Corporate governance practices, corporate governance index dependency and the impact of enterprises on market value

The study consists of three chapters, concerning corporate governance practices, corporate governance index dependency and the impact of enterprises on market value. With recent global economic developments, Turkey attracted the attention of foreign investors and has accelerated the entry of foreign capitals into the country. The purpose of this paper is to measure how the market value of some corporate governance indexed enterprises in Turkey is affected, taking into account the recent developments.Although there are several discussions in literature about measuring the relation between corporate governance and the market performance of the enterprise, corporate governance practices are thought to be variable from country to country. The application part of this thesis, which is about to further these discussions, comprises the measurements of the market value of the enterprises, dependent on Istanbul Stock Exchange (IMKB) Corporate Governance Index. In accordance with the results of these measurements, this application includes both individual analysis of the enterprises and the group analyses classified according to IMKB 30, IMKB 50 and IMKB 100 indexes; that is to say huge enterprise groups defined correspondingly to IMKB market value and liquidity rates of the period.This thesis did not exactly conclude that individual market values of the enterprises indexed in IMKB Corporate Governance increased more. In fact, it was only among the enterprises in IMKB 30 index that showed better profit rates, both in the groupings according to market value and liquidity rate. Although it cannot be inferred that other groupings showed better profit rates, there are some which performed better when compared to IMKB means. As the Corporate Governance is still an immature field in Turkey, this conclusion is natural. The reason why the groupings, other than IMKB 30 index, could not perform well is due to the immaturity of the field in the country.