Analyzing the technical efficiency on the effects of foreign portfolio investment in the financing of small and medium-sized enterprises (SMEs) in turkey

Duran S., Zehir C.

AFRICAN JOURNAL OF BUSINESS MANAGEMENT, vol.5, no.21, pp.8567-8575, 2011 (SSCI) identifier

  • Publication Type: Article / Article
  • Volume: 5 Issue: 21
  • Publication Date: 2011
  • Journal Indexes: Social Sciences Citation Index (SSCI), IBZ Online, Index Islamicus
  • Page Numbers: pp.8567-8575
  • Keywords: Foreign portfolio investment, small and medium-sized enterprises (SMES) financial performance, data envelopment analysis (DAE), Malmquist total factor productivity indexes (MTFP), OWNERSHIP
  • Yıldız Technical University Affiliated: No


This paper investigates the contribution of foreign portfolio investment (FPI) to firms' technical efficiency and total factor productivity by applying two empirical methodologies over a sample of firms. In the study, panel data is from 45 small businesses (small and medium-sized enterprises, SMEs) in Turkey were observed between 2006 and 2010 years. We will analyze the effects of foreign portfolio investment by using the data on businesses in the Istanbul Stock Exchange (ISE). To measure efficiencies of these units, data envelopment analysis (DEA) approach and Malmquist total factor productivity indexes (MTFP) are used.