Porter-Type Regional Agglomerations, Export Performance, and Inclusive Regional Policy: An Empirical Assessment of Turkish Manufacturing Sector

Erkul Abdullah () and Kırankabeş Mustafa Cem ()
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Erkul Abdullah: Abdullah Erkul, PhD, Assistant Professor, Department of Economics, Faculty of Economic and Administrative Sciences, Balıkesir University, Çağış Campus – 10145 Balıkesir/Turkey
Kırankabeş Mustafa Cem: Mustafa Cem Kırankabeş, PhD, Full Professor, Department of Economics, Faculty of Economic and Administrative Sciences, Balıkesir University, Turkey

South East European Journal of Economics and Business, 2024, vol. 19, issue 2, 136-152

Abstract: This study aims to evaluate the medium-term impact of regional agglomerations in the manufacturing sector of Turkey on export performance. To this end, we identified Porter-type agglomerations in ISIC two-digit manufacturing sectors for 58 NUTS-3 regions and the 2008-2019 period. In the empirical analysis section, we used a two-way fixed effects panel data model to analyze the effects of these agglomerations on sectoral export performance. The findings indicate that the advantages of Porter-type agglomeration are limited to certain mid-tech sectors. Also, labor-intensive low-tech manufacturing sectors are found to have no agglomeration advantages in export performance compared to mid-tech sectors. The findings indicate a technology policy need and an inclusive smart specialization strategy (3S) to enhance productivity and export competitiveness.

Keywords: agglomeration economies; export performance; manufacturing sector; Turkey (search for similar items in EconPapers)
JEL-codes: F16 O14 R12 R58 (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:vrs:seejeb:v:19:y:2024:i:2:p:136-152:n:1009

DOI: 10.2478/jeb-2024-0020

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