The efficiency analysis of textile companies traded in Istanbul Stock Exchange

The technology level of Turkish textile industry is one of the country's leading socioenonomic activity with parameters such as economic activity, foreign trade potential, employment. The study aims that, the scope and development process of the textile industry, by revealing the location of the World and Turkey on trade in Istanbul Stock Exchange (ISE) traded firms in the textile sector efficiencies between 2004-2011 with data envelopment analysis aims to calculate. In addition, the rate of total factor efficiency change of firms in the sector, and this change causes were also investigated. Data envelopment analysis is an data-driven approach to evaluating the performance of decision making units by converting multiple input to multiple output. Acid-test ratio, debt turnover rate, the cash rate were used as inputs, inventory turnover, return on assets and stocks/current assets were used as output variables in this study. As a result of the Data Envelopment and Malmquist Analysis, between 2004-2006 Turkish textile sector had more efficient period, but in 2007 the sector experienced a productivity loss, even though 2008 is a year of crisis, it is not reflected in productivity. After 2008 despite the sector goes into an acceleration of the recovery, during the trend of 2004-2006 period was not captured.