ABSTRACT
Until the mid-1960s, the Turkish automotive industry consisted mainly of a few assembly plants of imported parts, working under the license of foreign firms. The Turkish automobile industry is on average more likely to derive advantages from the factors included in that element of the diamond given that competition is intensifying, causing existing companies to upgrade. In terms of the attributes of home demand as defined by Michael Porter, it is not so easy to detect an advantage for the Turkish automobile industry. Impacts of chance events are on average more likely to be favourable for the Turkish automobile industry, provided, of course, that a smooth transition and restructuring will take place following the recent challenges. While assessing the role of government in shaping the sources of advantage in the Turkish automobile industry, starting with an overview of the import protection history may be helpful.
