OPPORTUNITIES AND THREATS OF E-COMMERCE IN TURKEY
E-commerce offers important opportunities for Turkey as well as for all other countries. Providing the opportunity to reach beyond the physical boundaries increases the chances of reaching potential customers and helps firms to gain from foreign trade. Similarly, better communication with customers enables faster and more interactive services. Moreover, it increases consumers’ ability to consume different, cheap and quality products. In addition to these facilities, e-commerce in Turkey must exceed some obstacles. The first of these is the strengthening of the technological infrastructure. Turkey has taken important steps in this regard in recent years. Again the development of digital law, security problem, payment-related problems and digital literacy are other important issues that need to be overcome. Opportunities and threats in front of Turkey needed to overcome in economic, technical, social and legal aspects are summarized in the following table (Table 1).
Table 1. E-commerce Opportunities and Threats of Turkey
| Opportunities | Threats | |
| Economic Dimension | Increase in buyer-seller
Card usage spreads Foreign investors are getting more opportunities New job markets open Logistics infrastructure is getting stronger Creating new markets for SMEs |
Financial support like angel investor has not yet reached the desired level
Online orders constitute a small portion of total orders. Online orders are mostly based on domestic market, e-exports are at low level. Alternative payment systems are less The number of online companies is few E-commerce in SMEs is not widely used.
|
| Technical Size | Telecommunications infrastructure is improving
Number of subscribers is increasing. Mobile Commerce is increasing New payment systems are evolving and growing. |
B2B and B2C e-commerce is at a low level
Digital literacy is in low dimensions There are differences between regions in connection |
| Social | Strong social links between Europe and Asia are being established and spreading.
Using social media is increasing. Social media is increasing the number of female entrepreneurs
|
There are individuals who are outside the Internet or who do not know anything at all.
Social internet use is common in young people, which can pose a threat to the future |
| Legal | Creating the legal basis for e-commerce
E-commerce law is harmonized with European law |
Security problem with payment systems continues
The e-commerce law with other countries needs to be closer to each other Compliance with the EU is not fully ensured |
Source: Nuray Terzi, Encyclopedia of E-Commerce Development, Implementation and Management, “E-Commerce Opportunities and Challenges in Turkey”, IGI Global, USA, 2016, s. 1206-1211.
As a result e-commerce in Turkey is creating significant opportunities for both existing as well as new entrepreneurs. It not only increases the potential of the domestic market, but also increases the potential of firms in foreign markets. Moreover, there is also a significant contribution to the employment market. It plays an important role in increasing both young employment and female entrepreneurs number. The increase in number of users, improvements in telecommunications infrastructure, will carry e-commerce in Turkey to significant levels. However, there is a need to expand the digital literacy and improve the legal infrastructure. Especially the security problem regarding payment systems is still continuing. Economic, technical, holding dealt with many opportunities for social and legal aspects of e-commerce market in Turkey, will have an important place in global e-commerce market by overcoming the existing problems.