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Structure of Turkish Exports: Technology, Knowledge and Sophistication Level, Opportunities

Year 2025, Volume: 33 Issue: 66, 461 - 500

Abstract

The technology, science and development level of a country’s production and export basket are the most frequently mentioned determinants of whether that country will reach a high income level or fall into the middle income trap. This study examined Türkiye’s exports using the concepts of sophistication, proximity and density developed by the product space approach. Although the product space approach offers important opportunities in exploring the sophistication level of a country’s export structure, it is insufficient because it does not include any analysis of market conditions. For this reason, the product space approach was combined with market analyses, while the study examined Türkiye’s export structure and development opportunities. The Growth-Share Matrix approach developed by the Boston Consulting Group (BCG) was used for market analyses. Policy recommendations have been developed based on the study’s results regarding Türkiye’s export diversification.

References

  • Abdon, A. & J. Felipe (2011), “The Product Space: What Does It Say About the Opportunities for Growth and Structural Transformation in Sub-Saharan Africa?”, Levy Economics Institute, Working Paper No. 670.
  • Abdon, A. et al. (2010), “Product Complexity and Economic Development”, Levy Economics Institute of Bard College, Working Paper No. 616.
  • Acha, V.A. et al. (2004), “Exploring the capital goods economy: complex product systems in the UK”, Industrial and Corporate Change, 13(3), 505-529.
  • Afyonoğlu, B. & Ü. Özlale (2011), “How does the rise in export prices affect the market share?”, TEPAV Evaluation Note, February.
  • Agenor, P.R. & O. Canuto (2015), “Middle Income Growth Traps”, Research in Economics, 69(4), 641-660.
  • Aiyar, S. et al. (2013), “Growth Slowdowns and Middle-Income Trap”, IMF Working Paper, WP/13/71.
  • Ata, S. (2020), Evolution of the Product Space and A New Proposal for Turkey’s Export Incentive System, Presidency of the Republic of Türkiye, Presidency of Strategy and Budget, Publication No: 0017, Economic Modelling and Conjectural Evaluations General Directorate, March.
  • Balassa, B. (1986), “Comparative advantage in manufactured goods: A reappraisal”, Review of Economics and Statistics, 68(2), 315-319.
  • Bayar, G. (2021), “Escape from Middle Income Trap: An Export Structure Approach to The Poland Case”, Argumenta Oeconomica, 2(47), 127-186.
  • Berg, A. et al. (2012), “What makes Growth Sustained?”, Journal of Development Economics, 98, 149-166.
  • Citigroup Global Markets (2011), “Global Growth Generators: Moving Beyond ‘Emerging Markets’ and ‘BRIC’”, Global Economics View, 21 February 2011.
  • Cruz, J.D.L. & D. Ricker (2012), “Product Space Analysis of the Exports of Brazil”, US International Trade Commission Office of Economics Working Paper, No. 2012-06A.
  • Cunedioğlu, H.E. (2012), “İhracatın Çeşitliliği ve Niteliği: Çeşitlilik Artıyor Ama Nitelikte Atalet Var”, TEPAV -Türkiye Ekonomi Politikaları Araştırma Vakfı Politika Notu, No: 201257.
  • Dacaycuy-Bayudan, C. (2012), “The Philippine Export Portfolio in the Product Space: Potentials, Possibilities and Policy Challenges”, Economics Bulletin, 32(1), 59-66.
  • Doyle, P. & P. Stern (2006), Marketing Management and Strategy, Financial Times Prentice Hall.
  • Eichengreen, B. et al. (2012), “When Fast-Growing Economies Slow Down: International Evidence and Implications for China”, Asian Economic Papers, 11(1), 42-87.
  • Eichengreen, B. et al. (2013), “Growth Slowdowns Redux: New Evidence on the Middle-Income Trap”, NBER Working Paper No. 18673.
  • Felipe, J. et al. (2012), “Product Complexity and Economic Development”, Structural Change and Economic Dynamics, 23(1), 36-68.
  • Felipe, J. et al. (2012), “Tracking the Middle-income Trap: What Is It, Who Is in It, and Why?”, Levy Economics Institute of Bard College Working Papers No. 715.
  • Fortunato, P. et al. (2015), “Operationalizing the Product Space: A Road Map to Export Diversification”, UNCTAD Discussion Papers, No. 219.
  • Gill, I. & H. Kharas (2007), An East Asian Renaissance: Ideas for Economic Growth, Washington, DC: World Bank.
  • Hausmann, R. & B. Klinger (2006), “Structural Transformation and Patterns of Comparative Advantage in the Product Space”, Center for International Development at Harvard University Working Paper No. 128.
  • Hausmann, R. et al. (2007), “What you export matters”, Journal of Economic Growth, 12(1), 1-25.
  • Henderson, B. (1970), The Product Portfolio, <https://www.bcgperspectives.com/content/classics/strategy_the_product_portfolio/>, 16.02.2016.
  • Henn, C. et al. (2015), “Export Quality in Advanced and Developing Economies: Evidence from a New Dataset”, World Trade Organization Working Paper ERSD-2015-02.
  • Hidalgo, C. & R. Hausmann (2009), “The Building Blocks of Economic Complexity”, Proceedings of the National Academy of Sciences, 106(26), 10570-10575.
  • Hidalgo, C. & R. Hausmann (2011), “The Network Structure of Economic Output”, Journal of Economic Growth, 16, 309-342.
  • Hidalgo, C. (2009), “The Dynamics of Economic Complexity and the Product Space over a 42 year period”, CID Working Paper No. 189.
  • Hidalgo, C. et al. (2007), “The Product Space Conditions the Development of Nations”, Science, 317, 482-487.
  • Hobday, M. et al. (2000), “Innovation in complex products and system”, Research Policy, 29(7-8), 793-804.
  • Ioana, A. et al. (2009), “Analysis of Service Quality Management in the Materials Industry Using the BCG Matrix Method”, Amfiteatru Economic Journal, 11(26), 270-276.
  • Jankowska, A. et al. (2012), “The Product Space and the Middle Income Trap: Comparing Asian and Latin American Experiences”, OECD Development Centre, Working Paper No. 311.
  • Kali, R. et al. (2013), “Growth Networks”, Journal of Development Economics, (101), 216-227.
  • Kanchoochat, V. & P. Intarakumnerd (2014), “Tigers Trapped: Tracing the Middle-income Trap through the East and Southeast Asian Experience”, Berlin Working Papers on Money, Finance, Trade and Development, Working Paper No. 04/2014.
  • Kaplinsky, R. & A. Santos-Paulino (2005), “Innovation and competitiveness: trends in unit prices in global trade”, Oxford Development Studies, 33(3-4), 333-355.
  • Kohli, A.H. & N. Mukherjee (2011), “Potential Costs to Asia of the Middle Income Trap”, Global Journal of Emerging Market Economies, 3(3), 291-311.
  • Lall, S. et al. (2005), “The ‘Sophistication’ of Exports: A New Measure of Product Characteristics”, Manila: Asian Development Bank Institute Discussion Paper No. 23.
  • Lucas, R.E. (1988), “On the Mechanics of Economic-Development”, Journal of Monetary Economics, 22(1), 3-42.
  • Madsen, D.O. (2017), “Not Dead Yet: The Rise, Fall and Persistence of the BCG Matrix”, Problems and Perspectives in Management, 15(1), 19-34.
  • Neffke, F. et al. (2011), “How do regions diversify over time? Industry relatedness and the development of new growth paths in regions”, Economic Geography, 87(3), 237-265.
  • Ohno, K. (2010), Avoiding the Middle Income Trap: Renovating Industrial Policy Formulation in Vietnam, Vietnam Development Forum (VDF), Hanoi, National Graduate Institute for Policy Studies (GRIPS), Tokyo.
  • Paus, E. (2009), “The Rise of China: Implications for Latin American Development”, Development Policy Review, 27(4), 419-456.
  • Record, R. & K. Nghardsaysone (2010), Export Dynamics and Diversification in Lao PDR: An analysis of the product space, The World Bank, East Asia and Pacific Region, PREM Sector Department.
  • Reeves, M. et al. (2014), BCG Classics Revisited: The Growth Share Matrix, <https://www.bcg.com/publications/2014/growth-share-matrix-bcg-classics-revisited>, 06.09.2024.
  • Rodrik, D. (2011), “The Future of Economic Convergence”, NBER Working Paper No. 17400.
  • Sarda, A. et al. (2013), “Strategic Priorities for the Indian Telecom Industry in the Next Decade”, Prabandhan: Indian Journal of Management, 6(4), 5-18.
  • Vitola, K. & G. Davidsons (2008), “Structural Transformation of Exports in a Product Space Model”, Lavijas Banka Working Paper, 4.2008.
  • Woo, W.T. (2012), “China Meets the Middle-Income Trap: The Large Potholes in the Road to Catching Up”, Journal of Chinese Economic and Business Studies, 10(4), 313-336.
  • World Bank (2008), The Growth Report: Strategies for Accelerating and Sustaining High Growth, Growth Commission, World Bank Publication No: 44986.
  • World Bank (2014), “Trading up to High Income Turkey Country Economic Memorandum”, Report No. 82307-TR.
  • World Bank (2024), World Development Report-The Middle Income Trap, Washington.
  • Yülek, M.A. & G. Santos (2022), “Why Income Gaps Persist: Productivity Gaps, (No-)Catch-up and Industrial Policies in Developing Countries”, Journal of Economic Issues, LVI(1), 158-183.

Türkiye İhracatının Yapısı: Teknoloji, Bilgi ve Gelişmişlik Seviyesi, İmkânlar

Year 2025, Volume: 33 Issue: 66, 461 - 500

Abstract

Bir ülkenin üretim ve ihracat sepetinin teknoloji, bilim ve gelişmişlik seviyesi o ülkenin yüksek gelir seviyesine ulaşabileceğinin ya da orta gelir tuzağına düşeceğinin en sık bahsedilen belirleyicilerindendir. Bu çalışmada Türkiye’nin ihracatı ürün uzayı yaklaşımı ile geliştirilen sofistikasyon, yakınlık, yoğunluk kavramları kullanılarak incelenmiştir. Ürün uzayı yaklaşımı bir ülkenin ihracat yapısının sofistikasyon seviyesini incelemede önemli imkânlar sunmakla beraber, piyasa şartları hakkında herhangi bir analiz içermediği için yetersiz kalmaktadır. Bu sebeple çalışmada Türkiye’nin ihracat yapısını ve gelişme imkânlarını incelerken ürün uzayı yaklaşımı piyasa analizleri ile birleştirilmiştir. Piyasa analizleri için Boston Danışmanlık Grubu (Boston Consulting Group-BCG) tarafından geliştirilen Büyüme-Pay Matrisi (Growth-Share Matrix) yaklaşımı kullanılmıştır. Analiz sonuçlarından Türkiye’nin ihracatını çeşitlendirmesi konusunda politika önerileri geliştirilmiştir.

References

  • Abdon, A. & J. Felipe (2011), “The Product Space: What Does It Say About the Opportunities for Growth and Structural Transformation in Sub-Saharan Africa?”, Levy Economics Institute, Working Paper No. 670.
  • Abdon, A. et al. (2010), “Product Complexity and Economic Development”, Levy Economics Institute of Bard College, Working Paper No. 616.
  • Acha, V.A. et al. (2004), “Exploring the capital goods economy: complex product systems in the UK”, Industrial and Corporate Change, 13(3), 505-529.
  • Afyonoğlu, B. & Ü. Özlale (2011), “How does the rise in export prices affect the market share?”, TEPAV Evaluation Note, February.
  • Agenor, P.R. & O. Canuto (2015), “Middle Income Growth Traps”, Research in Economics, 69(4), 641-660.
  • Aiyar, S. et al. (2013), “Growth Slowdowns and Middle-Income Trap”, IMF Working Paper, WP/13/71.
  • Ata, S. (2020), Evolution of the Product Space and A New Proposal for Turkey’s Export Incentive System, Presidency of the Republic of Türkiye, Presidency of Strategy and Budget, Publication No: 0017, Economic Modelling and Conjectural Evaluations General Directorate, March.
  • Balassa, B. (1986), “Comparative advantage in manufactured goods: A reappraisal”, Review of Economics and Statistics, 68(2), 315-319.
  • Bayar, G. (2021), “Escape from Middle Income Trap: An Export Structure Approach to The Poland Case”, Argumenta Oeconomica, 2(47), 127-186.
  • Berg, A. et al. (2012), “What makes Growth Sustained?”, Journal of Development Economics, 98, 149-166.
  • Citigroup Global Markets (2011), “Global Growth Generators: Moving Beyond ‘Emerging Markets’ and ‘BRIC’”, Global Economics View, 21 February 2011.
  • Cruz, J.D.L. & D. Ricker (2012), “Product Space Analysis of the Exports of Brazil”, US International Trade Commission Office of Economics Working Paper, No. 2012-06A.
  • Cunedioğlu, H.E. (2012), “İhracatın Çeşitliliği ve Niteliği: Çeşitlilik Artıyor Ama Nitelikte Atalet Var”, TEPAV -Türkiye Ekonomi Politikaları Araştırma Vakfı Politika Notu, No: 201257.
  • Dacaycuy-Bayudan, C. (2012), “The Philippine Export Portfolio in the Product Space: Potentials, Possibilities and Policy Challenges”, Economics Bulletin, 32(1), 59-66.
  • Doyle, P. & P. Stern (2006), Marketing Management and Strategy, Financial Times Prentice Hall.
  • Eichengreen, B. et al. (2012), “When Fast-Growing Economies Slow Down: International Evidence and Implications for China”, Asian Economic Papers, 11(1), 42-87.
  • Eichengreen, B. et al. (2013), “Growth Slowdowns Redux: New Evidence on the Middle-Income Trap”, NBER Working Paper No. 18673.
  • Felipe, J. et al. (2012), “Product Complexity and Economic Development”, Structural Change and Economic Dynamics, 23(1), 36-68.
  • Felipe, J. et al. (2012), “Tracking the Middle-income Trap: What Is It, Who Is in It, and Why?”, Levy Economics Institute of Bard College Working Papers No. 715.
  • Fortunato, P. et al. (2015), “Operationalizing the Product Space: A Road Map to Export Diversification”, UNCTAD Discussion Papers, No. 219.
  • Gill, I. & H. Kharas (2007), An East Asian Renaissance: Ideas for Economic Growth, Washington, DC: World Bank.
  • Hausmann, R. & B. Klinger (2006), “Structural Transformation and Patterns of Comparative Advantage in the Product Space”, Center for International Development at Harvard University Working Paper No. 128.
  • Hausmann, R. et al. (2007), “What you export matters”, Journal of Economic Growth, 12(1), 1-25.
  • Henderson, B. (1970), The Product Portfolio, <https://www.bcgperspectives.com/content/classics/strategy_the_product_portfolio/>, 16.02.2016.
  • Henn, C. et al. (2015), “Export Quality in Advanced and Developing Economies: Evidence from a New Dataset”, World Trade Organization Working Paper ERSD-2015-02.
  • Hidalgo, C. & R. Hausmann (2009), “The Building Blocks of Economic Complexity”, Proceedings of the National Academy of Sciences, 106(26), 10570-10575.
  • Hidalgo, C. & R. Hausmann (2011), “The Network Structure of Economic Output”, Journal of Economic Growth, 16, 309-342.
  • Hidalgo, C. (2009), “The Dynamics of Economic Complexity and the Product Space over a 42 year period”, CID Working Paper No. 189.
  • Hidalgo, C. et al. (2007), “The Product Space Conditions the Development of Nations”, Science, 317, 482-487.
  • Hobday, M. et al. (2000), “Innovation in complex products and system”, Research Policy, 29(7-8), 793-804.
  • Ioana, A. et al. (2009), “Analysis of Service Quality Management in the Materials Industry Using the BCG Matrix Method”, Amfiteatru Economic Journal, 11(26), 270-276.
  • Jankowska, A. et al. (2012), “The Product Space and the Middle Income Trap: Comparing Asian and Latin American Experiences”, OECD Development Centre, Working Paper No. 311.
  • Kali, R. et al. (2013), “Growth Networks”, Journal of Development Economics, (101), 216-227.
  • Kanchoochat, V. & P. Intarakumnerd (2014), “Tigers Trapped: Tracing the Middle-income Trap through the East and Southeast Asian Experience”, Berlin Working Papers on Money, Finance, Trade and Development, Working Paper No. 04/2014.
  • Kaplinsky, R. & A. Santos-Paulino (2005), “Innovation and competitiveness: trends in unit prices in global trade”, Oxford Development Studies, 33(3-4), 333-355.
  • Kohli, A.H. & N. Mukherjee (2011), “Potential Costs to Asia of the Middle Income Trap”, Global Journal of Emerging Market Economies, 3(3), 291-311.
  • Lall, S. et al. (2005), “The ‘Sophistication’ of Exports: A New Measure of Product Characteristics”, Manila: Asian Development Bank Institute Discussion Paper No. 23.
  • Lucas, R.E. (1988), “On the Mechanics of Economic-Development”, Journal of Monetary Economics, 22(1), 3-42.
  • Madsen, D.O. (2017), “Not Dead Yet: The Rise, Fall and Persistence of the BCG Matrix”, Problems and Perspectives in Management, 15(1), 19-34.
  • Neffke, F. et al. (2011), “How do regions diversify over time? Industry relatedness and the development of new growth paths in regions”, Economic Geography, 87(3), 237-265.
  • Ohno, K. (2010), Avoiding the Middle Income Trap: Renovating Industrial Policy Formulation in Vietnam, Vietnam Development Forum (VDF), Hanoi, National Graduate Institute for Policy Studies (GRIPS), Tokyo.
  • Paus, E. (2009), “The Rise of China: Implications for Latin American Development”, Development Policy Review, 27(4), 419-456.
  • Record, R. & K. Nghardsaysone (2010), Export Dynamics and Diversification in Lao PDR: An analysis of the product space, The World Bank, East Asia and Pacific Region, PREM Sector Department.
  • Reeves, M. et al. (2014), BCG Classics Revisited: The Growth Share Matrix, <https://www.bcg.com/publications/2014/growth-share-matrix-bcg-classics-revisited>, 06.09.2024.
  • Rodrik, D. (2011), “The Future of Economic Convergence”, NBER Working Paper No. 17400.
  • Sarda, A. et al. (2013), “Strategic Priorities for the Indian Telecom Industry in the Next Decade”, Prabandhan: Indian Journal of Management, 6(4), 5-18.
  • Vitola, K. & G. Davidsons (2008), “Structural Transformation of Exports in a Product Space Model”, Lavijas Banka Working Paper, 4.2008.
  • Woo, W.T. (2012), “China Meets the Middle-Income Trap: The Large Potholes in the Road to Catching Up”, Journal of Chinese Economic and Business Studies, 10(4), 313-336.
  • World Bank (2008), The Growth Report: Strategies for Accelerating and Sustaining High Growth, Growth Commission, World Bank Publication No: 44986.
  • World Bank (2014), “Trading up to High Income Turkey Country Economic Memorandum”, Report No. 82307-TR.
  • World Bank (2024), World Development Report-The Middle Income Trap, Washington.
  • Yülek, M.A. & G. Santos (2022), “Why Income Gaps Persist: Productivity Gaps, (No-)Catch-up and Industrial Policies in Developing Countries”, Journal of Economic Issues, LVI(1), 158-183.
There are 52 citations in total.

Details

Primary Language Turkish
Subjects International Economics (Other)
Journal Section Articles
Authors

Güzin Bayar 0000-0003-2061-7043

Early Pub Date October 5, 2025
Publication Date October 9, 2025
Submission Date October 23, 2024
Acceptance Date August 6, 2025
Published in Issue Year 2025 Volume: 33 Issue: 66

Cite

APA Bayar, G. (2025). Türkiye İhracatının Yapısı: Teknoloji, Bilgi ve Gelişmişlik Seviyesi, İmkânlar. Sosyoekonomi, 33(66), 461-500.
AMA Bayar G. Türkiye İhracatının Yapısı: Teknoloji, Bilgi ve Gelişmişlik Seviyesi, İmkânlar. Sosyoekonomi. October 2025;33(66):461-500.
Chicago Bayar, Güzin. “Türkiye İhracatının Yapısı: Teknoloji, Bilgi Ve Gelişmişlik Seviyesi, İmkânlar”. Sosyoekonomi 33, no. 66 (October 2025): 461-500.
EndNote Bayar G (October 1, 2025) Türkiye İhracatının Yapısı: Teknoloji, Bilgi ve Gelişmişlik Seviyesi, İmkânlar. Sosyoekonomi 33 66 461–500.
IEEE G. Bayar, “Türkiye İhracatının Yapısı: Teknoloji, Bilgi ve Gelişmişlik Seviyesi, İmkânlar”, Sosyoekonomi, vol. 33, no. 66, pp. 461–500, 2025.
ISNAD Bayar, Güzin. “Türkiye İhracatının Yapısı: Teknoloji, Bilgi Ve Gelişmişlik Seviyesi, İmkânlar”. Sosyoekonomi 33/66 (October2025), 461-500.
JAMA Bayar G. Türkiye İhracatının Yapısı: Teknoloji, Bilgi ve Gelişmişlik Seviyesi, İmkânlar. Sosyoekonomi. 2025;33:461–500.
MLA Bayar, Güzin. “Türkiye İhracatının Yapısı: Teknoloji, Bilgi Ve Gelişmişlik Seviyesi, İmkânlar”. Sosyoekonomi, vol. 33, no. 66, 2025, pp. 461-00.
Vancouver Bayar G. Türkiye İhracatının Yapısı: Teknoloji, Bilgi ve Gelişmişlik Seviyesi, İmkânlar. Sosyoekonomi. 2025;33(66):461-500.