 2019 has decreased by 2.6%, 3 months to March it rose by 1.3% in comparison with IV quarter of last year. That growth has attracted worldwide attention, as the economy was in recession after two consecutive quarters of negative growth in 2018.
But last week the chamber of Commerce of Istanbul has published other important data for 2018, conducted a survey among the 500 largest companies. Growth is important to understand whether the Turkish economy to recover quickly after the recession. The composition of its leading companies gives a picture of whether the country has a chance to catch up with developed countries.
If you compare the list of industrial companies of Turkey in 2018 with what it was 15 years ago, it becomes clear that the 10 largest companies have largely remained unchanged. More importantly, Turkey has no top-10 companies working in the field of new technologies. All the important companies in Turkey belong to the era of the old economy.
Even if Turkey will solve its problems and return to growth, it will remain a market for high-tech firms, because they will not be able to adapt to the knowledge economy.
No foreign conspiracy is responsible for the failure of Turkey. Today to catch up with developed countries, need quality education and an environment that encourages innovation. But if we analyze the education system of the country and the mindset of the authorities, it is obvious that Turkey will remain in the old economy.
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