The distribution of foreign direct investments in the service sector in Istanbul

The distribution of foreign direct investments in the service sector in Istanbul  –  Dilek Özdemir

Turkey adopted neo-liberal policies in order to increase its economic integration into international
relations after 1980. As a result of these measures, foreign direct investment (FDI)
inflows increased greatly and Istanbul became the prime site for foreign firms operating in
Turkey’s various service sectors, such as financial, producer and distributive services. The
location preferences of the foreign firms were generally in parallel with the development of
the central business district (CBD) of Istanbul, although in some cases the location preferences
of the foreign investors contributed to the emergence of new center extensions.

Introduction

The development of Istanbul’s CBD between
1950 and 1980

Development of Istanbul’s CBD after the 1980s

Foreign direct investment inflows into
Turkey after the 1980s and the role of
Istanbul

The location preferences of foreign firms in
banking and finance and producer services

The distribution of foreign direct
investments in retail activities

Evaluation of the location decisions of
foreign firms in the service sector

Conclusion

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