Privatization applications in Turkey: An example of the cement sector

Neo-liberal economy policies had become current and from thebeginning of the eighties it had started to concretize by economic and socialpolicies initially in England and the USA. Neo-liberal approach had offeredglobalization as an inevitable process and economy policies on the otherhand had supported that process.In order public proprietorship and intervention had been regarded asserious obstacle in the operation of globalization and New Economic Order,privatization policies had become current.Parallel to such developments in the world, Turkey was also effectedfrom that process and economy entered into a structural conversion with ?24January Decisions? and ?privatization? was started to be suggested as apermanent solution in economy.Privatization applications in Turkey have indicated that the aims thatexpected to be realized by the privatization which had been stated by theviews stressing the necessity of privatization in the world were not in effect.Points to be taken into account on the privatization applications are as follow;social pressure to be created by unemployment increase resulted fromdismissals after privatization, government?s renounce from a long termincome resource by the selling of profit making State Economic Enterprisesand privatization that is expected to improve income distribution may create2more inequality in income distribution on the contrary. In spite of the viewspointing out that profitability, productivity and activity provided by privatizationin a company basis would affect the economy in general; in the last part ofthis study, performance comparison that was made amongst five cementfactories which were privatized in 1989 indicated that profitability andproductivity of all companies were not increased as a result of privatizationand even most of them have been working more efficiently beforeprivatization.