The impact of cultural and institutional distance on export: The case of Turkey

With the recent acceleration of globalization, capital mobility between countries has also become very important. At this point, although developed countries have advantages in certain areas; it is expected that developing countries will play a more aggressive role in realizing their economic development. The internationalization movement which started with businesses moving their commercial activities from national to international; is a topic of interest in international trade. It is very important to carry out studies focused on developing countries, as well as studies focused on developed countries, which are frequently studied in the context of internationalization of enterprises. As the developing countries in the context of Turkey, the purpose of this study cultural and institutional distance is to determine the effects of export. With this main purpose, the study focuses on examining the effect of its sub-dimensions on the dependent variable rather than the direct effect of cultural and institutional distance. In this context, Turkey's exports carried out within the framework of the independent variables are identified as samples 75 countries. Export data which is one of the internationalization strategies is taken into account as the dependent variable in the study. Research objectives identified two main hypotheses to test the effect on the dependent variable argument in line with the development status of developing countries and because of the design work in the context of Turkey has an economy that has been put forward considering the third hypothesis. According to the results of the research, while "individualism" which is one of the sub-dimensions of cultural distance have a significant effect on the dependent variable; others do not seem to have a significant effect. However, it is concluded that all of the institutional distance variables have a significant effect on the dependent variable and the amount of exports varies according to the development levels of the countries.