Vol. 2 No. 2 (2023): Emirati Journal of Business, Economics, & Social Studies
Articles

Challenges faced by foreign companies in Turkey due to volatility of the local currency

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  • Hashem Ali Almashaqbeh

Published 2023-12-19

Keywords

  • Exchange rate,
  • Volatility,
  • Foreign Companies,
  • Challenges,
  • Local Currency

How to Cite

Challenges faced by foreign companies in Turkey due to volatility of the local currency. (2023). Emirati Journal of Business, Economics, & Social Studies, 2(2), 56-70. https://doi.org/10.54878/vr54e240

Abstract

Even though the working climate in Turkey is widely considered positive, many foreign enterprises have found success there. Local currency fluctuation is one of the key difficulties that foreign enterprises have noticed. This project focuses on currency mercurial in the context of Turkish foreign firms. Secondary means of collecting data have been employed in this project. Information has been gathered from the articles. It has been observed that currently, it is critical for the sustainability of international companies as the Turkish Lira is continuously fluctuating, and this was considered the most terrible time for the economy to return to the previous spirit. Certain factors have affected the Turkish economy, and this instability has brought challenges not only for the international company’s survival but also for the domestic companies. It has been concluded that it is affecting the financial performance of the companies and is empirically supported by past studies. It will make investing easier for anyone interested in the Turkish market. It also helps them foresee their profitability and estimate their risk. It is regarded as a crucial tool for decision-makers to determine the intended course of action in light of the impact of currency mercurial and to enable them to modify their policies in light of the present dynamics. 

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