Market concentration levels of firms operating in Turkey's pharmaceuti̇cal sector and an application

The purpose of this study is to analyze the conceptual framework of market concentration, its types and paradigms related to its market strcuture. Doing this, the study aims to deal with the relation among market concentration and foreign trade, employment, cost, competition, production and productivity. The study in detail tries to measure the market concentration and figure out the structural state of the Turkish pharmaceutical sector using two basic concentration measurement methods namely M-Firm Concentration Ratio and Hirchman-Herfindahl Index and the sales of pharmaceutical firms in 2005-2013. In accordance with this aim, the following conclusions have been achieved; with respect to CR4; market concentration level in pharmaceutical sector is low, competition exists, with respect to CR8 ; market concentration level is medium, competition is dimishing, with respect to H-H Index; market concentration level is low and competition is perfect. KEY WORDS: Market Concentration, Market Structure, Pharmaceuticals.