The Concentration From the Competition Perspective in the Turkish Banking Sector
With the globalization, the world has been becoming a much smaller place. New types of business have been emerging. Depending on this situation, new corporations are founded in current and emerging sectors. This causes an increase in competition. On the other hand, a variety of sectors are regulated intensively which result in a high concentration. Banking sectors is one of these sectors at where regulations are much and entry barriers are high. It is aimed at examining concentration from competition perspectives Turkish Banking Sector (TBS). It is concluded that TBS generally has a non-concentrated industry structure in terms of total assets, total credits, total deposits, total equities, and total net profits. Exceptions are seen in total net profits and in total deposits. Concentration level generally has decreased from 1999 (1,172 on average) to 2018 (899 on average calculated by Herfindahl-Hirschman Index (HHI). It is recommended that necessary precautions should be taken by regulatory bodies in order to decrease concentration and increase competition in TBS.