A STUDY ON THE PROBLEMS THAT TURKEY CENTERED TEXTILE BUSINESSES FACED ON ESTABLISHING AND PRODUCTION STAGES OF ABROAD FACILITY

Abstract

The textile sector, one of the locomotives of Turkey's economy, is constantly striving to develop new strategies with the aim of providing a competitive advantage on a regional and global level. One of the applications used in this context is the strategy of establishing an abroad production facility. With the competitive advantage obtained through the abroad production facilities, to have a part in the international market is aimed. Thus, they will have the opportunity to turn in favor of the contraction in the market, excess capacity, labor quality, labor cost, energy cost, raw material cost, various investment incentives, new technologies, and other business elements. Although there are advantages to establish abroad production facility, it is clear that there will be many problems. Since it is inevitable that there will be different management, marketing, finance, production, accounting, and etc. practices in different countries, problems will be encountered as a result of this differentiation.  One way to solve these is to identify the problems during the establishment phase of the business and to take action before they arise. The main goal of this study is to determine the problems by benefiting from the experiences of textile companies that have established abroad production facilities and to guide the enterprises which want to use this strategy. In this context, it is obtained that 144 textile companies from Turkey implemented this strategy and aimed to exploit its advantages. A survey was applied to these enterprises and their answers were analyzed by a simple frequency analysis method. The survey was sent to 144 businesses and the responses of 108 businesses were evaluated. When the data are evaluated, it is seen that the statements are very close to each other and have average values, but it is seen that the problems related to management and organization come to the fore. Solving the problems requires serious management knowledge and skill from the establishing abroad production facility idea has occurred. Even though the basic principles of enterprises when establishing abroad production facilities are less cost, a wider market, and similar material-based targets; not being use management and organization methods properly may cause problems in the continuity of the business. For this reason, management and organization should be planned, preventions should be taken from the beginning, and the decisions taken should be implemented.