The Impact of E-Commerce on International Trade: Case of Turkey

Abstract

The purpose of the present paper is to investigate the impact of electronic commerce on international trade with the case studying of Turkey. E-commerce offers economy-wide benefits to all countries. The benefits are probably to be concentrated in developed countries in the short run, but developing countries will have more to benefit in the long run. Applying electronic commerce in both own and foreign country will affect corporate profits badly in the beginning, but after a certain step of progress, it will promote the rapid growth of corporate profits. The theories covered in this paper are simply those theories which have helped business, governments, and economics to better understand international trade and also to better understand how to manage, regulate, and promote international trade. Turkey has to achieve current account balances in balance of payment where suffers from large deficits for a long time.  In this research, the based on international trade theories and development and growth theories of innovation, the electronic commerce is considered as one of the key stimulus to increase export in Turkish economy. In Turkey, following January 24 the 1980 decisions, trade liberalization policies have been supported by Customs Unions with the European Union. All these were steps of export led growth policies, currently; Turkish economy has target of raising export to USD $ 500 billion from USD $ 150 billion of 2017. E-commerce would offer one of the opportunities in raising exports. In developed economies, it is already measured how e- commerce increase international trade.  New opportunities for international trade have created throughout internet. Turkish Customs offices already adopted the related legislation to facilitate e- commerce. But, there should be security warranty to pave the road doing e-commerce without doubt or fear. The way of communicating or doing business and trade between companies and individuals has changed as the geographical distance decreased between buyers and sellers.