Category: Business

  • Turkey Turns to Region – Follows China

    Turkey Turns to Region – Follows China

    Turkey is now emulating China’s push to boost trade with East Africa, on top of eroding the market share of Africa’s traditional European and North American trading partners.

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    The Turkish deputy Prime Minister Bulent Arinc his opening speech of the ongoing Turkey-Africa forum, in the Turkish Capital, Ankara; said that Africa holds a special relationship of brotherhood and business in the heart of Turkey.

    “We are committed to do business with Africans on an equal footing. We are opening up ourselves for Africa than any other Western country. Contrary to colonist powers, Turkish investors try to process resources of Africa within the respective African countries” Arinc added.

    The forum is being attended by journalists and delegates from 54 countries.

    Turkey, he said, has massively grown its trade, industry and construction sector in the previous years on the African continent. He also applauded Ugandans for their hospitality; a spirit the deputy premier said, “Will help Turkey increase its investments in Uganda.”

    “Alongside business, we will also help establish peace and stability on the continent,” he added. Turkish personnel, he said, and financial aid, are deployed in six nations in Africa.

    By the end of the 2012, there will be 33 Turkish embassies in Africa, with several more to open in the coming years. Turkish Airlines now has regular flights to Addis Ababa, Dakar, Johannesburg, Nairobi and Lagos, seeking to turn Istanbul into a major hub for African travelers.

    Turkey’s trade with Africa has recently exceeded the US$ 10 billion mark – slightly less than one tenth of China-Africa trade, but a tenfold increase since 2000 nonetheless.

    The recent African Economic Outlook report shows that Turkey is massively extending its fronts in construction and trade on the African continent.

    It has joined hands with the other economic super powers to account for about 39 percent of Africa’s trade in merchandize in 2009; up from 23 percent a decade earlier, partly reads the report.

    The findings are in the report produced by the African Development Bank, the Organization for Economic Cooperation and Development, the United Nations Development Programme and the UN Economic Commission for Africa.

    China accounted for 13.9 percent of Africa’s total trade of $629 billion in 2009, while India accounted for 5.1 percent, South Korea 2.6 percent, Brazil 2.5 percent, Turkey 2.4 percent and Thailand 1.1 percent, according to the outlook.

    Africa’s new trading partners may also help it reduce its reliance on exports of raw materials. While 85 percent of foreign direct investment flows from traditional investors go into resource-rich countries, the ratio for emerging partners is closer to 70 percent.

    Turkey-Uganda relations are on the rise both socially and economically as part of Turkey’s outreach to African countries to support stability and security, and fixing poverty related issues. Of late, they have also crossed into the road construction sector.

    High-level visits, forums, investment and trade delegations between the countries are broadening each country’s knowledge. Of recent a top Government delegation was on an official visit in Uganda.

    Education was Turkey’s first investment in Uganda followed by the opening of the Turkish Airlines in June this year. Turkish foreign ministry made a declaration in 2005 to turn Africa into the country’s investment hub and her airline’s most valuable destination.

    Of late, the East African Community started considering a non-binding trade and investment deals proposed by Turkey, according to Bloomberg News.

    The community may in future consider entering similar accords with other emerging economies including India and China. The East African Community comprises Kenya, Uganda, Tanzania, Rwanda and Burundi.

    First established in 1967, the community was re-established in 2000 after it was dissolved in 1977, according to its official website. South Sudan and Somalia have applied to become full members of the community.

    Usman Bugaje one of the top researchers and publishers from Nigeria says that there is nothing wrong from Turkey picking a few lessons from what other countries like China and India have done. He strongly believes that Turkey will be a great force on the African continent.

    Rabeb Aloui a political and economic news analyst in Tunisia says that Turkey has a great future since it has already made a massive penetration on the African continent. “It just requires all of us to be strong and work together as a continent to sort out the demands of our societies; taking advantage of the available opportunities of development partners,” Aloui says.

    Prof. Dr. Hailemicheal Aberra, the former Academic President for Addis Ababa University for the last 15 years says that, “We should handle ethnicity diversity through inclusion to ensure political stability, if we are to protect the gain attained in the continent’s development.”

    “We should speak about the problems that affect the country openly and ethnic conflicts must be handled well to avoid continuous strife,” he adds.

    Prof. Dr. Ahmet Kavas believes that Africans are very talented, intelligent and hardworking people. “There is no continent which can survive without the support of the African continent’s people. But there should be a way Africans must exploit this potential, get together and flourish,” he adds.

    via allAfrica.com: East Africa: Turkey Turns to Region – Follows China.

  • Muslim consumers: How do global brands become ‘infidels’?

    Muslim consumers: How do global brands become ‘infidels’?

    “‘Infidel! Infidel!’ cries the six-year-old boy upon hearing his mother mention Nestlé during our interview,” writes author Elif Izberk-Bilgin (University of Michigan-Dearborn). “Why would a six-year-old call Nestlé infidel? How do global brands like Coca-Cola and Disney get tangled in a complex web of sociopolitical dynamics and become targets of religiously charged consumer activism?”

    In describing a phenomenon she calls “consumer jihad,” Izberk-Bilgin explores consumer boycotts of brands associated with Western influences and policies. The author conducted an ethnographic study of low-income Muslim consumers in Turkey. Her informants were shantytown dwellers who had migrated to Istanbul for employment. Many of her interviewees had traditional upbringings and faced economic hardships and culture shock when they arrived in Istanbul’s urban setting. “These informants embraced Islam not just as a matter of faith and a normative system, but also as a political and social model,” the author writes. “As a result, this Islamist view reflected on their consumption choices.”

    Although study participants named Western multinational corporations as examples of infidel brands, some informants also named reputable Turkish brands as infidels. “This suggests that what fosters the infidel critique is not simply an anti-Western sentiment. Rather, it is the complex interplay of many socio-historical factors such as the informants’ discontent with uneven economic globalization, the growing influence of the International Monetary Fund (IMF) in domestic policies, the elite-led modernization project in Turkey, and the stigmatized ‘backward’ social position of Islamists that fuel the infidel critique,” Izberk-Bilgin writes.

    Instead of merely rejecting Western values or modern market systems, Islamists engage in consumer activism as a way to “moralize the market” and embrace products (like gender-segregated resorts and alcohol-free perfumes) that reflect their values, Izberk-Bilgin concludes.

    More information: Elif Izberk-Bilgin. “Infidel Brands: Unveiling Alternative Meanings of Global Brands at the Nexus of Globalization, Consumer Culture, and Islamism.” Journal of Consumer Research: December 2012.

    Provided by University of Chicago (news : web)

    via Muslim consumers: How do global brands become ‘infidels’?.

  • Please Be a Little More Quiet When Shouting at Your Customers

    Please Be a Little More Quiet When Shouting at Your Customers

    In Istanbul’s Rowdy Bazaars, Police Say ‘Shhh’ and Some Whisper, Is the City Losing Its Soul?

    Turkish bazaars are a noisy place, with vendors straining to out shout, and out sell each other. But new laws are making vendors turn down the volume, and leave any crude references out of their sales pitches.

    ISTANBUL — “Tomatoes! Get your tomaaaatoes!” Spend your money here, because you’re not going to take it to the afterlife,” yells Hakan Gursu, a 23-year old vegetable seller in one of this city’s many historic, cacophonous bazaars. “Shouting is the joy of the bazaar,” he adds.

    Turkey’s shout police might disagree with that.

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    Getty ImagesPeople stroll past colorfull merchandise inside the Grand Bazaar in April 2009 in Istanbul, Turkey.

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    Joe Parkinson / The Wall Street JournalIzzettin Ozel, a 42-year-old trader who was fined for shouting too loud.

    For centuries, traders in Turkey’s covered-market bazaars have been perfecting their pitch—famously hollering, singing or otherwise trumpeting their wares. But now an obscure provision of a new law is seeking to turn down the volume.

    Since January, the wardens who patrol Istanbul’s 350 or so street markets, including the storied Grand Bazaar, have had a new mandate: Silence traders who get too loud or too rude.

    Stall owners face fines up to 500 Turkish liras ($280) if they “disturb the environment” or perform “verbal or genuine abuse” against shoppers. Serial bellowers can be evicted from their stalls. In Fatih market, where traders have been haggling since the 14th century, one warden said he had issued penalty notices to more than 100 traders in the past six weeks.

    Izzettin Ozel, a 42-year-old self-confessed shouter who has hawked fruit and vegetables here in Fatih market for two decades, discovered his sales pitch was too loud to be legal only when a fine for 169 liras arrived in the mail last month.

    “You can’t stop shouting at the bazaar. There’s no meaning to just standing here quietly,” he says, surrounded by kiwi fruit and bananas. “Selling is more fun when you shout, plus the sales are higher.”

    Some traders are hiring young lookouts to prowl the bazaar and warn stall owners if wardens are lurking. Others, hoping to dodge penalties but still keen to attract shoppers’ attention, have replaced shouting with elaborately trilled whistling.

    And plenty simply ignore the rules. One Sunday this month, vegetable sellers at Tarlabasi market in Istanbul’s Beyoglu district sang an ode to their fresh peppers: “Take iiit, don’t regret iiit.” Others loudly implored women to buy “Turkey’s best ‘twins’ hats,’” using a slang term for brassieres.

    As stall owners shout in defiance and trill their way through loopholes, Turkey’s governing Justice and Development Party has proposed more rules. New measures demand that stall owners “pay attention to the cleanliness of their hands and faces” and sign forms declaring they aren’t carrying contagious diseases. These proposals are expected to pass into law later this year.

    Municipal officials say the pursuit of quietude and cleanliness in the bazaar is part of a European Union-inspired effort to bring more order to street markets across Turkey. The mayor of Fatih municipality, which houses the city’s largest street market—where some 5,000 stalls jostle for attention—insists shoppers want a bazaar free from yells and expletives.

    “We understand the importance of shouting in the bazaar, but it shouldn’t be too disturbing; we have to work out a compromise,” says Mustafa Demir, in his office on the European side of Istanbul. “We don’t plan to be too tough,” he says.

    Some shoppers say that, in recent years, the shouts have become more uncouth, with an increase in swearing and sexual innuendo. Women have reported being harassed by sellers calling out suggestive rhymes, for instance, as they weigh whether to buy bananas or peaches.

    Traders concede that the more vociferous among them sometimes shout loudly or suggestively. Still, official calls for restraint have fallen on deaf ears among many stall-keepers, who argue that the restrictions represent the latest in a series of attacks on their livelihood.

    [TURKSHOUT]Fatih police patch

    “A few of my friends don’t come here anymore because they are worried about getting fined,” says Bulent Atalay, whose neighboring stallholder left his space after being fined for calling out to a passerby. “The government wants our markets to close, but they won’t succeed,” he says.

    If Turkey’s bazaars are under attack, perhaps it is by shopping malls as much as anything. Istanbul is brimming with malls, and they are taking a bite out of business at the traditional bazaars. By the end of next year, there will be an estimated 275 square meters of mall space to lease for every 1,000 Istanbul inhabitants, or 15% more than the EU average, according to real-estate investment firm Jones Lang LaSalle.

    Still, the shopping-mall culture hasn’t killed the bazaars, which still throng with bargain hunters. Nor have the new noise rules managed to silence traders’ shouts, which still reverberate across the city, proclaiming the virtues of tea cups or tomatoes, eggs or underwear.

    Shoppers seem to be split on whether less shouting would be good or bad. Esra Kutag, who says she often gets hassled by overzealous stall owners when visiting the bazaar every two weeks with her mother, says she welcomes the noise regulations.

    OB SY303 0513ba D 20120513220342“You know, the shouting is sometimes just too much. They shout ‘come! come!’ after you, even if you don’t want to buy,” she says. “Its uncomfortable; they kind of stick to you.”

    Then there are those who are firmly allied with the noisemakers. Suppressing the yelling and song steals what Murat Ulgen, who was shopping for tomatoes one day recently, describes as “the soul of Istanbul.”

    “Sure, we can go to supermarkets, but it’s more expensive and everywhere it’s the same, he says. “Yeah we’re getting richer, but we don’t have to forget where we came from.”

    —Ayla Albayrak contributed to this article.

  • Otokar Rises in Istanbul Trading on Armored Vehicle Contract

    Otokar Rises in Istanbul Trading on Armored Vehicle Contract

    Otokar Otomotiv & Savunma Sanayi AS (OTKAR), a producer of buses and military trucks, rose in Istanbul after it received a contract for armored vehicles worth about 39.5 million liras ($22 million).

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    The shares gained 1.4 percent to 30 liras at the close, after earlier jumping as much as 2.4 percent.

    Turkey’s domestic security force placed an order for armored vehicles due for delivery this year, Otokar said in a statement to the Istanbul Stock Exchange today.

    via Otokar Rises in Istanbul Trading on Armored Vehicle Contract – Bloomberg.

  • Students From TTU and Turkey Travel to Exchange Business Ideas, Serve Others

    Students From TTU and Turkey Travel to Exchange Business Ideas, Serve Others

    Newswise — Iced Turkish coffee, roasted chickpea snacks, a spiced spread and Turkish olive oil are hard to find in the U.S.

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    A group of engineering and business students at Tennessee Tech University has studied how to make those products more available as part of a new international service learning project.

    In partnership with students from a university in Turkey, the group of 20 TTU students has developed ideas, from packaging to marketing, to launch sales of Turkish products in the U.S. The group will spend two weeks doing research in the Middle Eastern country this summer, visiting the products’ manufacturers and discussing their plans.

    “In real life, engineers don’t just do engineering, and business students also have to be able to come out of their silos,” said Meral Anitsal, TTU associate professor of marketing. “Industry requires collaboration and integration, and we are seeing a need to teach that more.”

    While at Celal Bayar University, which is near the Aegean Sea, the TTU students will work closely with their counterparts in Turkey, who have spent their semester doing nutritional analysis on the different products. They sent samples of the Turkish products to TTU students, who gave out the samples and gathered customer feedback during the Windows on the World international festival at TTU.

    With business plans and marketing analyses behind them, it is now up to the TTU students to decide whether to actually try to launch the products here.

    “It’s incubation,” Meral Anitsal said. “I asked my students, ‘Now that you know these products and you know the contacts in Turkey, will you start a business?’ They said, ‘Why not?’”

    When the TTU students return home from Turkey, they will bring a group of students from Celal Bayar with them. They will stay on campus and work on a service learning project in Clay County’s Free Hill area, an unincorporated African American community that was established before the Civil War.

    “We are trying to expose them to many facets of community life,” said Bonita Barger, associate professor of decision sciences and management at TTU and one of the trip coordinators. “They’re helping us in our community after we’ve helped them in theirs. Grassroots service helps.”

    The informal partnership with Celal Bayar developed through a friendship between that university’s president, Mehmet Pakdemirli, and Ismail Fidan, associate professor of manufacturing and industrial technology at TTU. Ismet Anitsal, associate professor of marketing at TTU, also helped organize the trip.

    Organizers say they hope to continue the service initiative and to involve more TTU faculty and disciplines in the future.

    “We’re developing global classes,” Barger said. “The students have jumped out of the fishbowl, and now they are looking back into the fishbowl of their culture.”

    via Students From TTU and Turkey Travel to Exchange Business Ideas, Serve Others.

  • Russian, Italian, French companies among 15 bidding for oil and gas drilling rights off Cyprus – The Washington Post

    Russian, Italian, French companies among 15 bidding for oil and gas drilling rights off Cyprus – The Washington Post

    By Associated Press, Published: May 11

    NICOSIA, Cyprus — Major oil and gas companies such as Russia’s Novatec, Italy’s ENI, France’s Total, and Malaysia’s Petronas are among 15 firms and consortiums that are seeking to carry out exploratory drilling for gas deposits off southern Cyprus, the island’s commerce minister said Friday, despite Turkey’s strong objections.

    The minister, Neoklis Sylikiotis, said the companies that applied for a license to drill by Friday’s deadline also include ones from Canada, the UK, Norway, Israel, South Korea and the U.S., surpassing the government’s hopes.

    The bids come as the small east Mediterranean island nation is reeling from Europe’s financial crisis. It economy is projected to shrink by half a percentage point of GDP this year, and unemployment is hitting record highs.

    “We’ve all had great expectations from this licensing round and I can tell you not only have the results not belied those expectations, they’ve exceeded them by far,” Sylikiotis told a news conference.

    via Russian, Italian, French companies among 15 bidding for oil and gas drilling rights off Cyprus – The Washington Post.