Export Intensity, R&D Investments, and Firm Performance: Evidence from Turkey

The aim of this study is to investigate the relationship between export intensity and firm performance of the non-financial firms listed in Borsa Istanbul. Moreover, the role of R&D investments on the relationship between export intensity and the firm performance is also revealed. Including 192 firms listed in Borsa Istanbul and 2020 observations from 2005 to 2015, the results suggest that there is a significant positive relationship between export intensity and firm performance. However, this positive relationship is only valid for the firms which make R&D investments. We do not observe any significant relationship between export intensity and firm performance for the firms which do not make any R&D investments. At the final stage of the study, the shape of the relationship between export intensity and firm performance is also investigated. The findings of this study is important to reveal how internationalization of Turkish firms affects their performance.