Change in firm population and spatial variations: The case of Turkey



After this general view, the developments from 1985 to 1992 will be discussed deeply. The
following table outlines the share of firms by size classes in different manufacturing
industries for 1985 and 1992. The domination of micro firms in all manufacturing industries
is very clear from this table. However, in terms of sectoral concentration, the majority of the
firms were gathered in paper products and printing industry and textile, apparel and leather
industry both in 1985 and 1992.

Table 2. Share of firms by size classes and manufacturing sector 1985, 1992

Industry

Micro

Small

1985
Medium

Large

Total

Micro

Small

1992
Medium

Large

Total

31- Food, beverages, tobacco

10.08

Ô/7Ô"

0.33

0.04

11.14

10.18

0^59^

0.33

0.06

11.16

32- Textile, apparel, leather

30.48

0.73

0.48

0.09

31.78

27.32

0.75

0.79

0.13

28.98

33- Wood products and furniture

19.11

0.17

0.07

0.01

19.35

21.95

0.14

0.08

0.01

22.18

34- Paper products and printing

2.30

0.14

0.08

0.01

2.53

3.21

0.09

0.09

0.01

3.40

35- Chemical products

3.88

0.27

0.21

0.03

4.39

2.44

0.19

0.24

0.04

2.90

36- Non-metallic mineral products

2.73

0.12

0.18

0.03

3.07

3.32

0.17

0.22

0.03

3.74

37- Basic metal industries

1.24

0.11

0.12

0.02

1.48

0.91

0.08

0.11

0.02

1.11

38- Fabricated metal products

22.32

0.72

0.50

0.08

23.62

23.68

0.63

0.55

0.08

24.94

39- Other manufacturing

2.58

0.03

0.03

0.00

2.64

1.54

0.03

0.03

0.00

1.59

Total

94.71

2.98

2.00

0.31

100

94.54

2.65

2.44

0.37

100

Being in line with the distribution of firms, the majority of the people is engaged in textile,
apparel, leather industry and fabricated metal products in both 1985 and 1992 (see table 3).
However, in chemical products, non-metallic mineral products and basic metal industries the
share of persons engaged is higher in medium and large firms than micro firms due to more
complex production structures.

Table 3. Share of persons engaged by size classes and manufacturing sector 1985, 1992

Industry

Micro

Small

1985
Medium

Large

Total

Micro

Small

1992
Medium

Large

Total

31- Food, beverages, tobacco

5.48

iτ7^

339

3.52

14.15

5.68

126

w

3.93

13.88

32- Textile, apparel, leather

12.10

1.98

5.07

10.75

29.89

11.61

1.75

7.69

10.51

31.56

33- Wood products and furniture

8.34

0.43

0.68

0.26

9.72

8.78

0.30

0.77

0.26

10.10

34- Paper products and printing

1.19

0.36

0.82

0.63

3.01

1.47

0.20

0.90

0.63

3.20

35- Chemical products

1.77

0.74

2.09

2.85

7.46

1.47

0.44

2.15

2.78

6.85

36- Non-metallic mineral products

1.44

0.35

1.86

2.97

6.62

1.68

0.42

1.90

2.27

6.27

37- Basic metal industries

0.61

0.30

1.22

1.29

3.42

0.50

0.19

1.00

1.07

2.76

38- Fabricated metal products

9.75

1.97

5.18

7.33

24.24

10.00

1.45

5.09

7.80

24.35

39- Other manufacturing

1.00

0.09

0.28

0.12

1.48

0.69

0.06

0.24

0.04

1.03

Total

41.68

8.00

20.60

29.73

100

41.88

6.08

22.74

29.30

100

From all these figures, it can be said that in Turkish manufacturing industry the majority of
firms are dominated by micro firms (nearly 95%). To eliminate the overwhelming effect of



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