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                    <text>1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

How Is the Market Size Relevant as a Determinant of FDI in Developing
Countries? A Research on Population and the Cohort Size

Mustafa Şeref AKIN
Assist.Prof.Dr., Fatih University, Đstanbul, Turkey
msakin@fatih.edu.tr

Abstract : The small size of the market in developing countries is associated with non-market
seeking FDI activities. Even though, GDP per capita is a poor indicator for the market seeking
FDI activities in developing countries, both population and GDP are crucial. The findings of
the study suggest that FDI is concerned with the size of market in developing countries not in
per capita basis but rather in aggregate size. More precisely, FDI will more likely focus on
regional areas rather than on an expansion through the country. In terms of cohort size, the
size of middle age cohort promotes FDI, and old and young age cohorts weaken FDI.
Keywords: Developing Countries; FDI; domestic market size; population; cohort size.

Introduction
How do multinational enterprises decide on the locations of their foreign direct investment (FDI)1?
Market size has been the single most widely accepted as a significant determinant of FDI flows (Chakrabarti,
2001). The larger the host area’s (country, region, and sub region) total income and its potential for development,
the greater the amount of the FDI investment (Billington, 1999). A large market is necessary for efficient
utilization of resources and exploitation of economies of scale (Chakrabarti, 2001). On the other hand, Asiedu
(2002) argues that market size is not a determinant for a developing country due to low income. In the FDI
literature, not much research on the impact of the market size has been conducted yet for developing countries.
The additional originality of this paper is to approach the market size framework from the population aspect and
its cohort size. In this respect, this research is intended not just to review previous models dealing with the
market size, but also to examine the significance of untested market size determinants of locations.
The market size itself cannot be easily ascertained (Billington, 1999). Regressions of Schimitz and Bieri
(1972) are estimated for U.S.A. FDI to Canada, the EEC and EFTA. Their market size proxy is GNP and growth
of GDP2.
Root and Ahmed (1979) identify unattractive, moderately attractive and highly attractive countries in
terms of FDI per capita for 58 countries with 38 variables. The unattractive category represents FDI per capita as
less than $1, the moderately attractive as between $1 and $4.1, and the attractive as more than $4.1. They use
GDP, GDP per capita and growth per capita as a proxy for market size. They argue that the absolute size of GDP
is more likely to reflect population size rather than per capita income. Their conclusion is that developing
countries that have attracted FDI have a relatively advanced infrastructure, comparatively high growth rates and
per capita GDP, and political stability.
Culem (1988) tests the impact of market size for 14 countries for the period of 1969-1982. A bigger
market allows the benefits of large-scale production to be more readily captured. Moreover, investors naturally
prefer faster growing markets, which offer more promising prospects.
Billington3 (1999) is the first author to consider population as a variable; she uses population density as
a determinant of FDI. Population density implies a more concentrated consumer and labor market as well as a
more integrated infrastructure (Billington, 1999).
Chakrabarti (2001) states that absolute GDP is a poor indicator since it reflects the size of the
population rather than the income per capita. Broadly, this paper aims to explore the impact of market size on
FDI considering population size and its characteristics in developing countries in a theoretical and empirical
framework.

1

Some major benefits of FDI are that FDI is a much better way than borrowing due to risk factor of repayment, and reforms
for an increase of FDI may directly also promote growth (Gastanaga et al. ,1998).
2
Lunn (1980)’s findings support Scmitz and Bieri (1972) except the first lag growth, which is negatively correlated with
FDI.
3
Billington (1999) uses GDP and growth rate of GDP.

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�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

This paper is structured in the following ways: In section 2, we define methodology and all the
variables of interest. Section 3 provides an analysis of results. Finally, section 5 concludes by considering the
implications of these findings.

2. Methodology
We use average data from 1980 to 2000, and we apply cross-sectional OLS. The standard error is White
Heteroskedasticity Consistent . FDI is a dependent variable. The list of data and countries is obtained from the
World Bank (2003) and is reported in the appendix.
FDI=

α + β (Population Variables) + ∏ (Control Variables)+ ui

(11)

Where α is a constant coefficient, β and ∏ are the estimated coefficients on the independent variables
and ui is an error term.
The impact of population variables according to the model that we presented in section 2 is measured in
several ways; size of population (n), life expectation (m) and young, middle and older population-cohort size (c).
Further more, population growth rate can be also considered in the same framework. Higher population growth
rates will more likely attract FDI.
2.1. Dependent Variable
Billington (1999) considers total FDI, Culem (1988) uses the share of FDI in GNP, Chakrabarti (2001)
prefers FDI per capita, and Asiedu (2002) uses the share of FDI in GDP. In this research, we consider FDI (%
GDP) as a standard in the literature (Asiedu, 2002). Plus, Chakrabarti (2001) indicates that GNP refers to
citizens who do not live in the country. So, they are not the part of the domestic market.
2.2. Independent Variables
2.2.1. Infrastructure
Infrastructure increases the productivity of investments. The proxy for infrastructure varies. Billinton
(1999) uses government expenditure on transportation and communications, and Asiedu (2002) chooses
telephone mainlines (per 1000) as a proxy for infrastructure. In this research, we will use telephone mainlines
(per 1000) as in standard in the literature (Asiedu, 2002)
2.2.2. Import
A high level of imports into the host area may indicate a high level of penetration by foreign companies
who may begin exporting to the host countries and switch later to FDI (Culem, 1988).
2.2.3.Manufacturing
Industrialization will tend to encourage capital-intensive companies, so it should also attract FDI. The
share of manufacturing in GDP represents the degree of industrialization (Wheeler and Mody, 1992).
2.2.4. Human Capital
Multinational are distinguished from national firms in terms of four characteristics: high level of R&amp;D,
professional and technical workers, new and complex products and advertising (Markusen, 1995). From this
perspective, we believe that human capital as well as physical infrastructure in a country is relevant to draw FDI
to the country.
The theoretical relationship between human capital and FDI is demonstrated by Zhang and Markusen
(1995). Multinational firms are able to exploit factor-price differences in the world economy, locating skilledlabor intensive phases of operation in skilled-labor abundant locations and unskilled-labor-intensive in respective
locations. (Zhang and Markusen, 1995). This correlation is tested the macro level by Akin and Vlad, (2004).
The authors show that FDI flows to skilled-labor abundant countries.
In this research, primary education enrollment is considered as a proxy for human capital (Barro, 1991).
2.2.6. Income
We include income, since concepts such as total GDP, GDP per capita and growth are considered as
proxies of the abundance of the market size. We are able to compare the population argument with the standard
proxies (see more discussion in the introduction and the theoretical framework).

426

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

3. Empirical Results
Table 2 reports the results of the regression of Model 1 and 2, which compare population size and GDP.
The results show that the population size is more relevant than GDP to measure the effects of domestic market.
A more populated nation can have a more promising future for investors. However, a similar comparison is
realized in model 4 and 5. In this case, both of the variables are positive and significant. This result suggests that
GDP is a good proxy to measure the market size. However, in some cases GDP is not sufficient to take into
account the population size. For instance, a country, which may currently have a low GDP, may have a high
GDP in the future, thanks to growth of income and population. In this context, population reflects promising
prospects.

Variables
Constant
Telephone
Mainlines
Import (%)
GDP Per Capita
(PPP)
GDP Growth (%)
Pop Growth (%)
Pop Density
Pop Total
Life Expectancy
GDP (PPP)
0-14 Age Pop
14-65 Age Pop
65 Over Pop
Primary
Education (%)
Manufacturing
Value Added
N
R-square

Table 2: FDI (%) is dependent variable: average 1980-2000
Model 1
Model 2
Model 3
Model 4
-.52
-.54
-.23
-.63
(-.36)
(-.37)
(-.16)
(-.46)
-.0047
-.0047
-.005
-.000457
(-1.42)
(-1.42)
(-1.52)
(-0.09)
.05
.05
0.05
0.04
(4.9)***
(4.7)***
(4.73)***
(5.03)***
-0.00000391
-0.00000155
-0.0000009
- 8.08 (E-08)
(-.03)
(-.134)
(0.08)
(-.61)
-0.052
-0.049
-.05
-.05
(-.95)
(-.88)
(-1.09)
(-1.27)
-.37
-.37
-.44
-.51
(-2.48)**
(-2.43)**
(-2.89)***
(2.8)***
-0.002
-0.002
-.0024
-.0027
(-2.21)**
(-2.129)**
(-2.29)**
(-2.3)**
11(E-10)
1.52 (E-09)
(1.68)*
(1.72)*
0.026
0.026
0.024
0.01
(1.001)
(1.001)
(.92)
(.6)
45 (E-14)
(1.01)
-2.04 (E-08)
(-1.27)
3.29(E-08)
(1.81)*
-2.52 (E-07)
(-1.88)*
.023
(2.92)***
-.064
(-1.57)
110
110
110
105
.32
.32
.33
.38
White Heteroskedasticity-Consistent Standard Errors
* **t is statistically significant at 1% level
** t is statistically significant at 5 level
*t is statistically significant at 10 % level

Model 5
-.63
(-.45)
-.000253
(-0.052)
0.04
(4.96)***
-.0000971
(-.73)
-.06
(-1.29)
-.51
(2.8)***
-.0026
(-2.2)**

0.01
(.6)
9.52(E-13)
(1.75)*

.022
(2.88)***
-.064
(-1.59)
105
.38

Asiedu (2002) argues that FDI flows with non-market seeking activities in developing countries. Even
though GDP per capita and GDP growth are negatively correlated (not significant) in all models, GDP or
population size is positively correlated with FDI and significant. This may indicate that FDI is taken into account
the size of market in developing countries not in per capita basis but rather in aggregate size. More precisely,
FDI will more likely focus on regional areas with relatively higher purchasing power rather than on an expansion
throughout the country.

427

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

Model 3 includes the population by cohort size: young (0-14 age), middle (14-65) and old (65 and
above) ages. Our regression suggests that the middle age1 cohort is positively and significantly correlated with
FDI. However, the older cohort size is negatively and significantly correlated with FDI. This suggests that a
society where the age demography consists heavily of old people will receive less FDI because old people have a
shorter life span and are more likely to be maturated in consumption2. The coefficient of young cohort size is
negative and not significant. Contrarily, a young cohort size can be very eager to purchase all goods. On the
other hand, they may not earn income or receive sufficient allowances from their parents to fulfill their
aspirations.
Model 4 and 5 indicate that human capital acquisition is important to attract more FDI (Akin and Vlad,
2004, Walkirch 2003). However, telephone mainlines as a proxy of infrastructure and manufacturing as a proxy
of industrialization are negatively correlated but insignificant. Further more, high population growth and
population density are not promoting FDI. However, Billington (1999) suggests that the concentration of the
human resources in one region is more attractive for FDI. This result suggests the importance of the balanced in
population density.
None of the regression results finds an enhancement of FDI due to life expectation.

4. Conclusion
We have presented a model in which population and its characteristics have a systematic effect on FDI
in developing countries. The small size of the market due to the low income argument in developing countries is
associated with non-market seeking FDI activities. Even though GDP per capita is a poor indicator for the
market seeking FDI activities in developing countries, both population and GDP are crucial. This result suggests
that FDI is taken into account the size of market in developing countries not in per capita basis but rather in
aggregate size. More precisely, FDI will more likely focus on regional areas with relatively higher purchasing
power rather than an expansion through the country.
We also hypothesize that higher life expectation and young cohort size will attract more FDI. The result
shows that life expectation has a slight impact on FDI. An overwhelmingly young or old cohort size impedes
FDI; however a moderate age composition attracts FDI.
Human capital acquisition promotes FDI. The weak association between the level of manufacturing and
FDI suggests that FDI in developing countries barely flows to industrial sectors.

References
Akin, M and V. Vlad (2004). The Relationship between Human Capital and Foreign Direct Investment Testing ZhangMarkusen Theory (ZM). Working paper.
Asiedu, E. (2002). On the Determinants of Foreign Direct Investment to Developing Countries: Is Africa Different? World
Development, vol. 30 (1), 107-119.
Barro, R. (1991). Economic Growth in a Cross Section of Countries. The Quarterly Journal of Economics. 106 (2), 407-443.
Billington, N. (1999). The Location of Foreign Direct Investment: An Empirical Analysis. Applied Economics, 31(1), 65-76.
Culem, C.G. (1988). The Location Determinants of Direct Investments: Among Industrialized Countries. European
Economic Review, 32 (4), 885-904.
Chakrabarti, A. (2001). The Determinant of Foreign Direct Investment: Sensivity Analysses of Cross-Country Regression.
Kyklos, 54 (1), 89-114.
Haufler, A. and I. Wooton. (1999). Country Size and Tax Competition for Foreign Direct Investment. Journal of Public
Economics, 71 (1), 121-139.
Friedman, J, D. Gerlowski, and J. Jilberman (1992). What Attracts Foreign Multinational Corporations? Evidence From
Branch Plant Location in the U.S.. Journal of Regional Science, 32 (4), 403-18.
Gastanaga, V., J. Nugent, and B. Pashamova (1998). Host Country Reforms and FDI Inflows: How Much Difference Do
They Make? World Development, 26(7), 1299-1314.
Lunn, J. (1980). Determinats of U.S. Direct Investment in the EEC. Euiropean Economic Review, 13 (1), 93-101.
Markusen, J. (1995). The Boundaries of Multinational Enterprises and the Theory of International Trade. Journal of
Economic Perspectives, 9 (2), 169
1

Our theoretical model favors the young cohort size rather than the middle age cohort.
A similar argument can be made in terms of traditional and modern consumption patterns, since relatively young people can
be more eager of new items.

2

428

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

Root, F and A. Ahmed (1979). Empirical Determinants of Manufacturing Direct Foreign Investment Developing Countries.
Economic Development and Cultural Change, 27, 751-767.
Schmitz, A and J. Bieri (1972). EEC Tariffs and U.S. Direct Investment. European Economic Review, 3 (3), 259-270.
Wheeler, D. and A. Mody (1992). International Investment Location Decisions. Journal of International Economies, 33, 5776.
World Bank (2003). Social Indicators. (CD-ROM).
Zhang, K.H. and J.R. Markusen (1999). Vertical Multinationals and Host-Country Characteristics. Journal of Development
Economics, 59 (2), 233-252.

429

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                <text>The small size of the market in developing countries is associated with non-market  seeking FDI activities. Even though, GDP per capita is a poor indicator for the market seeking  FDI activities in developing countries, both population and GDP are crucial. The findings of  the study suggest that FDI is concerned with the size of market in developing countries not in  per capita basis but rather in aggregate size. More precisely, FDI will more likely focus on  regional areas rather than on an expansion through the country. In terms of cohort size, the  size of middle age cohort promotes FDI, and old and young age cohorts weaken FDI.</text>
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                    <text>1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

Determinants of Bank Efficiency in Turkey: A Two Stage Data
Envelopment Analysis
Ahmet AKIN
Faculty of Economics and Administrative Sciences, Fatih University, Istanbul
akin@fatih.edu.tr
Merve KILIÇ
Faculty of Economics and Administrative Sciences, Fatih University, Istanbul
mervekilic@fatih.edu.tr
Selim ZAĐM
Faculty of Economics and Administrative Sciences, Fatih University, Istanbul
szaim@fatih.edu.tr

Abstract: Financial industry plays an important role in the economy and banks are
indispensable players in the financial industry. Therefore, the evaluation of banks’
performance became a popular research topic in all over the world, and also in Turkey. There
are different techniques to determine the banks’ performance. Among those techniques, Data
Envelopment Analysis (DEA), which is a non-parametric technique, has been widely used in
the banking sector. In this research, we analyzed the efficiency of Turkish Banking Industry
with Data Envelopment Analysis (DEA) methodology between 2002 and 2007. All the banks
that constantly operated in the years between 2002 and 2007, excluding investment and
development, participation banks, get into the analysis. So there are four groups of banks in
the research, those are state-owned deposit banks, privately-owned deposit banks, foreign
banks founded in Turkey, and foreign banks having branches in Turkey. In the research
model, number of employees, interest expenses, non-interest expenses and total deposit are
determined as input, total credits, interest revenue and non-interest revenue are determined as
output. This analysis aims to explain the variation in efficiency scores with a set of
explanatory variables, such as size, ownership type, nationality, being publicly held.
According to results, the efficiency levels do not change very much between 2002 and 2007.
The efficiency scores reached top level in 2005 and 2006. The results of regression
application denote that all of the explanatory variables have a significant effect on banks’
efficiency levels. According to regression analysis results, size negatively affects the
efficiency levels of banks. Publicly listed banks operate more efficient than not publicly listed
banks. Foreign owned banks operate more efficient than their domestic peers. Furthermore,
state owned banks are less efficient than non-state banks.
Keywords: Efficiency, Data Envelopment Analysis, Tobit Regression Model, Turkish
Banking Sector.

1. Introduction
With the changes in economical environment, financial institutions have an essential role in the
developing countries’ economy. Especially banks are fundamental players in the financial industry. So the
evaluation and assessment of banks’ performance, efficiency, and effectiveness have attracted considerable
attention. Measurement of efficiency of banking institutions serves two important purposes. It helps to
benchmark of an individual bank against the “best practice” banks and secondly, it helps to evaluate the impact
of various measures on the efficiency and performance of these institutions (Das et al. 2009). But the
performance measurement in banking sector is not so straightforward, because there are some difficulties in
determining inputs and outputs of a bank for efficiency measurement. There is not consensus on that subject.
Furthermore, banks may not be homogeneous with respect to types of output they produced.
In Turkey context, some reforms were applied in banking industry after 1980s. The banking industry
experienced some financial crises in November 2000 and February 2001. The efficiency level of banking sector
decreased in those years. This situation required restructuring of banking sector in Turkey. There are some
researches that investigate the performance of banking sector after liberalization policies in 1980s or the effects
of financial crises on banking sector. There is not much study that investigates the recent efficiency of Turkish
Banking Industry.

32

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

There are a lot of techniques to determine the banks’ performance. One of them is ratio analysis. In
ratio analysis, measures such as return on assets (ROA), return on investment (ROI), liquidity ratios give only
one dimension of performance. In this type analysis, different measures can give contradictory results. The
regression analysis eliminates this disadvantage but it can only handle one output at a time. In the most of
industries corporations especially in banking operate with many inputs and many outputs. Therefore there exists
a requirement for efficiency measurement method besides ratio and regression analysis. Data envelopment
analysis which was originally introduced by Charnes et al. (1978) is capable of solving multiple inputs and
outputs and enables to see complete picture of performance of a company.
This paper examines the efficiency of Turkish banking sector for the period 2002-2007. In this study
the effects of size, ownership type, being publicly held on performance are also analyzed. There are two stages
of this research. First stage is the analysis of efficiency levels of banks with Data Envelopment Analysis
methodology and the second stage is determination of the effects of bank size, ownership type, nationality and
being publicly held on bank efficiency scores by Tobit Regression.
The paper is structured in the following way. Section 2 includes a brief review of the literature about
bank performance and explanatory variables’ effects on banks’ efficiency levels. Section 3 denotes the research
sample of this study, input and output variables that are used, and outlines the non-parametric Data
Envelopment Analysis methodology. In the fourth section the results of the study are charted and the findings
are discussed. And in the fifth section the conclusions of the study are presented.

2. Literature Review
In a rapidly changing financial market worldwide, bank regulators, managers, and investors are
concerned about how efficiently banks transform their expensive inputs into various financial products and
services (Işık &amp; Hassan 2002). So the investigation of the financial institutions has been motivated by
academics, policy makers, bankers. There a lot of studies Sufian (2008), Işık (2008), Rezitis (2006), Işık and
Hasan (2002), Das et al. (2009), Mercan et al. (2003) that examine the efficiency levels of banks with different
methods.
Some researchers investigated also the effects of some explanatory variables on bank efficiency, such
as, size, type of ownership, bank configuration, being publicly traded or not.
Bank size is generally measured by banks’ amount of assets. Jackson and Fethi (2000), Mercan et al.
(2003), Rezitis (2006) analyzed the effect of the bank size on efficiency found a positive relationship between
size and efficiency. Işık and Hassan (2002) determined a negative relationship between bank size and
efficiency. Chen et al. (2005) indicated that large and small banks are more efficient than medium banks. Aly et
al. (1990) investigated the effect of size on the overall efficiency, technical efficiency, allocative efficiency and
pure technical efficiency of banks and they measured size as total deposits in thousand of dollars and number of
bank branches. They found that size is positively related to efficiency, regardless of whether size was measured
as total deposits or number of branches. There is no consensus on how bank size affects bank efficiency, but
general view large banks are more efficient than small and medium sized banks.
Hypothesis 1. Large sized banks are more efficient than small sized banks.
The market hypothesis supposed that publicly traded banks should operate more efficient than not
publicly traded. But studies that analyze the relationship between being publicly listed or not and bank
efficiency generally indicate there is not a significant relationship. Sufian (2009) investigated the effect of being
publicly listed on bank performance and did not find evidence of higher efficiency levels of the publicly listed
banks. Havrylchyk (2006) studied on being publicly traded effect the performance of banks, but observed no
impact of publicly traded on banks efficiency. Mamatzakis et al. (2008) discriminated the banks as publicly
listed or not and analyzed the effect of being publicly listed on efficiency, the results do not reveal significant
differences between publicly traded or not traded banks.
Hypothesis 2. Being publicly held has no affect on bank’s performance.
Jackson and Fethi (2000) analyzed the effect of ownership type on banks’ performance and according
to their results state ownership worsens efficiency. Işık and Hassan (2002) found that private banks operate
more cost efficient than banks in public sector. Mercan et al. (2003) classified the banks according to type of
ownership as state-owned, private and foreign. State-owned banks had lowest performance in their study.
Sufian (2009)’s study showed that the foreign banks are likely to be more efficient than domestically owned
banks. Jackson et al. (1998) analyzed the performance of banks during the period 1992-96 in Turkey. Among
three ownership types, private and foreign banks showed greater productivity growth compared to state owned
banks. Chen (1998), Chen and Yeh (2000) analyzed the efficiency differences between private and public banks
in Taiwan. The results indicated that private banks operate more efficient than public banks. Havrylchyk (2006)
assessed the efficiency of foreign and domestic banks, showed that foreign banks are operating in a higher level
of efficiency than domestic banks. Also, his study showed that state banks are more efficient than other
domestic banks. Chen et al. (2005) grouped the Chinese banks as state owned commercial banks, national-joint

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�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

equity banks, regional-joint equity banks and investment banks to determine the relation between efficiency
level and type of ownership. State banks showed a relatively higher efficiency level. Lensink et al. (2008)
analyzed 2095 banks in 105 countries over the years 1998-2003 and found that foreign ownership negatively
affects bank efficiency. Bonin et al. (2005) suggested that foreign-owned banks are more cost-efficient than
other banks.
Hypothesis 3. Private banks operate more efficiently than public banks.
Hypothesis 4. Foreign ownership positively affects bank efficiency.

3. Research Methods
3.1. Sample
The research sample of this study includes all the banks that operated in Turkey constantly between
2002–2007, excluding investment and development, and participation banks. This data set should be as
homogeneous as possible to be meaningful for relative efficiency measurement for DEA application. So there
are four groups of banks in the research, state-owned deposit banks, privately-owned deposit banks, foreign
banks founded in Turkey, and, foreign banks having branches in Turkey. Total thirty-one banks from those
groups are determined and get into the analysis.
Table 1: The Banks in the Analysis
B1
B2
B3
B4
B5
B6
B7
B8
B9
B10
B11
B12
B13
B14
B15
B16

ABN AMRO Bank N.V.
Adabank A.S.
Akbank T.A.S.
Alternatif Bank A.S.
Anadolubank A.S.
Arap Türk Bankası A.S.
Bank Mellat
Citibank A.S.
Denizbank A.S.
Eurobank Tekfen A.S.
Finans Bank A.S.
Fortis Bank A.S.
Habib Bank Limited
HSBC Bank A.S.
JPMorgan Chase Bank N.A
Millennium Bank A.S.

B17
B18
B19
B20
B21
B22
B23
B24
B25
B26
B27
B28
B29
B30
B31

ING Bank A.S.
Societe Generale (SA)
Sekerbank T.A.S.
Tekstil Bankası A.S.
Turkish Bank A.S.
Turkland Bank A.S.
Türk Ekonomi Bankası A.S.
Türkiye Cumhuriyeti Ziraat Bankası A.S.
Türkiye Garanti Bankası A.S.
Türkiye Halk Bankası A.S.
Türkiye Đs Bankası A.S.
Türkiye Vakıflar Bankası T.A.O.
Unicredit Banca di Roma S.P.A.
WestLB AG
Yapı ve Kredi Bankası A.S.

3.2. Measurement of Variables
The necessary data set from the income statements and balance sheets of the banks is obtained from the
annual issues of the Bank Association of Turkey.
In the banking performance literature, there is no definite consensus on the determination of bank inputs and
outputs. But there are two main approaches to determine the inputs and outputs that can be used for efficiency
measurement; production approach and intermediation approach (Thanassoulis 1999; Sealey &amp; Lindley 1977;
Anthanassopoulos 2009). According to production approach, banks are regarded as using labor and capital to
generate deposits and loans, and according to intermediation approach deposits are regarded as being converted
into loans (Avkıran 2006). Avkıran (2006) summarized two approaches, and showed inputs and outputs for two
approaches. Under production approach, number of employees, occupancy, furniture and equipment, other noninterest expenses are determined as input, number of demand deposits, time deposits, real estate loans,
installment loans and commercial loans are determined as output. Under intermediation approach, deposits,
debentures, other liabilities, shareholder equity, number of employees, physical capital, non-interest expenses
are regarded as inputs, loans, securities, deposits with other banks, except central bank, non-interest income are
regarded as outputs. Sufian and Majid (2007) employed DEA method to investigate the effects of merger and
acquisitions on Singaporean domestic banking groups’ efficiency. They estimate two alternative models and
they used total deposits as input, total loans and non-interest income as output in the first model, non-interest
and interest income as output and interest and non-interest expense as input in the second model. Aysan and
Ceyhan (2008) determined the inputs as labor, capital and loanable funds, outputs as short- and long-term

34

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

credits, off-balance sheet items, and other earning assets. Jackson et al. (1998) used number of employees and
the sum of non-labor operating expense, the direct expenditure on buildings and amortization expenses as
inputs, loans, demand deposits and time deposits as output under value-added approach. Wheelock and Wilson
(1999) investigated the technical progress, inefficiency and productivity change between 1984 and 1993. They
employed three inputs: labor, physical capital, purchased funds, five outputs: real estate loans, commercial and
industrial loans, consumer loans, all other loans, total demand deposits by adopting intermediation approach.
Oral and Yolalan (1990), Ayadi et al.(1998) determined inputs as interest paid on deposits, expenses on
personnel, administration etc. and total deposits, outputs as total loans, interest and non-interest income. Aly et
al. (1990) employed a non-parametric frontier approach in their study to calculate the overall, technical, pure
technical, allocative and scale efficiencies of a sample of 322 independent banks. And, they determined the
inputs as labor, capital, loanable funds, outputs as real estate loans, commercial and industrial loans, consumer
loans, all other loans and demand deposits. Bergendahl (1998) applied DEA to Nordic Banks by using loan
volumes, deposit volumes, and gross revenues as output, costs of personnel, cost of material and the volume of
credit losses as input. Işık (2008) investigated the technical X-efficiency and productivity growth of novo banks
and established banks by using a non-parametric frontier method. By employing intermediation approach the
outputs that are used in his research are, short-term loans, long-term loans, and other earning assets, the inputs
are labor, capital, and loanable funds. Havrylchyk (2006) investigated the efficiency of the Polish Banking
industry between 1997 and 2001, and under intermediation approach he determined the inputs as capital, labor
and deposits, outputs as loans, government bonds, and off-balance sheet items. Chen et al. (2000) analyzed the
operating efficiency of 34 commercial banks in Taiwan banking sector. Under intermediation approach they
determined outputs as provision of loan services, portfolio investment, and non-interest income, inputs as bank
staff, assets and bank deposits for this analysis. Liu (2009) used slack-based efficiency measures to measure the
efficiency of 24 banks in Taiwan; he employed deposits, interest and non-interest expenses as input, loans,
interest income and non-interest income as output in his study.
By taking into consideration the literature intermediation approach is used in the analysis. Number of
employees, interest expenses, non-interest expenses, and total deposits are determined as input; total loans,
interest income, and non-interest income are determined as output. All variables are measured in thousands of
Turkish Liras, except number of employees.
3.3. Measurement of Efficiency
The efficiency measurement is generally performed in several methods such as ratio analysis,
parametric and non-parametric methods. In the ratio analysis, efficiency is measured with the calculation of
several ratios of financial units. The financial unit with the highest output over input or lowest input over output
is determined as efficient. But for the calculation of efficiency of financial units which operate multi-input and
multi-output ratio analysis is not suitable. Another criticism about the ratio analysis is that some ratios denote
that the firm has a successful level of performance but other may show the opposite. The regression analysis
does not suffer from that disadvantage, but it assumes a priori form of functional relationship between inputs
and outputs, in addition regression analysis can only handle one output at a time (Manadhar &amp; Tang 2002). In
the most of industries corporations especially in banking operate with many inputs and many outputs. Therefore
there exists a requirement for efficiency measurement method besides ratio and regression analysis. There are
another two techniques called as parametric and non-parametric enable efficiency measurement with many
input many output. One of the nonparametric techniques which is widely used to measure efficiency is Data
Envelopment Analysis (DEA).
3.3.1. The Data Envelopment Analysis (DEA) Model
Data envelopment analysis (DEA) is a linear based programming model which was first proposed by
Charnes et al. in 1978 twenty years after Farrell’s seminal work for evaluating activities of not-for-profit entities
participating in public programs. Recent years a variety of DEA applications have been seen for evaluating the
performances of different kinds of entities engaged in many different activities in many different contexts in
many different countries (Cooper et al. 2004). DEA assess the comparative efficiency of homogeneous
organizational units, such as bank branches, schools, tax offices, and hospitals (Thanassoulis 1999). DEA
responds to the need for satisfactory procedures to assess the relative efficiencies of multi-input multi-output
production units (Cook &amp; Seiford 2008). The efficiency score is usually denoted as either a number between
zero and one or 0 and 100 percent. The efficiency score of one or 100 percent of a decision making unit shows
that decision making unit is efficient relative to other units in the research sample. In addition to providing
meaningful scalar efficiency values, DEA is designed to determine the sources and estimate the amounts of
inefficiencies that might present in the various output and input vectors (Charnes et al. 1991). The most
important advantage of DEA over other traditional econometric frontier method is that it does not require prior

35

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

assumption (such as standard forms of statistical regression analysis) about the analytical form of the production
function (Avkıran 1999; Banker 1984; Cooper et al. 2004). In addition, DEA enable to calculate the efficiency
of decision making units that operates multi-input and multi-output. DEA is a valuable benchmarking tool,
because it identifies inefficiencies in decision making units by comparing them with similar decision making
units regarded as efficient (Avkıran 2006). Unlike other benchmarking tools that rely on the managers’
observation, comparison, DEA enables to identify best practices that are too complex to be identified (Sherman
&amp; Ladino 1995). On the other hand, the main problem about DEA model is that, it is a non-parametric method,
so it is sensitive to the measurement problems (Al-Sharkas et al. 2008).
The relative performance measurement of DEA is a two-staged process (Mercan et al. 2003):
(i) Determining the best performing decision making units that produces greatest output with the least
input. Assigning a DEA performance-index value of unity (1) to such decision making units and
placing them on the efficient frontier.
(ii) Determining the DEA performance-index values for all other decision making units in the set. Such
values are represented by the distance of the less efficient units from the above defined efficient
frontier. The decision making units in this subset use more inputs given an output level or produce less
output for a specific level of inputs.
DEA determines, the most productive decision making unit, the amount of excess resources used by
inefficient decision making units, the amount of excess capacity or ability to increase service outputs in lessproductive units, the set of best-practice service units most similar to the less-productive units, referred to as the
best-practice reference set (Sherman &amp; Ladino 1995).
Mathematical formulation of DEA model can be stated as:
m

Max Z o =

∑u
r =1
n

∑v
i =1

ro

y ro
(1)

io

x io

Subject to the constraints:
m

∑

r =1
n

u rj y rj

∑

≤ 1

for j = 1, 2, k

v ij x ij

i =1

(2)

u ,v
ro

io

≥0

for r =1, m; and i = 1, n

(3)

Where:
Zo
: Efficiency score of oth decision making unit.
: Observed value of input i for the decision making unit j.
x ij

yrj

: Observed value of output r for the decision making unit j.

u rj , vij

: Weights of input r and output i of decision making unit j respectively.

k
m
n

: Number of decision making units.
: Number of outputs.
: Number of inputs.
Linear programming expression of the DEA model is like that:
m

Max Z o = ∑ u ro y ro
r =1

(4)
Subject to the constraints:
n

∑v x
i =1

36

io

io

=1

(5)

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

m

∑u
r =1

n

rj

yrj ≤ ∑ vij xij

for j = 1, 2, k

(6)

i =1

u ro , vio ≥ 0

for r =1, m; and j =1, n

(7)

4. Results
The efficiency scores of each bank included in the sample are shown in Table 2. The efficiencies of the
banks are examined between the years 2002-2007 with input oriented CCR model. The banking sector operated
higher than 0.8 of efficiency scores in the whole research period. The average scores are 0.87 in 2002, 0.89 in
2003, 0.84 in 2004, 0.91 in 2005, 0.92 in 2006, 0.88 in 2007. The efficiency levels increased after the 2002 and
reached 0.92 point in 2006, and again decreased 0.88 in 2007. There is a recovery phase in banking industry
performance. There are six banks that operated efficiently in the whole research period. So the 19% percent (six
of thirty-one banks) operated constantly efficient from 2002 through 2007. Also, there are thirteen banks that
operated inefficiently during all analysis period. So the 41% (thirteen of thirty-one banks) operated inefficiently
between 2002 and 2007.
Table 2: CCR-I Efficiency Scores (2002-2007)

B1
B2
B3
B4
B5
B6
B7
B8
B9
B10
B11
B12
B13
B14
B15
B16
B17
B18
B19
B20
B21
B22
B23
B24
B25
B26
B27
B28
B29
B30
B31
Average

2002
1,00
0,76
1,00
0,86
0,79
1,00
1,00
0,63
0,77
0,73
1,00
0,72
1,00
0,94
1,00
0,81
0,78
1,00
0,64
0,77
0,85
0,76
0,79
0,94
0,97
1,00
0,75
0,72
1,00
1,00
0,88
0,87

2003
0,88
1,00
1,00
0,79
0,99
1,00
1,00
0,65
0,91
0,66
0,90
0,83
1,00
1,00
1,00
0,49
0,84
1,00
0,59
0,91
0,85
0,87
0,97
0,99
1,00
1,00
0,75
0,90
1,00
1,00
0,99
0,89

2004
1,00
0,55
1,00
0,99
0,83
0,77
1,00
0,66
0,75
0,62
0,86
0,78
1,00
0,78
1,00
0,40
0,86
1,00
0,84
0,72
0,82
0,66
0,76
1,00
0,83
1,00
0,82
1,00
0,91
1,00
0,80
0,84

2005
1,00
1,00
1,00
0,90
0,78
0,87
1,00
0,98
0,90
0,65
1,00
0,83
1,00
1,00
1,00
0,68
0,86
1,00
0,92
0,85
0,81
0,79
0,88
1,00
0,96
1,00
0,94
1,00
0,93
1,00
0,78
0,91

2006
1,00
1,00
1,00
1,00
0,82
0,78
1,00
0,97
0,91
0,75
0,96
0,87
1,00
0,98
1,00
0,86
0,85
1,00
0,77
0,88
0,85
0,68
0,85
1,00
0,98
1,00
0,91
1,00
1,00
1,00
0,87
0,92

2007
0,75
1,00
1,00
1,00
0,85
0,60
1,00
0,67
0,81
0,99
0,85
0,69
1,00
0,80
1,00
1,00
0,82
1,00
0,73
0,87
0,66
0,67
0,77
1,00
1,00
1,00
0,86
1,00
1,00
1,00
0,83
0,88

Frequency of
Efficiency
3
4
6
2
0
2
6
0
0
0
2
0
2
2
6
1
0
6
0
0
0
0
0
4
2
6
0
4
4
6
0

37

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

The total efficiency, technical efficiency and scale efficiency of the banks are also analyzed and the
findings are showed in Table 3. Input oriented CCR efficiency scores give the total efficiency of banks. Input
oriented BCC results give the technical efficiency of banks. As CCR scores are divided by BCC scores, the
outcome will give the scale efficiency of banks.
The average technical efficiency levels of banks are higher than average scale efficiency levels within
this period. It is observed that the increase in total efficiency level is mainly resulted from the increase in
technical efficiency level. Given our results that Turkish banking sector suffered from scale inefficiency.

Table 3: Total Efficiency, Technical Efficiency and Scale Efficiency of the Banks

B1
B2
B3
B4
B5
B6
B7
B8
B9
B10
B11
B12
B13
B14
B15
B16
B17
B18
B19
B20
B21
B22
B23
B24
B25
B26
B27
B28
B29
B30
B31
Average

Total Efficiency
0,94
0,88
1,00
0,92
0,84
0,84
1,00
0,76
0,84
0,73
0,93
0,79
1,00
0,92
1,00
0,70
0,83
1,00
0,75
0,83
0,81
0,74
0,84
0,99
0,96
1,00
0,84
0,94
0,97
1,00
0,86
0,89

Technical Efficiency
1,00
0,97
1,00
1,00
0,89
0,98
1,00
1,00
0,92
0,80
1,00
0,98
1,00
1,00
1,00
0,83
0,93
1,00
0,92
0,95
0,85
0,87
0,95
1,00
1,00
1,00
0,99
0,95
0,98
1,00
0,99
0,96

Scale Efficiency
0,94
0,91
1,00
0,92
0,95
0,85
1,00
0,76
0,91
0,91
0,93
0,80
1,00
0,92
1,00
0,85
0,90
1,00
0,81
0,87
0,95
0,85
0,88
0,99
0,96
1,00
0,85
0,98
1,00
1,00
0,87
0,92

Table 4: Tobit Regression Results (n=176)

Size
Nationality
Ownership
Publicly Listed
Constant

38

Coefficient
-0.0697283
-0.0762108
0.1843663
0.0757398
0.9239495

Standard Error
0.0231161
0.0217101
0.0341993
0.0248959
0.0145359

t-ratio
-3.02
-3.51
5.39
3.09
63.56

P-value
0.003
0.001
0.000
0.003
0.000

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

The effects of bank size, ownership type, nationality and being publicly held on total efficiency are
analyzed with Tobit Regression by STATA. Ownership type, nationality, size and being publicly held are
employed as dummy variables. In this analysis, DEA efficiency score of a bank is determined as dependent
variable. If the coefficient of an explanatory variable is positive, it increases the efficiency level of the bank. In
spite of that if the coefficient of an explanatory variable is negative; it decreases the efficiency level of the bank.
Significance level of the regression is 95%. The findings imply that all explanatory variables are significantly
different from zero and have a significant effect on efficiency score of banks.
Banks are grouped as large and small according to their assets levels in this study. Size has a negative
effect on efficiency levels of banks, suggesting that the smaller the bank, the more efficient bank will be. There
is a scale problem in Turkish banking sector, the banks can not use economies of scale advantage. There may be
decreasing return to scale in Turkish banking sector. 1% percent increase in inputs results less than 1% increase
in outputs. As the banks grow they become less efficient. Larger banks have lower efficiency which could be
due to complex organizational structure and moral hazard behavior (Sufian &amp; Abd. Majid 2007). In Turkey,
smaller banks are typically newer and generally specialize in trade and finance and wholesale corporate banking
and employ more professional and astute management teams (Işık &amp; Hassan 2002). Because of competition
small banks should operate efficient to survive especially in metropolitan markets. The results are accordance
with Işık and Hassan (2002) on Turkish banking sector.
To analyze the relationship between publicly traded and Turkish banks’ efficiencies a dummy variable
is introduced as an explanatory data. Being publicly traded has a positive effect on efficiency levels of banks.
So, the publicly traded banks operate more efficient than not publicly traded banks. That finding supports the
market discipline hypothesis. According to this hypothesis banks whose shares are publicly traded should
exhibit higher efficiency. Thus, the easily transferable ownership structure of firms creates incentives for both
shareholders to monitor management performance and for bank management to improve their performance as it
contains risks associated with moral hazard practices (Mamatzakis et al. 2008).
Banks of different nations may have different outcomes with the same inputs. Thus, in this section the
effect of ownership type and nationality on efficiency levels of banks are analyzed.
Ownership dummy is determined as state and non-state banks. The positive sign of the coefficient on
non-state ownership binary variable implies that non-state ownership improve the efficiency level of the banks.
Non-state banks operate more efficient than state banks. There are two major reasons behind the efficiency
difference between public and private firms. The first is while all private firms are profit maximizing, public
firms would pursue whatever objectives the government demands. The second is while private firms are subject
to relatively hard budget; public firms are subject to relatively soft budgets (Işık &amp; Hassan 2002).
Nationality has a positive effect on efficiency levels. The positive sign of the coefficient on foreign
ownership binary variable implies that foreign ownership improve the efficiency level of the banks. Foreign
banks operate more efficient than their domestic counterparts. This may be because of foreign owned banks
have better risk management, operational, technological techniques which they enable from their parent banks
abroad. The empirical observation that foreign banks perform better compared to domestic banks in developing
countries. This suggests that technical ability of banks from developed countries overcomes the home field
advantage in developing countries (Jeon &amp; Miller 2005). Berger et al. (2000) explained the differences between
home field advantages and global advantages. The global advantage hypothesis denotes that foreign banks
might benefit from competitive advantages relative to their domestic banks. Foreign banks may also become
more competitive when compared to domestic banks due to an active market for corporate control in the home
country, and because they have access to an educated labor force that is able to adapt new technologies
(Lensink et al. 2008). The results are accordance with Sufian (2008) on Malaysian banks, Jackson et al. (1998)
on Turkish banks, Işık and Hassan (2003) on Turkish banks, Havrylchyk (2006) on Polish banks, Bonin et al.
(2005) in transition countries.

5. Conclusion
This paper aims to determine the efficiency of Turkish banks between 2002 and 2007. So, the
efficiency levels of Turkish banking sector are analyzed during the period 2002-2007 with Data Envelopment
Analysis. Then, multivariate regression analysis have been employed in order to detect the determinants of
banking efficiency in Turkey.
The sample includes thirty-one banks that continuously operated during this period. According to
results, the efficiency level of Turkish banking did not change very much in the analysis period. The banking
sector operated at stable efficiency level. The average performance values between 0.84 and 0.92 in this period.
Additionally, the findings reveal that the average technical efficiency scores of banks are higher than average
scale efficiency scores. There is a scale inefficiency problem in Turkish banking sector.
The effects of some explanatory data on the banks’ efficiency levels are also analyzed in this research.
Size, ownership type, nationality, being publicly listed are improved as dummy variables. Findings imply that

39

�1. International Symposium on Sustainable Development, June 9-10 2009, Sarajevo

smaller banks are more efficient than larger banks. As the banks grow they become less efficient. The Turkish
banking sector may experience decreasing returns to scale. Publicly listed banks are more efficient than not
publicly listed banks. This finding is compatible with market discipline hypothesis which suggests stockholders
of the banks can exert market discipline over bank management, so the publicly traded banks are expected to be
more efficient. Non-state banks operate more efficient than their state counterparts. This may be because of the
goals of those two banks differentiate. Private entities always aim to maximize their profit. The regression
analysis results also denoted that foreign banks are more efficient compared to their domestic peers. Foreign
banks might profit from better risk management and take advantage of technological improvements.

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37, 411-425.

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41

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KILIÇ, Merve
ZAİM, Selim</text>
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                <text>Financial industry plays an important role in the economy and banks are  indispensable players in the financial industry. Therefore, the evaluation of banks’  performance became a popular research topic in all over the world, and also in Turkey. There  are different techniques to determine the banks’ performance. Among those techniques, Data  Envelopment Analysis (DEA), which is a non-parametric technique, has been widely used in  the banking sector. In this research, we analyzed the efficiency of Turkish Banking Industry  with Data Envelopment Analysis (DEA) methodology between 2002 and 2007. All the banks  that constantly operated in the years between 2002 and 2007, excluding investment and  development, participation banks, get into the analysis. So there are four groups of banks in  the research, those are state-owned deposit banks, privately-owned deposit banks, foreign  banks founded in Turkey, and foreign banks having branches in Turkey. In the research  model, number of employees, interest expenses, non-interest expenses and total deposit are  determined as input, total credits, interest revenue and non-interest revenue are determined as  output. This analysis aims to explain the variation in efficiency scores with a set of  explanatory variables, such as size, ownership type, nationality, being publicly held.  According to results, the efficiency levels do not change very much between 2002 and 2007.  The efficiency scores reached top level in 2005 and 2006. The results of regression  application denote that all of the explanatory variables have a significant effect on banks’  efficiency levels. According to regression analysis results, size negatively affects the  efficiency levels of banks. Publicly listed banks operate more efficient than not publicly listed  banks. Foreign owned banks operate more efficient than their domestic peers. Furthermore,  state owned banks are less efficient than non-state banks.</text>
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                    <text>INDUSTRIALIZATION PROBLEM OF CULTURE IN THE PROCESS
OF GLOBALIZATION
Dr. Abamüslim AKDEMİR
Ataurk University Kazim Karabekir Education Faculty
Philosophy Department
akdemir@atauni.edu.tr

Dr. Erdinç PARLAK
Atatürk University Kazım Karabekir Education Faculty
Department of English Language
erdincparlak@hotmail.com
Abstract:The rapid changes

and transformations in science, technology and mass

communication have gave way to a new process. This recent phenomenon which made itself felt
in almost every part of human life has, at the same time, caused debates in western cultural life
on philosophy, literature, architecture, painting under the name of globalization. One of the
debates was the one towards modern age under the domination of production and industrial
capitalism. The valid value of industrialization, the “production”, has left its place to a new
social understanding named “upper-reality”. This has emerged as a result of post-industrial
viewpoints. On the other hand, “similarity” replaced the “reality”of modern cultural values. The
process of globalization , again, transformed the aesthetic nature of cultural values into
commercial meta identity together with post-industrial approaches. As the globalized industrial
values made man mere consumer, there emerged the ideology of entertainment industry. This
process has both produced meta and created mass culture or popular values before individuality.

The rapid changes in information and communication due to the developments in science, technology and
economy have put international borders aside. The world has turned into a large village where common values
have been formed. This recent phenomenon which made itself felt in almost every field of life together with the
last quarter of 20th century, emerged under the name of “new world order”, “postmodernity”, and
“globalization”. It became the focal point of discussions in every field from art to philosophy.
Human rights, also, became one of the main issues of discussion in every area. Globalizataion began to
dominate almost all the world with the understanding of human rights, liberal economy and market economy.
The political dimension of globalization made the leadership of USA felt, on the other and its economic
dimension that of multi dimensional capital. On its cultural basis, the label hegamony of monotonus
consumption culture came to the fore as universal and local were presented at the same time (Akdemir, 2004,
p.43). This new era was defined by Fredric Jamesan as modernization, post-industrial, consumption society and
show society. To him new economic order and social life have formed the beginning of new government in the
cultures (Jameson, 1993, p.27). This new case has mingled cultural social and economic to each other with
globalization. The borders have became much more ambigious in culture.
With the process of globalization, the rationalization form of modernity was opened to discussion as
meaning, order and content. Direct relationships were formed with the methods of bringing closer diverse lives
ontologically not related to each other. According to Benjamin, man has lost his freedom and singleness. Every
object is the mirror of another. Those objects eating, drinking, listening, watching the same things have now

124

�started to think and feel the same things exactly. Everybody is the same (Dellaoğlu, 2003, pp.21-22). Within this
process, the postmodern view which adresses to the homogeuous mass has now created mass culture or popular
culture. The products of mass culture do not give rise to creativity.
It has made men an inactive object who can be directed and controlled instead of putting them into a
mutual discussion atmosphere. Culture and entertainment have mingled to each other in the fantasy world of
mass communucation tools (Swingewood, 1996, p.36). Its culture and works of art have now become meta and
its function has been only to entertain and has reduced conscious totally to inactivity.
Globalization considers eclecticism as the basis of culture. On the one hand it mixes everything to each
other by mass culture and makes them global by loading them with homogenous. It, on the other hand, brings
sub-cultures, localization, tradition and differences to the fore. For instance, man begins to listen to reggae
music, watches cowboy film on tv, has his lunch at Mc. Donald’s, dinner at a local restaurant. He uses Paris
perfume in Tokyo, wears redra clothes in Hong Kong (Appignanesi and Garrat, 1996, p.47). Elite and popular
culture forms are have migled to each other.
Mass culture has criticized aesthetic sensitivity with the concepts of imitation, irony and pastiche and
rejected aesthetic elitism. It has demonstrated a populist attitude with the understanding of “Anything goes”.
Money is the sole measurement in the lack of aesthetic criteria. Everything that the artist spits is money. There is
nobody where everybody is the same. There no longer, exists such a thing as object. All those have been caused
by “Culture Industry”.
The concept of “Culture Industry” has been used for the first time by the thinkers Adorno and Harkheimer
of Frankfurt School taking mass culture criticism as the basis in the “Dialectics of Illumination.”.
The most widely criticized feature of Adorno’s culture industry is its misleading aspect. On the basis of
this criticism lies Marx’s meta fetishism. According to Adorno, those produced by culture industry are not the
works of art that have become as meta but those metas produced for Market from the very beginning. The
concept of culture, industry, starting from the time that culture became a thing and money in the classic term
became a culture during the late capitalist era, struggles to form a theory of daily life with this concept
(Dellaloğlu, 2003, p.23). Culture industry has reduced individuals to a living meta in the name of consuming to
consume. The individual has formed a living area with the product. As Adorno says; “The typical cultural
existence of culture industry are no longer product but has been turned into product besides other features”
(Adorno, 2003, p.72).
The culture industry is, in the simplest definition, the industrialization of culture and man has became as
an industrial product within the industrial society and has became a thing. The individuals have created an area
of living with the product. The main reason here is to gain satisfaction by kitch products without aesthetic. The
imitation has replaced the real one. The society, on the other hand, consists of individuals totally consumers and
of which behaviours have been determined in advance. Adorno explains it as: “Every one should behave suitable
for their levels determined before and should move towards the mass production categories produced for certain
types of consumers”(Adorno, 2007, p.51). In such a case, consumers have become materials of statistics.
For the individuals, being adaptable has replaced consciousnes. Industrial mind suggests workers a model
of mental cooperation. It spends effort in order to make them accustomed to the system. Though it seems at first
sight that this gives man freedom both in their working life and cultural industry, men (individuals) in such case

125

�have always been a subject (Adorno, 2007, pp. 81-82). Culture industry, consciously, has been a barrier before
the development of free individuals.
Though the products of culture industry create a monotonus atmosphere, it has been successful in
attracting men by its very nature. Similar and charming products do not alow their customers move out of the
circle. As Adorno explains; the men who are now consumers became the ideology of entertainment industry
which they cannot get rid of (Adorno, 2007, p.96). Cultural industry imposes an entertainment equal to thinking.
Man, unconsciously and with no resistance , accepts this insistence (Adorno, 2007, p.56).

The administrators have, according to Adorna, directed the mass and changed them into the means of
propaganda and tourism. Thus, the artistic works that industry of culture created

made art

object and

merchandising. In this context, the best way to merchandise and present all the products to consumption is
advertisement.
In the process of industrialization ion of culture, advertising appears to have formed an area of surrealism.
Advertising not only creates desire but it also forms a reality of being an object. Adorna (2007, p. 96) states that
advertising is the elixir of life of culture industry. Behind advertisement, the sovereignty of system is hidden.
Everything having no mark of advertisement is regarded as meaningless economically. Adorno explains the
success of advertising in the domain of culture industry in the light of the fact that though consumers know that
advertisement is not true, they continue to purchase the cultural objects and sustain to use them with a strong
desire. (Adorna, 2007, p. 107)

While Adorna

strongly defends modernist art, he criticizes the mass culture as a result of the industry of

culture. He objects to capitalist and socialist totalitarian regimes since they intervene with the human freedom.
He regards the culture that was created by means of technological facilities as a tool of mass manipulation. The
process of being object that Hollywood, Broadway, Manhattan and Rock’n Roll directed and accelerated
Adorno’s criticism who migrated to New York during the World War II ( Pelvanoglu, 2009). Adorner’s
criticism towards the cultural industry that global world has created displays how he was contemporary.
Culture’s industrialization changed it into an object carelessly. The mass culture or popular values towards
particularity or individualism came front. The dominance of subject overwhelmingly became restricted and the
power between subjectivity and culture

declined. (Connor, 2005, p.364). In postindustrial culture, thus, high

culture understanding integrated with commercial and mass culture. The standards of culture irresistibly lost and
the cultural products made individual an ordinary carrier of the social tendencies. According to Adorno, the
industry of culture occurred through the instinct of profit which has always been prevailing.(adorno, 2007, p.
112). This is the reason that made everything object and the changed the object itself into culture. Therefore,
the individual who has become alienated towards effort in the phase of production become also alienated to life
and the whole existence through consumption’s becoming aesthetic in the phase of consumption.

Adorno’s subject which is his object of analysis is not the employee but the customer of consumption society.
The subject’s meaning that he attributed while using culture industry is different from the meaning that mass
culture or popular culture attributed. In mass culture, authentic people is mentioned , people’s culture has a role
for the mass culture. However, Adorno cannot stand even their implication in that in culture industry people does

126

�not create culture. It includes in the industry culture. It is not the subject but the object. Today people have
become more inactive than what Adorno stated. Today’s culture industry forces to consume more alienation and
forget to be individual in the society. People have changed what they consume into fetishism. Brand sovereignty
has occupied people’s life space. Thus, Adorno’s remark goes back to 50 years turned out to be true.

References
Adorno, T. W (2003) “Kültür Endüstrisini Yeniden Düşünürken”, çev. Bülent O. Doğan, Cogito, Sayı: 36, Yaz
2003, pp. 76-84.
Adorno, T. W. (2007) Kültür Endüstrisi- Kültür Yönetimi, çev. N. Ünler, M. Tüzel, E. Gen, İstanbul, İletişim
Yayınları.
Akdemir, A. (2004) “Küreselleşme ve Kültürel Kimlik Sorunu”, Sosyal Bilimler Enstitüsü Dergisi, Cilt:3, Sayı:1,
2004, Erzurum, pp. 43-51.
Apigenes, R. And Garratt, C. (1996) Postmodenizm, İstanbul, Milliyet Yayınları.
Connor, S. (2005) Postmodernist Kültür, çev. Doğan Şahiner, İstanbul, Yapı Kredi Yayınları.
Dellalloğlu, B. F. (2003) “Bir Giriş: Adorno Yüz Yaşında”, Cogito, Sayı: 36, Yaz 2003, pp. 13-36.
Jameson, F. (1993) “Postmodernizm ve Tüketim Toplumu”, çev. H. Güleryüz, V. Aytar, Edebiyat ve Eleştiri
Dergisi, Ocak-Şubat 1993, İzmir.
Swingewood, A. (1996) Kitle Kültürü Efsanesi, çev. Aykut Kansu, Ankara, Bilim ve Sanat Yayınları.

127

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Parlak, Erdinç</text>
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                <text>The rapid changes  and transformations in science, technology and mass  communication have gave way to a new process. This recent phenomenon which made itself felt   in almost every part of human life has, at the same time, caused debates in western cultural life  on philosophy, literature, architecture, painting under the name of globalization. One  of the  debates was the one towards modern age under the domination of production and industrial   capitalism. The valid value of industrialization, the “production”, has left its place to a new   social understanding named “upper-reality”. This has emerged as a result of post-industrial  viewpoints. On the other hand, “similarity” replaced the “reality”of modern cultural values. The  process of globalization , again, transformed the aesthetic nature of cultural values into  commercial meta identity together with post-industrial approaches. As the globalized industrial  values made man mere consumer, there emerged the ideology of entertainment industry. This  process has both produced meta and created mass culture or popular values before individuality.</text>
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                    <text>Mentoring SYSTEM: An Evaluation by English Mentors and Efl StudentTeachers
Suna AKALIN
Cüneyt ÖZATA
İrem ÖZBAY
Atatürk University
Turkey
sakalin@atauni.edu.tr
Abstract: The system of mentoring has first been applied in England and is being used in
Turkey’s educational system, too. The aim of the study is evaluating the mentoring system of
Ataturk University, School of Education, and English Language Teaching Department in
training pre-service English teachers during their teaching experience at schools.
Questionnaires were applied to mentors, student-teachers and supervisors. Data have been
collected through questionnaires which include Lykert type items and collected data have been
analyzed statistically using mean scores of the participants. The purpose of this study is to
make student teachers and mentors aware of mentors’ importance in teaching experience, to
attract the interest of teachers who have never taken part in mentoring. The aim which is to
reach mass of mentors has been achieved. However, it is essential to state that this study is a
kind of starting point to develop new research in this context.

Introduction
The mentoring system has been applied in various countries and its positive results have been in the
Literature. The aims of this study are to make student teachers and mentors aware of mentor’s
importance in teaching experience and to draw the attention of teachers’ who have never taken part in
mentoring. The study aims at evaluating the system of mentoring at Atatürk University, School of
Education, English Language Teaching Department in training pre-service English teachers during their
teaching experience at schools. Mentors are the ones we, Department of English Language Teaching,
send our student-teachers to get training through working with them at primary and high schools, during
teaching experience. The student-teachers interact with ELT mentors and get information and training
from them both on the ways of teaching English and also on classroom management during their teaching
experience in the fourth year of their education (two terms) in ELT department, School of Education, at
Ataturk University. At this point the mentors are the only means of having our student-teachers apply the
knowledge they have acquired to the real-life situations and finding practical solutions to them.
Therefore, the mentors should be well-trained and equipped with the necessary information in order that
they may guide and help our student-teachers. The mentors in this sense act as a bridge between the
schools and our department back at the university, since they pass information about the skills needed in
real classrooms to our student-teachers. All the information given in the department cannot go much
further beyond a theoretical framework; except for the micro and macro teaching sessions during
Methodology classes in the third year.

Background
Upon reviewing the Literature on mentor evaluation, there appeared a lot of research, both national
and international in this field. As for the departmental scope, a handbook (Akalin, 1998) composed of
feedback and comments on a three-day seminar held in ELT department at Ataturk University was first
published and it has been the major source of collected data of this study. Furthermore, Hussein (2007)
outlines the deficiencies of the traditional mentoring system and sets up a new approach to mentoring.
Rajuana et al. (2007) focus on a group technique to bring the expectations of the participants concerning
the role of the cooperating teacher to awareness and articulation. The student teacher group held more
expectations for a personal relationship than the cooperating teacher group. Suggestions are given for
bridging the gap in expectations between cooperating teachers and student teachers in the initial stage of
the practicum program. Smith (2007) using a case study approach, examines the challenges faced by a

298

�cooperating teacher and student-teacher during their collaborative planning conversations. The article
concludes that cooperating and student-teachers could engage in more educative planning conversations if
they broadened their understanding of their roles as expert and novice planners and of the definition of
expertise itself. Varghese and Wilberschied (2002) explore mentee- mentor relationships, which illustrate
the tensions and difficulties that arise when this simplistic dichotomy breaks down, a situation that is
becoming more and more prevalent when teachers pursue secondary certifications, validations or
endorsements. The study finds that the mentoring relationship was mainly coloured by the discourse used
by the mentors, the specific backgrounds and goals of the mentees, as well as the different understandings
each mentor and mentee had of the TESL profession and their roles in the practica. Time and
opportunities need to be allowed for these factors to be discussed and negotiated. Rush et.al. (2008)
examined two in-service English teachers and two preservice English teachers, who participated in a
shared mentoring relationship during the student-teaching semester, shared their experiences, conflicts,
and how they were resolved. The authors provided first-person narratives of all four teachers and
suggestions for improving mentoring experiences for both mentor teachers and student-teachers.
Friedman and Wallace (2006) document a three-year complex case study that addressed the question:
What happens when English, education, and high school faculty cross borders to prepare secondary
English teachers to teach in urban schools is the central concern of the article. Bullough (2005)
implements a case study constructed of a secondary school teacher's struggle to move beyond her identity
as a teacher to assume a mentor's identity in her year-long work with two English-teaching interns. Based
on the data, the author argues for the importance of attending to identity in teacher education and and the
education of mentors describes conditions that would facilitate mentor identity formation. The literature
amply proves that the importance of mentoring in bringing up novice teachers is not diminishing, just the
opposite, it is saliently gaining a momentum requiring of the revision of every such program.

Method
This study aims at assessing the current situation so that what can be done in the next step should be
known. So this study is limited to the Turkish mentors preparing student-teachers as secondary school
English language teachers in the Turkish National Educational System. The subjects were chosen
randomly, so, caution should be taken in making generalizations for further research.
The questionnaires have been applied to the mentors, the student-teachers and the supervisors. But
supervisors were reluctant to respond the questionnaire. (Only three supervisors have responded).
Therefore the supervisors have been left out of the evaluation. The following research questions were
generated to guide the research:
1- What role do the mentors have in preparing the student-teachers for their future career?
2- How do the mentors, supervisors and student teachers perceive the mentors?
3- Are there problems hindering the mentors from being better mentors? What are they?
A total of 32 English mentors and 142 EFL student-teachers participated in the present study. The
student-teacher participants have to attend school experience and training program two semesters at local
state schools under the guidance of mentors of English who are the subject matter of this study as well.
The senior students have been charged with attending different high schools in Erzurum. In the schools,
since the number of the mentors is high, each mentor becomes responsible of 12 students. That is why,
the number of the mentor participants may be argued to be low in contrast to student- teacher participants.
A questionnaire was applied at different 9 state high schools In May, 2007, the questionnaire
consisting of 37 items was conducted on both mentors and EFL student-teachers in which the mentors
evaluated themselves and the student-teachers evaluated the mentors. The answers were taken in the form
of Likert Scale (from 1= never to 5= always). In preparing the questionnaire the author has carried out
seminars (1998) with the same local English mentors and school administrators and published a guide
book (1999) underlying the qualities of the mentors.

Data Analysis
In both groups (mentors&amp; student-teachers), the participants completed evaluation forms. These
forms have been prepared both for mentors and student-teachers separately but both of the questionnairies
aimed at evaluating the mentors. The questions in both questionnairies can be grouped as follows:

299

�Question#1 is about the process of observation. Questions# 2, 3, 4, 5, 19, 20 and 21 ask about how much
self-evaluation opportunities and feedback the mentor gives to the student-teachers. Questions# 6, 7, 8, 9,
10 and 11 investigate what problems mentors face when dealing with the student-teachers. Questions# 12,
13 and 14 discuss about the duties of the mentors. Questions# 22, 23, 24, 26, 30, 31, 32, 33, 34, 36 and 37
try to get information about the level of interaction and communication between the student-teachers and
the mentors. Question# 25 asks how much reinforcement the mentors give to the student-teachers.
Questions# 15, 16, 17, 18, 27, 28, 29, 35 ask the mentors about how they find themselves as mentors, and
the same questions in the student-teachers’ questionnairies ask the student- teachers how they find
mentors.
Written comments by student-teachers:
One of the student-teachers comments on his mentor: “A very good model for me.”
Another one says: “He is a perfect teacher in both teaching and communicating.”
Next comments go: “I like her. She is professional in her job.”
“I am glad with her.”
One last general comment: “I think it is necessary for us to experience in the schools and it is
efficient and will be efficient.”
Written comments by mentors:
One of the mentors’ comments: “Students-teachers should be taught that this is one of the university
lessons, and they should care for it as much as their university lessons. Moreover they should attend the
lessons, and be more eager to teaching.” One other mentor points out the student-teacher’s responsibility
to make English lessons more enjoyable by saying: “English lesson should be fun for the studentteacher.” Another one says: “The schools should be introduced to the student-teacher before they begin
their apprenticeship. The education payment which is paid to the student-teacher should be increased.”
One last mentor is dissatisfied with their own payment, for he says: “It’s urgent that the mentor is to be
paid regularly and highly.”

Findings and Results
This study has achived its objectives. It is inevitable to get some fake results but they indicate that
evaluation of mentors should be revised more deeply. It might be seen as a mirror which reflects reality in
that case. It has gained success and made participants of the questionnaire think about their professions,
process of learning and teaching with a peaceful atmosphere.
The questionnaire is the central collector of the results. It was applied to the mentors in more than 9
schools in Erzurum and student-teachers at English Language Teaching Department of Ataturk
University. In that questionnaire, thirty seven questions were asked to student-teachers. Moreover, thirty
seven different questions were asked to mentors. The questions are all related to teacher training system,
its tiring process with all its difficulties and benefits. Within this process, both student teachers and
mentors might have faced with many problems or inadequate communication between each other. So,
thanks to this study they try to convey their feelings, ideas and experiences in an unbiased observation. It
is the main objective of this study to construct an unbiased platform for all professions in teaching
language and teacher training programs. So, they can give what they have faced or experienced within
this whole term period. In order to get the best results, this study lasts not in limited time but enough time
to observe. Because participants have their own responsibilities apart from teacher training program so
they need enough time to think and write down objective explanations.
Besides evaluating the mentors, this study has tried to reply how one becomes a good and well
qualified teacher, because to become a good teacher is as important as training a student teacher.
Teacher’s awareness of methods, techniques which are used in classroom activities should be taken into
consideration. Hence, mentors are asked about their teaching background, field knowledge and their own
value system oriented to what they teach in classroom. Whether they receive accurate feedback or they
encourage student teachers to build self-esteem and their value system. Self-evaluation for both studentteachers and mentors is necessary. It can be inferred from the results that they do not have enough
knowledge about self-evaluation. Thanks to this study, it is tried to make them conscious.
This study gives some heavy burdens for mentors. It is argued that the syllabus is not appropriate for
all instruction contexts. It consists of limited time and lots of subjects should be taught in this limited
time. It is regarded as an inevitable situation for teachers. It brings heavy workload for both mentors and
student teachers. Hence, the time devoted to student teachers is not enough to build reciprocal training
and experience.
A question may be asked: “Is there a good relation between the supervisor at the university and the
mentor?” It is important to interact effectively in order to observe student-teachers objectively. The

300

�results indicate that most of the mentors go and meet supervisors about the recent developments, studentteachers’ attendance to training (whether regular or not). And also supervisors visit schools to monitor
student-teacher’s performance in the light of some criteria. During these observations, supervisors
generally contact with school administrations. Some mentors prefer sending the recent report or message
via student-teachers going back to the department. This study also examines mentors’ methods they are
using in the classroom. It is asked to student-teachers to discover this reality, of whether student centered
instruction or teacher centered instruction is dominant. But less than half of the mentors use different
approaches for their class and students. They use either a course book or series of the book. They rarely
benefit from different language resources apart from course books, teacher’s book and audio cassettes.
Most mentors depend on group teaching rather than individual learning. Mentors are inclined to provide
comfortable school atmosphere and condition for student teachers. Thanks to school administration,
student teachers can use teachers’ room for conferencing sessions with mentors.
Briefly, this study has achieved its overall objectives. Its aims are making student-teachers and the
mentors be aware of mentors’ importance in teaching experience; attracting the interest of teachers who
have never taken part in mentoring. The aim which is to reach mass of mentors is achieved. However, it is
inevitable to tell that this study is a kind of starting point to develop new research in this context. Further
study would require the restructuring of the whole system to represent the voices and experiences of the
student-teachers. Towards this end, a new mentoring framework that potentially encourages studentteachers to become critical practitioners should be offered. The model proposed should emphasize the
professional agency of the student-teacher. Such a model holds the position that to transform their views
of teaching and learning, student-teachers as well as their trainers should be empowered to seek justice
and emancipation from the traditional model of evaluation. Finally, it should attempt to leave readers with
the impression that if we prefer our zone of comfort at the expense of our student-teacher’s growth we
must know that we are jeopardizing the fate of teacher education.
Given the ANOVA analysis, the fourth question examining the frequency and quality of getting
feedback from the mentors to the student-teachers, the finding (sig. 0.030) shows that there is a
significant difference between the answers of mentors and student -teachers at the level of p&lt; 0.005.
While the mean of mentors is 2.91, the mean of the student- teachers is 2, 35. The means suggest that
mentors do not sufficiently give feedback to the students. As for the question 7, a significant difference
about mentor’s language proficiency (sig. 0.022) at the level of p&lt;0.05 is seen. It seems that student
teachers do not see their mentors successful about language proficiency as much as their mentors
consider. Question 19 examines the mentors’ approach towards self evaluation. However, both groups
gave significantly different answers. While the mean of the mentors is 3.79, the mean of the student
teachers is 2.80.
Considering mentors’ achievement about reinforcement, there also seems to be a significant difference
between the responses of the mentors and student-teachers (sig. 0.031) on question 25. While the mean of
student-teachers was 2.886, the mean of the mentors was 3.54. In fact, it displays that mentors appear to
reinforce their student though it is not seen sufficient by the student-teachers. Question 29 also indicates a
significant difference between the responses of the mentors and student-teachers as to the perception of
the mentor in terms of supportive aspects. While the mean of the student-teachers was 3.170, on the other
hand for the mentors, mean turned out 4. 17. For the question 32, it can be argued that mentors consider
themselves adequate about their affective and communicative functions (f. 9.299, sig. 0.003); however
student-teachers are not certain of getting affective support. As to the interaction between the mentors
and student-teachers (question 33), student-teachers pointed out that mentors do not consider student
teachers’ ideas adequately in contrast to the mentors’ responses. There appears a significant difference at
the level of p&lt;0.005 (f.15.452, sig. .000). While the mean of mentors is 4.04, the mean of the studentteachers is 2.99. Likewise, question 34 suggests the same argument given the mean of student-teachers
(3.37), the mean of the mentors (4.12). The findings show that there is a significant difference between
the two parties about communicative situation (f.7.892, sig. 0.006). Question 35 has examined the
mentors’ function as a scaffolder; regarding the former findings this item suggests the same result. As to
the sufficient pedagogical support to the student-teachers by the mentors, while the mean of the mentors
is 3.79, the mean of the student-teachers is 2.80. This again states that the mentors and the studentteachers are not in a common opinion about mentor’s support.

301

�Variables
How often do you give
feedback in written form as
well as verbally?
How often do you face
problems with your own
English language
proficiency/field knowledge?
How often do you give the
student-teacher the chance to
self-evaluate himself/herself
orally?
How often do you give studentteacher the chance to selfevaluate himself/herself in
written form?
How often do you give
reinforcement to the studentteachers?
How often do you thing a
mentor is a reflective friend?
Is there a two-way interaction
rather than a directive attitude
of the mentor in these sessions?
Is there a communicative
atmosphere characterized by
openness and caring?
How often do you seek studentteachers’ ideas as well which
could be discussed and enriched
if needed?
How often do you encourage
and support the student-teachers
so as to build up their
confidence in planning and
teaching English?
How often do you believe you
can give dynamic service by
using other resources and
methods and
do you go step by step by
having the student-teachers
begin from what they can
manage, for example groupteaching, with a trial-error
learning approach?

Sum of
squares

DF

Mean

Between
Group
Within
Groups
Between
Group

6.543

1

6.543

224.228

164

1.367

8.293

1

8.293

Within
Groups

254.984

164

1.555

Between
Group

16.127

1

16.127

Within
Groups

284.140

163

1.743

Between
Group

17.790

1

17.790

Within
Groups

230.649

162

1.424

Between
Group

8.803

1

8.803

Within
Groups

302.143

163

1.854

19.921

1

19.921

245.219

162

1.514

15.328

1

15.328

168.390

161

1.046

12.097

1

12.097

Within
Groups

213.331

164

1.301

Between
Group

22.558

1

22.558

Within
Groups

237.951

163

1.460

Between
Group

11.509

1

11.509

Within
Groups

237.703

163

1.458

Between
Group

19.859

1

19.859

Between
Group
Within
Groups
Between
Group
Within
Groups
Within
Groups

Within
Groups

235.751

162

1.455

Table 1. Mentors and Mentees’ Responses

302

F

Sig.

4.786

.030

5.334

.022

9.251

.003

12.495

.001

4.749

.031

13.160

.000

14.655

.000

9.299

.003

15.452

.000

7.892

.006

13.646

.000

�Variables
How often does the mentor follow the process
of pre-observation, observation and postobservation?
How often does the mentor provide feedback
to the student-teachers as a mentor?
Is
his/her feedback sufficient in depth
How
often does the mentor give feedback in
written form as well as verbally?
How often does the mentor give feedback
immediately after the observation?
How
often does the mentor face problems with
time constraints when providing feedback ?
How
often does the mentor face problems with his
own English language proficiency/field
knowledge?
How
often does the mentor face problems related
with inadequate/no training given to the
mentor?
How
often does the mentor face problems with
school management?
How
often does the mentor face problems with
heavy workload for mentors?

Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher
Student
teacher
Mentor
teacher

Mean

Standard
Deviation

3,0219

1,1972

3,5000

,78019

3,2887

1,15826

3,7500

,89685

3,2214

1,18788

3,5417

,93153

2,3521

1,16203

2,9167

1,21285

3,1773

1,22056

3,2917

1,12208

2,5357

1,14685

2,3750

,96965

2,2606

1,30835

1,6250

,76967

2,1786

1,16463

1,7391

,68870

1,6929

1,03114

1,9167

1,10007

2,0073

1,01094

2,0870

,90015

Table 2. Mean and Standard Deviation Scores of Both Groups

303

�Conclusions and Implications
Based on these data, the results show that it would be essential to train the mentors once again 10
years later the first training seminar in 1998(Akalın). It has been found out that a revision of the system is
a Must. It seems also necessary to encourage the supervisors back in the department to be more attentive
to the issue. Whenever necessary, mentors should be able to easily reach the department and get utmost
support in their decisions. It is also highly recommended that mentors should be encouraged to give more
feedback to the student-teachers. They should also be supported about getting more help from the
department in upgrading their level of language proficieny. The mentors should be more willing to do self
evaluation and they should be encouraged to use more reinforcement on student-teachers. The results also
indicate that mentors should use a revised, less authorative and more communicative approach in dealing
with student-teachers’ needs and they should be more supportive of the student-teachers’ new approaches
to teaching.
References
Akalın, S. (1998). İngilizce Rehber Öğretmenlerinin Hizmet İçi Eğitimi, Erzurum: Bakanlar Media.
Bullough, R. V. (2005). Being and Becoming a Mentor: School-Based Teacher
Educators and Teacher Educator Identity. Teaching and Teacher Education, 21, 143155. Retrived August 19, 2007, from the Elsevier database.
Hussein, J. W. (2007). A plea for a mentoring framework that promotes dialogic
professional learning in the ELT teacher education context. International Journal of
Progressive Education, 3, (2). Retrived August, 19, 2007, from the Elsevier database.
Friedman, Audrey A; Elizabeth Kowaleski Wallace (2006). Crossing Borders: Developing an Innovative
Collaboration to Improve the Preparation of High School English Teachers. English Article (EJ) 12 Equity &amp;
Excellence in Education, 39, (1), 15-26. Retrived August, 19, 2007, from the Elsevier database.
Rajuana, M., Douwe Beijaardb and Nico Verloopc (2007), The role of the cooperating
teacher: bridging the gap between the expectations of cooperating teachers and student. Mentoring &amp; Tutoring, 15,
(3), 223-242. Retrived August, 19, 2007, from the Elsevier database.
Rush, Leslie; Sandra H Blair; David Chapman; Andrew Codner; Becky Pearce. (2008). A New Look at Mentoring:
Proud Moments and Pitfalls. English Article (EJ) 5 Clearing House: A Journal of Educational Strategies, Issues and
Ideas, 3, 128-132 Web site: http://www.heldref.org
Smith, E. R. (12.04.2009), Negotiating power and pedagogy in student teaching: expanding and shifting roles in
expert–novice
discourse.
Retrieved
in
March
13th,
2008,
from
http://www.informaworld.com/smpp/content~db=all~content=a739048845? words=men
Varghese, Manka M.; Lee Wilberschied (2002). Reconsidering the novice/expert
dichotomy in the K-12 mentor-mentee relationship. Journal of In-Service Education,
28, 23-34. Retrived August, 19, 2007, from the Elsevier database.

304

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                <text>Mentoring SYSTEM: An Evaluation by English Mentors and Efl Student-  Teachers</text>
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ÖZATA, Cüneyt
ÖZBAY, İrem</text>
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                <text>The system of mentoring has first been applied in England and is being used in  Turkey’s educational system, too. The aim of the study is evaluating the mentoring system of  Ataturk University, School of Education, and English Language Teaching Department in  training pre-service English teachers during their teaching experience at schools.  Questionnaires were applied to mentors, student-teachers and supervisors. Data have been  collected through questionnaires which include Lykert type items and collected data have been  analyzed statistically using mean scores of the participants. The purpose of this study is to  make student teachers and mentors aware of mentors’ importance in teaching experience, to  attract the interest of teachers who have never taken part in mentoring. The aim which is to  reach mass of mentors has been achieved. However, it is essential to state that this study is a  kind of starting point to develop new research in this context.</text>
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                    <text>Freshman Students’ Attitudes Toward Issues of Computer Ethics
Ali ACILAR
The Department of Business Administration
Bilecik University, Turkey
ali.acilar@bilecik.edu.tr;
Muzaffer AYDEMİR
The Department of Business Administration
Bilecik University, Turkey
muzaffer.aydemir@bilecik.edu.tr
Abstract: Computers and Internet have become a part of our life. Our dependence on these
technologies has been continuously and rapidly increasing. Computers and Internet use also has
become a necessity for instructional purposes in academic environments. Although the
widespread use of computers and Internet has many benefits for almost everyone, it has also
increased the use of these technologies for illegal purposes or unethical activities such as piracy
and privacy invasion. Taking these issues into consideration, the main purpose of this study is to
explore freshman students’ attitudes toward several issues of computer ethics. This study was
conducted using a survey method and data were collected among freshman students in the
Department of Business Administration at a public university in Turkey. Hypotheses were tested
for investigating whether age, gender and duration of computer usage in a week have a significant
impact on freshman students’ ethical judgments regarding computer and Internet usage.
Keywords: Computer ethics, freshman students

Introduction
Computers have become a part of society. Computers and internet change the way we live, the way we
communicate, the way we get education, the way we make business. Societies are changing with information and
communication technologies. Many businesses depend on computers and Internet for its operations. Computers and
Internet have increasingly become necessity in education and industry as well as in daily life. There is no doubt that
these technologies have had considerable impact on our lives. However, the tradeoff between the benefits and
dangers for a person or a society is controversial. Today’s advanced information and communication technologies
have enlightened many people but, also have increased the use of computers for illegal purposes or unethical
activities such as piracy, privacy invasion, unauthorized access and use of computer systems (Banerjee et al, 1998;
Mason, 1986; Sedlet, 1999, Lee and Chan, 2008; Maslin Masrom and Zuraini Ismail, 2008; Akbulut et al, 2008, a).
Technological developments create new opportunities for action and new sets of choices that are ultimately
of a moral nature (Mullen and Horner, 2004). As living in the information age, also known commonly as the
computer age or information era, we constantly confronted with important technological changes and the need to
create new attitudes towards new situations arose from the computer technology (Maslin Masrom and Zuraini Ismail,
2008). Technological changes penetrate societies faster than new attitudes are formed for them or legal and ethical
codes are adopted (Bercu, 1991).
As the use of computers and Internet has become widespread, misuses of these technologies have increased
dramatically (Banerjee et al, 1998). The easy of reaching, storing, changing and transmitting information provided by
Internet has made unethical behaviors much easier, particularly among students in academic settings (Abdul Karim,
Zamzuri, and Nor, 2009). Internet has provided a new dimension to human computer interaction. There is no doubt
that proper use of Internet is beneficial to both, students and academicians. However there is no code of ethics for
users in the Internet. There is an ethical vacuum in cyberspace (Laudon, 1995). According to Sackson (1996) as the
general public becomes increasingly ‘computer literate’, the gap between technology and peoples’ intellect
noticeably shrinks.
Students enter universities from different backgrounds and with different experiences. Many students are
unaware of ethical issues of computer usage such as software piracy (Cohen and Cornwell, 1989). According to
Calluzzo and Cante (2004) many if not most, students had misconceptions about what represented ethical and
unethical behaviors in the use of software and information technology and systems. It is important to measure the

213

�level of computer ethics awareness in the first year of undergraduate education to take necessary measures about
ethical computer usage among students before graduation.
Teaching computer ethics is a critical task in the Department of Business Administration. There are several
reasons computer ethics is an important issue for students in the Department of Business Administration. It is
possible that if college students are uncertain about what constitutes appropriate and inappropriate behavior then this
uncertainty will be carried forward into their workplaces after graduation (Calluzzo and Cante, 2004; King and Case,
2007). Employee abuse of company information technology resources can slow a system’s network, hurt the
productivity of all workers trying to access information on the system and even dangerous network can be infected
by a downloaded virus. These cases may generate huge losses for company and can result in lawsuit or dismissal
(Perreault and Keith, 2004). Even though some organization adopted code of ethics for members, not every computer
user and information system professional is a member of these organizations, and therefore does not necessarily
follow these codes (Harris, 2000). Computer abuse is widespread issue around the world. To prevent financial losses
from computer abuse, companies need to employ people who are aware of ethical computer usage (Pierce and Henry,
1996). Since many companies depend on people who are computer literate and computer users face ethical problems
everyday in the work-place. For these reasons college students should be aware of ethical computer usage before
graduation (Pierce and Henry, 1996; Calluzzo and Cante, 2004).
Given these issues, this study was conducted among freshman students in the Department of Business
Administration at a public university in Turkey to gain insight about their awareness and understanding of the
computer ethics issues.

Literature Review
Computer ethics awareness among undergraduate students in different fields of study has been the subject of
several studies. Different dimensions of computer ethics have been addressed by these studies. Cohen and Cornwell
(1989) conducted a study on college students to determine their attitude toward copying of computer software. They
determined that 58% of the college students, who are participated the survey, had personally pirated. Cohen and
Cornwell (1989) determined that an overwhelming majority of students feel that software piracy and other forms of
information system unethical behavior are acceptable, also many students feel that it is okay for them to pirate
software but they feel that piracy is normative behavior.
Athley (1993) surveyed sixty-five computer science and computer information systems students to
determine their ethical beliefs on seven scenarios and nineteen ethical problems. She found significant differences
between high-tech students and computer experts based on ethical beliefs in computer-related situations.
Harris (2000) investigated information systems ethical attitudes among college students with a survey
including ethical situations of 20 individual situations. He found that there is a difference in attitudes as students
mature through the educational process in 12 of the 20 individual situations, and between genders in 8 of the 20
individual situations.
Siegfried (2004) investigated student attitudes on software piracy and related issues of computer ethics. He
determined from the study that students generally felt that copying commercial software and downloading music
from the Internet was acceptable and found that there was no significant correlation between student attitudes and
their school’s religious affiliation or lack thereof. He found that a small but significant percentage of responding
students considered the other questionable behaviors as ethically acceptable. Students do not see any problem with
downloading music over the Internet. Siegfried (2004) determined that there is no sense among college students that
the unauthorized copying of commercial software is wrong.
Calluzzo and Cante (2004) conducted a research among graduate and undergraduate students to gain insight
into their attitudes, perceptions and understanding of ethics in information technology and software use. They found
that the sample were quite ethical in those behaviors associated with personal privacy, personal property or outright
theft. This study couldn’t find significant differences among genders based on ethical judgements.
McCarthy, Halawi, and Aronson (2005) studied to determine whether there are significant differences
between undergraduate and graduate students in their perception of information technology ethics. The study found
that significant differences do not exist between undergraduate and graduate computer information systems students
but significant differences existed between male and female computer information systems students in their ethical
beliefs related to information technology usage.
Gan and Koh (2006) examined perceptions of software piracy and studied to discover its underlying factors
in three universities at Singapore. They found that while age was negatively related to software piracy, computer
experience or computer usage demonstrated an ambiguous relationship to software piracy.

214

�Halawi and Karkoulian (2006) investigated ethical attitudes of business information systems student toward
information systems. They found that there is a difference in perception to ethical situations between undergraduate
and graduate students as well as between females and males in certain ethical situations.
King and Case (2007) investigated undergraduate student behavior and perceptions about e-cheating. They
founded that even cheating is common among undergraduates only four percent of students admit to cheating on
exams using information technology.
Masrom, Ismail, and Hussein (2008) investigated the ethical awareness of computer use among
undergraduate computer science students at two public Malaysian universities. They found that the ethical awareness
of computer use of the students differ most significantly on the basis of the university itself. They found no major
differences across gender, age and duration of computer use.
Namlu and Odabasi (2007) carried out a survey with 216 undergraduate students from Anadolu University,
Turkey computer engineering and computer and instructional technologies teaching departments and developed
unethical computer using behavior scale (UECUBS). Akbulut et al (2008, b) investigated influence of gender,
program of study and PC experience on unethical computer using behaviors of Turkish undergraduate students from
five different departments (not including the Department of Business Administration) at Anadolu University using
UECUBS. Akbulut et al (2008, a) explored the types and reasons of Internet-triggered academic dishonesty among
undergraduate students in department of education at Anadolu University and developed Internet-Triggered
Academic Dishonesty Scale (ITADS). Beycioglu (2009) conducted a study aimed to determine prospective teachers’
unethical computer using behaviors at a faculty of education in Turkey. Beycioglu (2009) in his study concluded that
prospective teachers undermine ethical computer use. The results revealed that female candidate teachers were more
concerned about ethical issues than male candidate teachers and that prospective teachers who had up to five years of
PC experience considered ethical computer use more than those with five years and beyond.

Research Methodology
Hypotheses
In this study three research hypotheses were stated to guide the research. These are as follows:
H0(1): 18-19 years old students and 20-24 years old students have the same ethical beliefs about computer usage.
H0(2): Female and male students have the same ethical beliefs about computer usage.
H0(3): Students with less computer usage (1-4 hours) and students with more computer usage (more than 4 hours) in a
week have the same ethical beliefs about computer usage.
Participants
The study was conducted in the spring semester in 2009. 143 full time freshman students in the Department of
Business Administration participated the study. The total number of questionnaires used after the exclusion of
missing values was 110. Respondent students (excluding missing values) consisted of 36% of all freshman students
in the Department of Business Administration (309). Sample characteristics are provided in Table 1.

215

�Frequency

Percentage

1) Male

49

44.5

2) Female

61

55.5

18-19

57

51.8

20-24

53

48.2

52

47.3

58

52.7

57

51.8

53

48.2

97

88.2

13

11.8

13

11.8

97

88.2

Gender

Age

Duration of Computer Usage in
a Week
1-4 hours
&gt; 4 hours
Internet Experience
1-4 years
&gt; 4 years
E-Mail Users
Yes
No
Internet shopping
Yes
No

Table 1. Participants’ characteristics
Instrument
The questionnaire used in this study consists of two parts. The first part was developed to collect
demographic information. The second part comprised of 28 items measuring computer ethics awareness. 10 items in
the second part of the questionnaire are adapted from “Ten Commandments of Computer Ethics”. Remaining 18
items are adapted from “unethical computer using behavior scale (UECUBS)” developed by Namlu and Odabaşı,
2009. Respondents answered each item in the survey on a five-point scale ranging from 1 (Strongly Disagree), 2
(Disagree), 3 (Neutral), 4 (Agree) to 5 (Strongly Agree).

Results
The results indicate sensitivity toward unethical behavior in various situations among freshman students.
The highest mean score (Q12: 2.44, with standard deviation (SD): 1.345) regarded “Copying licensed CDs, DVDs”,
second highest mean score (Q6: 2.15, with SD: 1.322) regarded “Copy or use proprietary software for which you
have not paid”. Other high mean scores were “Using crack programmes” (Q11: mean: 2.05, SD: 1.244), “Using
materials like pictures, animations, etc., without the consent of the owner” (Q14: mean: 2.03, SD: 1.207). The lowest
mean score (Q23: mean: 1.11, SD: 0.367) regarded “Sending pornographic mail to people without request”. Other
low mean scores were “Use a computer to steal” (Q4: mean: 1.13, SD: 0.386), and “Deliberately sending a virus by
e-mail” (Q24: mean: 1.15, SD: 0.473). Table 2 shows descriptive statistics of the items.
The results of the hypotheses testing are summarized in the following paragraphs. The results of t-test are shown in
Table 3 and the group means are presented in Table 4.

216

�Age Differences
The first hypothesis is about whether students in different ages have the same ethical beliefs about computer
usage. Respondent students were grouped according to age as 18-19 years old and 20-24 years old. The results show
that 5 of the 28 items resulted in differences between 18-19 years old students and 20-24 years old students. Table 3
shows where there was a difference among group means between 18-19 years old students and 20-24 years old
students for the items. In all cases but two, mean score of 18-19 years old students is higher than mean score of 2024 years old students. This finding coincides with the results to other studies (ie. Masrom, Ismael and Hussein,
2008). Age is an important factor for students to their understanding of ethics become mature. Two groups believed
that use a computer to harm other people is unethical (Groups’ mean scores are 1.26). There is no difference between
age groups regarding to “Copying licensed CDs, DVDs” and “Copy or use proprietary software for which you have
not paid” items. These items have the highest mean scores for these groups. “Sending pornographic mail to people
without request” item has the lowest mean score for two age groups. There is no statistically significant difference
between two groups regarding to this item.
Gender Differences
The second hypothesis is about whether female and male students have the same ethical beliefs about
computer usage. The results show that 15 of the 28 items resulted in statistically differences between male and
female students. Table 3 shows where there was a difference among group means between male and female students
for the items. In all cases, mean score of male students is higher than mean score of female students. Female students
are more sensitive than male students regarding to unethical use of computers. The lowest mean score of males is
1.12 (1.11 for females) related to “Sending pornographic mail to people without request” item. Male and female
students accept this as an unethical behavior. The highest mean scores of males are 2.78 and 2.71 related to
“Copying licensed CDs, DVDs” and “Copy or use proprietary software for which you have not paid” items. Female
students’ mean scores of these items are 2.16 and 1.7 respectively.
Duration of Computer Use in a Week Differences
The third hypothesis is about whether students with less computer usage and students with more computer
usage in a week have the same ethical beliefs about computer usage. The results show that 14 of the 28 items
resulted in differences between students with less computer usage and students with more computer usage in a week.
Table 3 shows where there was a difference among group means between students who use computer 1-4 hours in a
week and students who use computer more than 4 hours in a week for the items. In all cases, mean of students who
use computer more than 4 hours in a week is higher than mean of other group. These results indicate that more
computer experienced students show less ethical attitudes toward computer usage. The highest mean score for these
groups is also related to “Copying licensed CDs, DVDs.”. Mean scores of this item are 2.81 and 2.02 respectively.
The lowest mean score for more computer experienced students is 1.16 and it is related to “Use a computer to steal.”.
The lowest mean score for less computer experienced students is 1.02 and it is related to “Sending pornographic mail
to people without request.”.
In this study, we couldn’t find statistically significant difference between groups in 5 of 28 items regarding
all three hypotheses. These items are Q5, Q8, Q19, Q20, and Q25.

Conclusions
As computer and Internet use continues to grow, users and institutions face some ethical and legal issues
related with using these technologies. The aims of this study were to test three hypotheses regarding freshman
students’ attitudes toward issues of computer ethics. To achieve these objectives, authors collected data from one
hundred and ten freshman students in the Department of Business Administration.
The study found that there were significant differences in ethical attitudes about computer usage between
18-19 years old students and 20-24 years old students. 20-24 years old students were more aware about ethical
behavior using computer than 18-19 years old students.
In terms of gender factor, the results of this study indicated that significant differences existed between male
and female freshman students. It is found that, female students' attitudes about ethical computer usage better than

217

�male students in all 28 cases. The study showed 15 of the 28 items resulted in statistically significant differences
between male and female students.
The study shows that more computer experienced students show less ethical attitudes toward computer
usage. In all cases, mean scores of students who use computer more than 4 hours in a week is higher than mean
scores of students who use computer 1-4 hours in a week. The results show that 14 of the 28 items resulted in
statistically significant differences between students depending on duration of computer usage in a week.
There are some limitations of this study. The respondent sample of the study is composed students in the
Department of Business Administration. Students in other departments may show differences. Another limitation is
that study is conducted in a public university in Turkey. Besides all the limitations, this study makes meaningful
contribution to field of study in computer ethics awareness among undergraduate students.

References
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Technology, 6, 215– 222.

219

�Mean

SD

Q1) Use a computer to harm other people.

1.26

0.585

Q2) Interfere with other people’s computer work.

1.53

0.786

Q3) Snoop around in other people’s computer files.

1.41

0.782

Q4) Use a computer to steal.

1.13

0.386

Q5) Use a computer to bear false witness.

1.17

0.446

Q6) Copy or use proprietary software for which you have not paid.

2.15

1.322

1.50

0.843

Q8) Appropriate other people’s intellectual output.

1.50

0.886

Q11) Using crack programmes.

2.05

1.244

Q12) Copying licensed CDs, DVDs.

2.44

1.345

Q13) Selling licensed CDs, DVDs which are reproduced against regulations.

1.62

0.948

Q14) Using materials like pictures, animations, etc. without the consent of the owner.

2.03

1.207

Q9) Do not think about the social consequences of the program you are writing or
the system you are designing.

1.51

0.763

Q10) Do not use a computer in ways that ensure consideration and respect for your
fellow humans.

1.28

0.608

1.38

0.69

Privacy

Property

Q7) Use other people’s computer resources without authorization or proper
compensation.

Social Impact

Q15) Disturbing people by using the advantage of virtual environment.
Q16) Carrying a propaganda in Internet that threatens social peace.

1.23

0.501

Q17) Allowing children to play computer games of violence.

1.53

0.936

Q18) Permitting children to enter inappropriate sites on Internet in Internet Cafes.

1.28

0.731

Q19) Web masters’ delivering the personal information of members to other people.

1.20

0.503

Q20) Deliberately damaging the hardware of computers designed for public use.

1.16

0.418

Q21) Copying the data in a computer without the consent of the owner.

1.27

0.573

Q22) Sending a private mail to others without the consent of the sender.

1.49

0.875

Q23) Sending pornographic mail to people without request.

1.11

0.367

Q24) Deliberately sending a virus by e-mail.

1.15

0.473

Q25) Using others’ personal information without permission.

1.23

0.553

Q26) Sending one’s personal information to a web page without permission.

1.19

0.459

1.91

1.253

1.60

1.051

Safety and Quality

Q27) Using the network of an individual or institution to access Internet without
permission.
Q28) Hacking through Internet.

Table 2. Descriptive Statistics of the Items

220

�Privacy

Ha(1)

Ha(2)

H(3)

p

p

p

Q1) Use a computer to harm other people.

0.993

0.002**

0.056

Q2) Interfere with other people’s computer work.

0.015*

0.019*

0.019*

Q3) Snoop around in other people’s computer files.

0.016*

0.032*

0.118

Q4) Use a computer to steal.

0.172

0.028*

0.426

Q5) Use a computer to bear false witness.

0.024

0.062

0.676

Property

Q6) Copy or use proprietary software for which you have not paid.

0.236

0.000**

0.001**

Q7) Use other people’s computer resources without authorization or proper
compensation.

0.142

0.053

0.010**

Q8) Appropriate other people’s intellectual output.

0.915

0.332

0.520

Q11) Using crack programmes.

0.111

0.000**

0.037*

Q12) Copying licensed CDs, DVDs.

0.387

0.017*

0.002**

Q13) Selling licensed CDs, DVDs which are reproduced against regulations.

0.340

0.001**

0.012*

Q14) Using materials like pictures, animations, etc. without the consent of the
owner.

0.033*

0.170

0.022*

Q9) Do not think about the social consequences of the program you are
writing or the system you are designing.

0.043*

0.011*

0.106

Q10) Do not use a computer in ways that ensure consideration and respect for
your fellow humans.

0.546

0.033*

0.605

Social Impact

Q15) Disturbing people by using the advantage of virtual environment.

0.147

0.000**

0.026*

Q16) Carrying a propaganda in Internet that threatens social peace.

0.051

0.478

0.022*

Q17) Allowing children to play computer games of violence.

0.424

0.002**

0.009**

Q18) Permitting children to enter inappropriate sites on Internet in Internet
Cafes.

0.034*

0.182

0.004**

Q19) Web masters’ delivering the personal information of members to other
people.

0.076

0.224

0.088

Q20) Deliberately damaging the hardware of computers designed for public
use.

0.221

0.184

0.817

Q21) Copying the data in a computer without the consent of the owner.

0.138

0.015*

0.036*

Q22) Sending a private mail to others without the consent of the sender.

0.046*

0.194

0.155

Q23) Sending pornographic mail to people without request.

0.141

0.734

0.011*

Q24) Deliberately sending a virus by e-mail.

0.084

0.080

0.036*

Q25) Using others’ personal information without permission.

0.078

0.520

0.090

Q26) Sending one’s personal information to a web page without permission.

0.009**

0.494

0.097

Q27) Using the network of an individual or institution to access Internet
without permission.

0.089

0.017*

0.086

Q28) Hacking through Internet.

0.493

0.001**

0.262

Safety and Quality

* indicates significant at the 0.05 level
** indicates significant at the 0.01 level
Table 3. The Results of t-test

221

�Ha(2)

Ha(1)
18-19

20-24

years old

years old

H(3)

Male

Female

1-4 hours

&gt;4 hours

N

57

53

49

61

52

58

Q1

1.26

1.26

1.47

1.10

1.15

1.36

Q2

1.70

1.34

1.73

1.36

1.35

1.69

Q3

1.58

1.23

1.59

1.26

1.29

1.52

Q4

1.18

1.08

1.22

1.05

1.10

1.16

Q5

1.26

1.08

1.27

1.10

1.15

1.19

Q6

2.30

2.00

2.71

1.70

1.73

2.53

Q7

1.61

1.38

1.67

1.36

1.29

1.69

Q8

1.49

1.51

1.59

1.43

1.44

1.55

Q11

2.23

1.85

2.63

1.57

1.79

2.28

Q12

2.54

2.32

2.78

2.16

2.02

2.81

Q13

1.70

1.53

1.96

1.34

1.38

1.83

Q14

2.26

1.77

2.20

1.89

1.75

2.28

Privacy

Property

Social Impact
Q9

1.65

1.36

1.71

1.34

1.38

1.62

Q10

1.32

1.25

1.43

1.16

1.25

1.31

Q15

1.47

1.28

1.65

1.16

1.23

1.52

Q16

1.32

1.13

1.27

1.20

1.12

1.33

Q17

1.60

1.45

1.84

1.28

1.29

1.74

Q18

1.42

1.13

1.39

1.20

1.08

1.47

Q19

1.28

1.11

1.27

1.15

1.12

1.28

Q20

1.21

1.11

1.22

1.11

1.15

1.17

Q21

1.35

1.19

1.43

1.15

1.15

1.38

Q22

1.65

1.32

1.61

1.39

1.37

1.60

Q23

1.16

1.06

1.12

1.10

1.02

1.19

Q24

1.23

1.08

1.24

1.08

1.06

1.24

Q25

1.32

1.13

1.27

1.20

1.13

1.31

Q26

1.30

1.08

1.22

1.16

1.12

1.26

Q27

2.11

1.70

2.22

1.66

1.69

2.10

Q28

1.67

1.53

2.00

1.28

1.48

1.71

Safety and Quality

Table 4. Group Means

222

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                    <text>Trends and Issues in Renewable Energy Education
Caglayan ACIKGOZ, Alev A.BORAZAN
Department of Chemical&amp;Process Engineering, Faculty of Engineering ,
Bilecik University, Bilecik, TURKEY
Email: caglayan.acikgoz@bilecik.edu.tr

Abstract: With worldwide demand for energy increasing every day, the development of new, clean,
renewable energy sources is critical to Earth's environment. To use clean-energy technology to help
developing countries improve their quality of life and economies. Turkey is an energy importing
country. Turkey presently has considerable renewable energy sources. The most important
renewable sources are hydropower, wind, solar, geothermal, and biomass. The use of renewable
energy as a topic to study energy and its forms permits a novel way to motivate students,
particularly those who energy topics taking conscience with the environment. We would like to
achieve this by looking beyond the schools’ curricula and by introducing modern environmental and
energy management methods in Universities and Vocational High Schools. This increases the
methodological competencies of students and facilitates their change from school to professional
life. Students play an active role in the systematic improvement processes of the schools and are
even eligible to be trained to become environmental auditors. The modern internet-based learning
methods and instruments are highly attractive for the students and instructors.
Key words: Renewable Energy Education, Teaching Learning Material, Motivation

Introduction
Energy is essential to economic and social development and improved quality of life in all countries.
Availability of cheap and abundant energy with minimum environmental and ecological hazards associated with its
production and use is one of the most important factors for economic growth and also for the desired improvement in
the quality of life of the people living in developing countries. Because environmental problems result from energyrelated factors, energy and environment are closely related concepts. Studies in last 2 decades have predicted that
energy education will be a new discipline in both developed and developing countries. It is therefore especially
developing countries that should take into account those studies and make some decisions about their energy,
environment, and educational policy. Two important strategies are being adopted by a number of countries around
the globe. The first strategy calls for energy demand management, which effectively means promotion of various
energy conservation and efficiency measures, and the second approach is the development and large-scale
dissemination of renewable energy technologies. Many countries around the world took initiatives for the
development and dissemination of renewable energy technologies immediately after the first oil crisis. However, in
spite of ambitious programmes of many countries in this direction, the dissemination of these technologies has not
met the expectations of the planners and implementing organizations. There have been only a few successful cases of
the adoption of renewable energy technologies. The poor dissemination of renewable energy technologies may be
attributed to several factors. One of the important inhibiting factors is the lack of a structured framework for
providing energy education, in general, and renewable energy education, in particular. For example, in many
countries, the lack of indigenous technology development capacity in the area of new and renewable sources of
energy has often resulted in the promotion of very expensive and inappropriate designs. Similarly, in some other
places, owing to the unavailability of local technical manpower of proper repair and maintenance of the initially
installed systems, the users have decided to use some other energy resource – technology combinations. Some of the
renewable energy technologies were not accepted by the end-users as they were unaware of their potential benefits
and associated requirements. These and several other such problems are merely manifestations of the same root
cause - lack of proper renewable energy education.

145

�Many developed and developing countries have changed their energy policies to find and develop new,
clean, and renewable energy sources. These countries have also been aware of the importance of formal and informal
energy and environmental education to make their citizens aware of the problem. Therefore they have been planning
to make required changes in their educational programs to integrate some energy and environment-related concepts,
units, activities, etc. into their curricula at different levels.
As mentioned above, investments in the energy sector and development of this sector are vital for Turkey.
For this purpose, several new policies have been continuously produced and changed according to new growing
economic requirements in this sector. During this process, it is also important to take into consideration
environmental and educational factors. It is obvious that one of these policies produced must be related to studies
dealing with energy education to supply qualified employees to the sector, to increase energy efficiency, to prevent
energy extravagancy, and to make citizens aware of the need to protect their environment. It should not be ignored
that formal education institutions play the most important role in achieving all of these goals. Because energy is
closely linked to concern for the environment, energy education should also include environmental issues(Garg
2006, Keser et al. 2003, Dinçer 1991).

Renewable Energy Education in the World
The need for energy education increases depending on war and economic turmoil day by day. What is
important is to decide how teaching about energy education should be done and what should be taught without such
crises. However, the problem is that sources and studies on energy education are limited. For instance, in the late
1970s and early 1980s, energy curriculum-development projects were underway in the US. A search of the ERIC
database, using the key words “energy-education and local-studies,” reveals that in 1981 eleven documents or
articles met that criteria and the next year the number jumped to 19. The same ERIC search that identified almost 2
dozen articles in 1982 located no articles on those topics in either 1989 or 1990(Keser et al. 2003, Marker 1991). In
the last decade, besides a few studies dealing with energy education, it can be seen that the number of web sites on
this topic has been increasing due to developing technologies. Energy in itself has not been regarded as a separate
discipline of education since the students in other disciplines (e.g., mechanical, chemical, electrical engineering, as
well as physics) are just exposed to the relevant aspects (of energy extraction, conversion, transmission and
distribution, utilization, etc.) as a part of their curricula. In these disciplines, the subject of energy is not pictured with
all its own aspects. Thus independent courses dealing with energy-related issues are not offered to the students at any
level of formal education. This has necessitated that energy be considered a very special topic and all its relevant
dimensions be studied in considerable detail. Hence the need to establish a separate educational discipline for energy
is urgent as well made some suggestions for this purpose (Garg 2006). In their study, they offered levels and
desirable features of energy education programs. For creating awareness and interest among the public and also for
providing first-hand exposure to the basic concepts and their applications, relevant inputs will have to be introduced
at the school level. Short-term courses and the use of mass media techniques can also help in achieving the above
objectives. Diploma level courses will have to be introduced for training of personnel in fabrication, installation, and
maintenance of energy technologies and systems. Regular four-year bachelor degree courses in energy engineering
with specialization in the area of renewable energy and energy conservation may be required for providing the
required manpower for design development and evaluation of emerging technologies. Teaching and training
programmes at the postgraduate level can be useful in imparting advanced level inputs to engineering graduates or
science students preferably with certain specialization options. Finally, short-term mid-career training of scientists,
engineers, policy-makers, and administrators in certain specific aspects may also be required. It must be emphasized
that for effective and large-scale dissemination of Renewable Energy Technologies initiating and strengthening
efforts at all the above levels is equally important. In some developing countries, especially in rural areas, a primaryschool focus is particularly important, for this may be the only formal education children receive. The attitudes about
energy inculcated at this time might have a profound effect, not only on the students, but also on their parents if they
follow their children’s schoolwork. This can have a direct impact on the improvement of understanding among the
general public, for example of the fuel wood problem and the need for innovation in stove design and solar cropdrying techniques, and such other renewable energy issues.
In many developing countries, secondary education is used to impart job-related trade skills, as well as to
prepare for college. Programmes on the maintenance and repair of renewable-energy devices and the adaptation of
non-local designs to local needs and materials should be introduced into high-schools and technical schools. This
will not only provide societies with the skilled technical manpower needed to make introduction of renewable-energy

146

�technology feasible, but it will also impart income-earning skills for a new era of energy use. Here again, training
materials and equipment are needed and teachers must be trained in their use. It is probably desirable throughout the
educative process, but particularly at the university level, that renewable-energy considerations be presented as part
of the complete energy picture, and that energy considerations in general be placed in the development context, both
rural and urban. There are several reasons for this. Renewable energies are more likely to receive their proper due if
they are considered on a par with other supply options so as neither to exaggerate nor to underestimate their potential
importance to any locals. Beyond this, the impact of energy issues on each economic sector and on intersectional
coordination needs to be made clear and even emphasized.
Desirable features of an energy education program are as follows: It should include all energy resources
(renewable and non-renewable) with particular emphasis on some specific ones depending upon the local needs and
characteristics. It should cover all aspects of energy technologies such as resource assessment, technology,
economics and energetic, socio cultural issues, and ecological and environmental impacts. Separate curricula
should be developed for different levels (school, polytechnic, university) and for different audiences. Although to
some extent the energy education programs may cater to the local, site-specific needs, they should at the same time
be consistent with national, regional, and international priorities and requirements. It should be flexible and dynamic,
thus allowing for improvement in the future, if desired. It should provide a balance between theory and practical
aspects and should involve all aspects of teaching/training including lectures, laboratories, demonstrations, hands-on
skills training, design, manufacture, trouble-shooting, etc. It should be capable of providing energy education to all
in a minimum amount of time and should be economically viable so that the maximum number of people may be
educated within the existing financial resources. Energy education should also ensure employment/self-employment
for the students and should thus have a direct link with job requirements and responsibilities of the manpower
required in the area of energy. It should be compatible with the global efforts in this direction and should allow
effective and mutually beneficial experience sharing and interaction.

Renewable Energy Education in Turkey
The eighth Five-Year Development Plan of Turkey reports that the main objective in the energy sector is to
meet the increasing demand for energy, in line with economic development targets, population growth rate, transition
to industrialization, and taking into account the environment The options related to some energy and environmental
policies are the following General Policies:
• Measures to encourage wider use of natural gas
• Support the utilization of clean and renewable energy sources as well as passive solar
energy applications
• Decentralization in energy generation
• Optimizing sustainability of energy supply and environmental costs
• Setting integrated energy consumption targets for organized industrial zones
Education and Training:
• Organization of energy conservation training at adult education centres
• Introducing energy conservation in formal education
• Organization of training for households in mass housing and rural areas (WECTNC 1999).
As mentioned above, investments in the energy sector and development of this sector are vital for Turkey.
For this purpose, several new policies have been continuously produced and changed according to new growing
economic requirements in this sector. During this process, it is also important to take into consideration
environmental and educational factors. It is obvious that one of these policies produced must be related to studies
dealing with energy education to supply qualified employees to the sector, to increase energy efficiency, to prevent
energy extravagancy, and to make citizens aware of the need to protect their environment. It should not be ignored
that formal education institutions play the most important role in achieving all of these goals. Because energy is
closely linked to concern for the environment, energy education should also include environmental issues.
During the past decades or so, Renewable Energy Education efforts have primarily focused on postgraduate
level teaching / training programmes. Several other undergraduate engineering degree programmes on Renewable
Energy are offered. Short-term training and refresher courses are also being offered besides a large number of
seminars, workshops, symposia and conference being organized on Renewable Energy and related topics every year.
Some work has recently been initiated towards the development of vocational courses and courses for technicians
and mechanics.

147

�To Motivate Renewable Energy Education
We aims at improving the environmental and renewable energy awareness of young people for a sustainable
development, and also, at the development of innovative approaches for the analyses and solution of problems.
We would like to achieve this by looking beyond the schools’ curricula and by introducing modern
environmental and energy management methods in Vocational High Schools. This increases the methodological
competencies of students and facilitates their change from school to professional life. Students play an active role
in the systematic improvement processes of the schools and are even eligible to be trained to become
environmental auditors. The modern internet-based learning methods and instruments are highly attractive for
the students and instructors. Teachers are profoundly consulted and accompanied in the field of web-didactics. An
environmental and energy management system is a professional management instrument, which systematically
directs the school organization as well as the processes and activities in the schools towards an environmentally
friendly acting. All environmental media and material flows in the schools become transparent and the
environmental awareness of those involved is improved. Previous experiences with Environmental and Energy
Management System have shown that the consumption of resources and therefore costs can be reduced at the
schools. In their every-day surroundings the young people learn about an environmentally friendly handling of
resources and by means of out-of-school training forms they come to a positive attitude towards active citizenship
engagement. All students have undertaken the steps for the introduction of an environmental and energy
management system. Each step is described in detail and illustrated on the internal Learning Management System.
The implementation has been realized by environmental teams consisting of both students and teachers. The
necessary management skills have been transmitted in special compulsory optional environmental and energy
classes or in optional environmental and energy trainings. Moreover, the schools have been realizing environmental
projects involving different stakeholders such as students, teachers, parents and local organizations (environmental
organizations and experts, energy suppliers etc.). Thus for example renewable energy resources were introduced to
the students, whereby the environmental and energy groups provided necessary documentation and presented and
explained the new concept in school meetings to all members of the school. In order to establish the comparability in
the approaches, the teachers provided exemplary training units on the basis of a common pattern, which show how
an environmental and energy management system can be introduced with students. The development of the blended
learning approach (a mixture of face-to-face lessons and e-Learning) and the information-technological development
is realised by the Training and Project Network. The Pedagogical Seminary of the University accompanies and
evaluates the pedagogical development in the framework of the project on a European level. The environmental and
energy contest will be developed by Environmental and Energy Management. These Joint Actions are about the
possibility to do projects together in order to achieve synergy effects as it is intended in the resolutions of the
programmes Socrates (general education), Leonardo da Vinci (vocational training) and Youth. In general these Joint
Actions have to deal with subjects, which not exclusively are part of one of the areas general education, vocational
training or youth. They favour an increasing cooperation between stakeholders of different sectors and fields of
knowledge.
The learning material might be all kinds of office-files, like Word, Excel, PowerPoint, Pack and gopresentations, Access-data bases and other, but also small subprograms that do automatically start as web-basedtraining units on students computer, like flash-files. One further option to give illustrations is the provision of photofiles in all current formats, like jpg, gif-files. Further often used file-formats are PDF-files. Even small video
sequences can be enclosed attached, like mpg-files. By clicking the particular file symbol you open the material
online. In general it is advisable to save the learning material on PC, if necessary to print it as well.

Conclusion
It is essential to develop and implement a well-designed energy education program, including
environmental issues oriented to formal and non-formal education in cooperation with all foundations dealing with
energy before it is too late. A careful analysis of the course contents of many teaching / training programmes on new
and renewable sources of energy reveals that more often than not the curriculums are strongly driven by the expertise

148

�of available teachers rather than the inputs to be given to the students. A proper balance between theoretical and
practical inputs is crucial for any renewable energy education programme. The laboratory component of renewable
energy courses must ensure enough hands-on training of the students. There is an urgent need to develop suitable
experiments which can be offered at different levels.

References
H.P. Garg, Trends and Issues in Renewable Energy Education IX. World Renewable Energy Congress, Aug 2006, Florence,
ITALY
Kandpal, T. C., and H. P. Garg., Resources materials for renewable energy education. Renewable Energy 5:2362–2366, 1994.
Kandpal, T. C., and H. P. Garg, Energy education. Appl. Energy 64:71–78, . 1999.
Ömer F. Keser, Haluk Özmen, Fikret Akdeniz, Energy, Environment, and Education Relationship in Developing
Countries’Policies: A Case Study for Turkey, Energy Sources, 25:123–133, 2003
WECTNC, Web site of World Energy Council Turkish National Committee, Energy Report and Statistics of Turkey-1999, dated
searching from www.dektmk.org.tr/
Dinçer, I. Environmental issues: 1 Energy utilization, Energy Sources 23:69–81. 2001.
Marker, G. W., Has the time come to revive energy education? Social Studies 82(5):183–187, 1991.

149

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                <text>With worldwide demand for energy increasing every day, the development of new, clean,  renewable energy sources is critical to Earth's environment. To use clean-energy technology to help  developing countries improve their quality of life and economies. Turkey is an energy importing  country. Turkey     presently has considerable renewable energy sources. The most important  renewable     sources are hydropower, wind, solar, geothermal, and biomass. The use of renewable  energy as a topic to study energy and its forms permits a novel way to motivate students,  particularly those who energy topics taking conscience with the environment. We would like to  achieve this by looking beyond the schools’ curricula and by introducing modern environmental and  energy management methods in Universities and Vocational High Schools. This increases the  methodological competencies of students and facilitates their change from school to professional  life. Students play an active role in the systematic improvement processes of the schools and are  even eligible to be trained to become environmental auditors. The modern internet-based learning  methods and instruments are highly attractive for the students and instructors. </text>
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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Competition Strategies for Tourism Industry in the Context of Sustainable
Development
Faruk Kerem ġENTÜRK
Akdeniz University Alanya Faculty of Business, Turkey
fksenturk@akdeniz.edu.tr

Abstract: The subject of competition started to be more important while we are facing with a
quick changeable enviroment and an uncertain future. All around the world in every sector people
who try to establish a new business will meet lots of rivals, lots of opportunities with high risks
and a competition which ends with death or life. Because of these reasons strategies which help
managements to compete with their rival are very important for a sustainable development. In the
Travel&amp;Tourism Competitiveness Report which presented by World Economic Forum, Bosnia
and Herzegovina and Herzegovina ranked 107th. among 133 countries in 2009 index. This report
shows us that Bosnia and Herzegovina and Herzegovina need to prepare new competitive
strategies for tourism industry. If Bosnia and Herzegovina and Herzegovina can market his
tourism industry effectively this development also will provide a new way for sustainable
development.
The purpose of this study is to determine which competition strategies are suitable for the
managements in Bosnia and Herzegovina and Herzegovina to provide sustainable development. In
this context we will evaluate the strategies of Porter (Generic Strategies), D‘aveni
(Hypercompetition), Miles&amp;Snow (Adaptation Strategies).
Key Words: Strategy, Competition Strategies, Sustainable Development

1. Introduction
In recent years general trends in management area attach importance to information more than physical
assets. Companies around the world started to transform themselves for competition with information tools(Kaplan
and Norton, 2007). Companies forced to transform themselves because of environment conditions which can change
anytime, communication speed is increasing day by day and managers can‘t see what they face with in the future.
In a world like this, people(poor or rich), companies(little or big), countries(developed or developing) have
to be dynamic and prudent against rivals to compete with them.
In this study we evaluate the competition from the view of tourism to provide sustainable development.
First we asked the question of ―Can Bosnia and Herzegovina use tourism to provide development?‖ and found the
place of tourism in Bosnia and Herzegovina economy. Then we checked the structure of tourism in Bosnia and
Herzegovina and identified some criterions for the tourism of Bosnia and Herzegovina. Also we examined the rivals
of Bosnia and Herzegovina in the tourism sector. And finally we determined some suitable competition strategies for
tourism of Bosnia and Herzegovina to provide development. And we presented some suggestions for Bosnia and
Herzegovina tourism to provide sustainable development.

2. Concept of Competition Strategies
Since the early 1990s firms have faced significant challenges in their operating environments, including
stagnant or decreasing market volumes, shorter product and technology lifecycles, and more demanding consumers
and competition driven by price that forces participants to rationalise resources wherever possible (e.g. human
resources or logistics)(Kotzab et al., 2009). In this new business environment, competitors aggressively introduce
new products, change distribution channels, implement cost-cutting programs, and imitate each other‘s innovations;
and companies regularly redraw the traditional boundaries of markets as they globalize their operations in response
to the changing regulatory and competitive climate(Akhter, 2003).
In this mercurial environment, some business scholars present some strategies from different perspectives to
compete against our rivals. In this study we will evaluate only three author‘s strategies. These strategies are shown in
the table 2.1.

587

�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Authors
Michael E. Porter
Richard D‘Aveni

Raymond Miles&amp; Charles Snow

Strategies
1. Cost Leadership (low cost)
2. Differentiation
3. Focus
1. Speed
2. Strategic Soothsaying
3. Stakeholder Satisfaction
4. Surprise
5. Shift the Rules
6. Signalling Strategic Ġntent
7. Strategic Thrust
1. Prospector
2. Analyzer
3. Defender
4. Reactor

Table: 2.1. Competition Strategies
D‘aveni (1994) described the environment of companies as hypercompetitive environment.
Hypercompetition is ―characterized by intense and rapid competitive moves, in which competitors must move
quickly to build [new] advantages and erode the advantages of their rivals‖ (D‘Aveni, 1994:217- 218).
Hypercompetition emerged from the dynamic manoeuvres of innovative and global rivals. A hypercompetition
environment caused companies to face with more uncertainty, dynamism and increased animosity between
heterogeneous rivals(Akın, 1999). According to D‘aveni(1994) companies cant provide sustainability in a
hypercompetition environment. Besides that D‘aveni(1994) emphasizes that ―sustaining your own advantage is not
enough to reach the top in business, also you should destroy the advantages of competitors through constantly
disrupting the equilibrium of the market‖. Within the framework of this view D‘aveni exposed some strategies to
compete against rivals effectively. These strategies shown in the table below which based on market disruptions and
performed with vision, capabilities and tactics.
Three Critical Factors for Delivery of a
Series of Disruptions

The New 7-S’s

Vision for Disruptions

* Envisioning disruptions that create Superior Stakeholder
Satisfaction
* Using Strategic Soothsaying as a meaning of seeing and
creating opportunities for disruption
* Buildinf the capability for Speed into the organization so
the disruptions are executed beter
* Creating the capability to Surprise opponents so that the
disruptions are more powerful
* Selecting actions that Shift the Rules used by competitors
in their dynamic strategic interactions
* Using Signals to influence future dynamic strategic
interactions
* Executing Simultaneous and Sequential Strategic
Thrusts as a meaning of molding the flow of the dynamic
strategic interactions that will ocur.

General Capabilities
Disruptions

for

Executing

Product/Market Tactics Used to Deliver
The Disruptions

Table: 2.2. Three Critical Factors for Disruptions and 7 strategies to make it real
Source: D‘aveni, 1994, p.244.

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
D‘aveni emphasized that four driving forces are contributing to the new era of hypercompetition: customer
changes, including fragmenting tastes; rapid technological change; falling geographic and industry boundaries as
markets globalize, and deep pockets among competitors due to the rise of giant global alliances in a raft of
industries(Rifkin, 2000).
Porter(2000) indicated that the competition strategy is to have a tenable position to cope with five forces
succesfully thus firm can behave as aggressive or defensive to achieve investment return. These five force can be
sorted as threat of substitute products or services, threat of the entry of new competitors, intensity of competitive
rivalry, bargaining power of customers (buyers), bargaining power of suppliers.
According to Porter(2000), firms in the sector can choose one of the generic strategies to gain competitive
advantage and also can cope with five forces. Generic strategies known as differentation, overal cost leadership and
focus strategies.
According to Porter, a business can maximize performance either by striving to be the low cost producer in
an industry or by differentiating its line of products or services from those of other businesses; either of these two
approaches can be accompanied by a focus of organizational efforts on a given segment of the market(Parnell,
2006:1142). A firm that uses a differentiation strategy competes on the basis of its ability to do things differently
than its major competitors do. A firm that uses a low-cost strategy builds competitive advantage by producing goods
or services at the lowest possible cost. And if entrepreneurs persist in their ability to keep costs lower than others,
their organizations thrive. In contrast to the cost leadership and differentiation strategies, which are based on the
creation of competitive advantage over an entire market segment, Porter´s focus or a niche strategy recommends
focusing on market niches – on specific target groups, particular portion of the product spectrum or a narrower
geographical market(Papulova and Papulova, 2006).

STRATEGİC TARGET

STRATEGIC ADVANTAGE

Industry Wide
Multi-Segment

Particular
Segment

Uniqueness
Percieved by the Costumer

Low-Cost
Position

DIFFERENTIATION

OVERAL COST
LEADERSHIP
FOCUS

Figure; 2.1. Porter‘s Generic Strategies
According to Porter, firms that are capable of identifying one of the types of generic strategies will be
capable of producing superior results(Chathoth and Olsen, 2005).
Miles and Snow developed a comprehensive framework that addresses the alternative ways in which
organizations define and approach their product- market domains (the entrepreneurial problem) and construct
structures and processes (the administrative and technical problems) to achieve competitive advantage in those
domains(Slater and Olsen, 2009). Miles and Snow posit four basic managerial strategies – prospecting (innovative
and exploratory), defending (narrow and focused), reacting (waiting for environmental cues), and analyzing (a mix
of prospecting and defending) – and trace out the expected contingencies for the core strategies of prospecting and
defending(Andrews et al., 2008).

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Adaptive Strategies
Prospector (innovation)

Content
 High research and development and market intelligence
investments
 Lower level of controls and operational efficiency
 Organic organisational structure
 Low fixed asset intensity
 Flexible technologies, processes, and skills
Analyzer
 Maintains core products and adopts proven innovations
(minimise risk with proven opportunities)
 Large matrix organisational structure
 Mix of processes and technologies for efficiency and
flexibility
Reactor
 Rapid, opportunistic responses to immediate market demands
(quick response to market demands)
 Project-orientated processes and organisational structure
 Negligible long-term planning
 Inconsistent or uncoordinated responses to competitive
environment
Defender (operational efficiency)
 High-quality standardised products and processes
 Low prices achieved with economies of scale
 Mechanistic organisational structure
 High fixed-asset intensity
 Highly cost-efficient but relatively few core technologies
Table: 2.3. Miles&amp;Snow‘s Adaptive Strategies
Source: Mclaren et al., 2004:50.
These strategy typologies based on how a firm responds to three major problems facing it, i.e.
entrepreneurial, engineering, and administrative problems. According to them, the entrepreneurial problem defines
an organization‘s product-market domain; the engineering problem focuses on the choice of technologies and
process for production and distribution; and the administrative problem involves the formulization, rationalization
and innovation of an organization‘s structure and policy processes(Tan et al., 2006).

3. Competition Strategies in the Concept of Sustainable Development
Globalization brought lots of new trends such as removal of boundaries, new information technologies(cell
phones, internet e.t.c.), changes in the concept of human and personality, rapid changes in management approach and
competition conditions.
In this changeable world, countries and companies try to develop themselves. But the changes in the
competition conditions force them to think globally. Because twenty years ago companies could survive with
executing internal factors. But now countries and companies have to think both internally and externally to survive
against the global changes.
The report which is known as ―Our Common Future‖ highlighted three fundamental components to
sustainable development: environmental protection, economic growth and social equity(UNEP, 2002). Yet the
Travel&amp;Tourism sector remains a critical economic sector worldwide and one that provides significant potential for
economic growth and development internationally. Also tourism gives people ―environmental awareness‖ and with
providing ―employment‖ it contributes to ensure the social equity.
According to the World Tourism Organization (UNWTO), international tourist arrivals reached 880 million
in 2009, representing a decline of 4.3 percent compared with 2008(UNWTO, 2010).The World Travel&amp;Tourism
Council (WTTC) estimates that, from direct and indirect activities combined, the T&amp;T sector now accounts for 9.9
percent of global GDP, 10.9 percent of world exports, and 9.4 percent of world investment(WEF, 2009).
A growing national T&amp;T sector contributes to employment, raises national income, and can improve the
balance of payments.Thus the sector is an important driver of growth and prosperity, and, particularly within
developing countries, it can also play a role in poverty reduction(WEF, 2009).
Approximately 1 billion people join tourism activities. Every country and company wants to benefit from a
big pie like tourism. As a result of this conflict of interest, countries and companies start to compete with each other
to grab the big slice. In global competition environment everyone has to find different ways to defeat their rivals. As
a result of this search some authors developed some competition strategies for companies ---from different sectors to

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compete with their rivals and provide development. We mentioned about competition strategies above. But here we
will present some studies which will help us to understand that tourism is a effective tool to provide development.
Authors
Christina CRISTUREANU &amp; Ana BOBIRCA (2006)

Studies
The competitiveness of Romania as a tourism
destination
Liljana ELMAZI &amp; Jovan STOJANOSKI &amp; An environmentally sustainable in viewpoint of
Alexandru NEDELEA
tourism market competitiveness in the global settings
K.S. TURSINBAEVA
Prospects of development tourism industry in the
Republic of Kazakhstan
Editors: Melih BULU &amp; Ġ. Hakkı Eraslan (2008)
Tourism Sector to Obtain Sustainable Competition
Advantage: Sectoral Strategies and Practices
Tony BINNS &amp; Etienne NEL (2002)
Tourism as a local development strategy in South
Africa
Donald SINCLAIR &amp; Chandana JAYAWARDENA The development of sustainable tourism in the
(2003)
Guianas
Table 2.4. : Studies relevant to tourism development and competition
As we see from the table 2.4. tourism can be an effective tool to provide development if it can be used
properly. Countries or companies need to have enough information to implement their strategies. Because of that
they must analyse both internal and external environment. Therefore, first we determined the place of tourism in
Bosnia and Herzegovina economy.

4. The Status of the Tourism Sector in Bosnia and Herzegovina
Different countries began to interact each other with some activities such as tourism. Tourism is a perfect
key for people to know different cultures, histories and life styles. Also tourism is an effective tool for countries to
provide added value for country economy.
Bosnia and Herzegovina is the heart shaped land that lies in the heart of southeast Europe with its cultural
and historical beauties. It is here that eastern and western civilizations met, sometimes clashed, but more often
enriched and reinforced each other throughout its long and fascinating history(www.bhtourism.ba). Bosnia and
Herzegovina tourism is specially based on nature and cultural tourism. Also Bosnia and Herzegovina has potential
specialy on winter tourism, thermal spring tourism, hunting tourism and natural sports.

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Number
of
Facilities
Hotels
Motels
Pensions and
Hostels
Others
Number
of
Rooms
Hotels
Motels
Pensions and
Hostels
Others
Number
of
Beds
Hotels
Motels
Pensions and
Hostels
Others

2007
Number

2008
Number

Chancing(%)

2009
Number

Chancing(%)

344

369

7.3

393

6.5

169
95
50

179
95
61

5.9
0.0
22.0

189
106
62

5.6
11.6
1.6

30

34

13.3

36

5.9

10,667

11,064

3.7

11,737

6.1

8,433
1,199
656

8,612
1,218
736

2.1
1.6
12.2

9,160
1,321
709

6.4
8.5
-3.7

379

489

29.0

547

11.9

22,149

23,015

3.9

24,402

6.0

17,449
2,539

17,823
2,554

2.1
0.6

18,952
2,775

6.3
8.7

1,342

1,547

15.3

1,483

-4.1

819
1,091
33.2
1,192
9.3
Table 2.5.: Accommodation capacity over the years in Bosnia and Herzegovina
Source: Türkiye Kalkınma Bankası A.ġ. Ekonomik ve Sosyal AraĢtırmalar Müdürlüğü. ―Bosna Hersek Sektör
Raporları: Turizm Sektörü‖, Ankara, 2010.
Bosnia and Herzegovina has 189 hotels, 106 motels, 62 pension&amp;hostels and 36 other turism managements
in 2009. These managements have 11.737 rooms and 24.402 beds. Hotels have an important place in Bosnia and
Herzegovina tourism because they have 18.953 beds which reflects %78 of all accomodation facilities bed capacity.
In the period of 2007-2009 number of facilities increased %14, number of rooms increased %10 and number of beds
increased %10.2.
Bosnia and Herzegovina entertained 142.000 domestic guests and 213.000 foreign guests in 2008 which
makes totally 355.000 guests. %47 of these guests accomodated in Sarajevo, %1 of them accomodated in health spas,
%16 of them accomodated in seaside resorts and %36 of these guests accomodated in non-tourist places(different
facilities)(FOS, 2009).
B&amp;H

CROATIA

MONTENEGRO

SERBIA

AUSTRIA

MACEDONIA

Tourism Sector
Number of Rooms
10,789
76,087
17,965
24,023
285,558
7,214
Number of Beds
22,442
163,171
42,778
52,547
646,915
17,124
9,307
984
696
20,766
3,903
Incoming Tourists (000) 306
Overnight Tourist (000)
Domestic
642
6,431
851
5,853
29,138
1,502
Foreign
695
49,575
6,443
1,476
71,507
516
Average Tourists Nights
Domestic
2.30
3,47
5.70
3.63
3.20
4.90
Foreign
2.30
5,33
6.55
2.12
4.30
2.30
9,576
457
1,011
21,292
219
Tourism Expenditures 798
(million $)
The Share of Tourism Expenditure
GDP (%)
5.3
18.7
2.4
5.6
2.9
Export of Goods
18.8
75.9
11.5
13.1
6.5
Export of Services
59.9
76.3
31.9
38.2
26.8
Table 2.6.: Tourism indicators for Bosnia and Herzegovina and neighboring countries (2007)

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Source: Türkiye Kalkınma Bankası A.ġ. Ekonomik ve Sosyal AraĢtırmalar Müdürlüğü. ―Bosna Hersek Sektör
Raporları: Turizm Sektörü‖, Ankara, 2010.
The important points of this table are;
1. Bosnia and Herzegovina is ranked last in terms of incoming tourists. (with 306.000 tourists)
2. Bosnia and Herzegovina is ranked 5.th in terms of bed capacity (with 22.442 beds).
3. Bosnia and Herzegovina is ranked 4.th in terms of tourism expenditure. (with 798 million $)
4. Average number of overnight of incoming tourists is too low in Bosnia and Herzegovina.
In WEF(World Economic Forum)‘s ―Travel&amp;Tourism Competitiveness Report 2009‖, Bosnia and
Herzegovina ranked 107th among 133 countries and ranked 42th between 42 european countries.
Rank (Out of 133) Score (1-7 scale)
2009 Index
107
3.4
2008 Index
105
3.4
T&amp;T regulatory framework
96
4.1
Policy rules and regulations
119
3.4
Environmental sustainability
115
3.9
Safety and security
57
5.3
Health and hygiene
56
5.0
Prioritization of Travel &amp; Tourism
126
3.0
T&amp;T business environment and infrastructure
93
3.0
Air transport infrastructure
130
1.9
Ground transport infrastructure
126
2.2
Tourism infrastructure
57
3.7
ICT infrastructure
66
2.9
Price competitiveness in the T&amp;T industry
100
4.2
T&amp;T human, cultural, and natural resources
124
3.3
Human resources
109
4.4
Education and training
124
3.1
Availability of qualified labor
30
5.7
Affinity for Travel &amp; Tourism
92
4.5
Natural resources
123
2.2
Cultural resources
81
1.9
Table 2.7.: Travel &amp; Tourism Competitiveness Index For Bosnia and Herzegovina
Source: WEF(World Economic Forum). ―Travel&amp;Tourism Competitiveness Report 2009‖, Geneva, 2009.
From the table above we can see areas which can provide competition advantage or disadvantage to Bosnia
and Herzegovina tourism. Bosnia and Herzegovina has to focus both of side to sustain tourism sector. A very
important problem for Bosnia and Herzegovina which needs to be improved urgently is ―infrastructure‖(93th
between 133 country). Also Bosnia and Herzegovina has a strong potential about natural and cultural resources. But
goverments dont attach importance to tourism as needed and dont have strong policy rules and regulations for
tourism sector. Bosnia and Herzegovina has a qualified labor but they dont have enough employment opportunities
for them.

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Strenghts
*Climatic diversity and geographic structure is
conducive to different tourism activities,
*Rich flora and fauna,
* Cultural structure is suitable for the development of
the tourism sector,
*Potential of thermal resources
*Existence of national parks which can be used for
tourism,
* Rich historical and cultural assets,
*To have symbols and values which represent three
holy religion,
*To be organizer of the Winter Olympics in 1984,
*Reviving the domestic tourism with diversification of
tourism products
*Labor and energy costs are too low,
*Having a stable economic environment for
investments,
*Political administration supports the investments in
Bosnia and Herzegovina.

Weaknesses
*Advertisements are insufficient and thats affect all
sectors,
* Ground transport infrastructure is insufficient,
*Accomodation facilities are weak both in terms of
quality and quantity,
*Tourism master plan has not been completed already,
*Other sectors are not improved enough to support
tourism,
*Weak competition power to compete other european
countries,
*Tourists accommodate too short time in Bosnia and
Herzegovina,
*Natural, cultural and historical values isn‘t protected
enough,
* Capital accumulation is too low and they have
already depended to outside assistance,
* Institutionalization and legal structures have
shortages,
*Management system can cause damages about
investment decisions.
Threats
*Unbalanced income distribution,
*Bad effects of war still can be feel by people in
Bosnia and Herzegovina,
* Political and economic instability,
*Winter tourism season becomes shorter due to global
warming,
*Insufficiency of infrastructure and transportation
investments,
*Competition of neighboring countries,
*Rivals are supported by EU with sharing information
and financial support,
*EU supports travels between EU members with new
policies,
*Insufficient airplane componies.

Opportunities
*Having an unspoiled environment,
*Sector needs lots of new invesments,
*Tourism started to be seen as a strategic development
area in Bosnia and Herzegovina,
*Technical and judicial changes can be arranged to
attract new entrepreneurs,
*People in Bosnia and Herzegovina welcome foreign
capital in nationwide,
*EU support projects which is about alternative
tourism types,
*New players start to show themselves in the sector,
* The development of world tourism,
*Population and average income level per person
increased,
*Having good opportunities to improve ―winter
tourism‖,
*1984 Winter Olympics brought Bosnia and
Herzegovina a touristic image around the world.
Table 2.8.: SWOT of Bosnia and Herzegovina Tourism
Source: Türkiye Kalkınma Bankası A.ġ. Ekonomik ve Sosyal AraĢtırmalar Müdürlüğü. ―Bosna Hersek Sektör
Raporları: Turizm Sektörü‖, Ankara, 2010.
The SWOT analysis is a tool for a situation analysis and when used in an appropriate way, it can be a good
foundation for strategy formulation(Božac and TipuriĤ, 2006:433). SWOT analysis aims to identify the strengths and
weaknesses of an organisation and the opportunities and threats in the environment(Dyson, 2004:632). SWOT
analysis also can help us to determine strategies for specific areas.

5. Competition Strategies for Tourism of Bosnia and Herzegovina
Porter claims that to gain competition advantage and to cope with 5 forces(threat of new entrants, industry
rivalry, bargaining power of buyers, bargaining power of suppliers, threat of substitutes companies) can choose one
of 3 general competition strategies.

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Bosnia and Herzegovina can apply differentiation strategy in tourism sector. World tourism trends are
showing us that people travel to see different cultures and historical places(cultural tourim), natural
beauties(ecotourism). Bosnia and Herzegovina has a perfect potential for cultural tourism, winter tourism and
ecotourism. If Bosnia and Herzegovina can show his unique natural resources and cultural values to world travellers,
tourists can flow through Bosnia and Herzegovina.
While trying to apply differentiation strategy, Bosnia and Herzegovina should focus specific markets.
Bosnia and Herzegovina has only 25 kms of beach. This area needs focus because tourists who choose Bosnia and
Herzegovina for its beaches are too few. Bosnia and Herzegovina should organize sea tourism according to tourists
whose income levels are higher and that considers to accomodate for a long time.
Bosnia and Herzegovina cant apply cost leadership strategy with having insufficient infrastructure, few
accomodation facilities, low market shares. Also the main need to apply cost leadership strategy is to have a large
market. But Bosnia and Herzegovina tourism start to improve recently and also accomodation facilities in Bosnia and
Herzegovina are damaged by enemies in war.
D‘aveni claims that companies can‘t provide sustainable improvement. Because companies environment
change too fast, to provide costumer satisfaction is too hard and the rules of markets can change suddenly.
Types
Approaches
1.Speed

of

2.Surprise
3.Stakeholder Satisfaction
4.Strategic Soothsaying
5.Shift The Rules
6.Signalling Strategic Ġntent
7.Strategic Thrust

Areas which Bosnia and Herzegovina can apply D’aveni’s Strategies
Bosnia and Herzegovina should move fast and surprise costumers and rivals
with innovation moves in tourism sector to manage disruptions on rivals.
Bosnia and Herzegovina can use unspoiled environment to surprise tourists
and in this area they can build different structures like ―Skywalk-Grand
Canyon USA.
To provide costumer satisfaction they should increase the quality and safety
in accomodation facilities and envision future costumer demands with
following global tourism trends.
First they should learn the rules of market between rivals. When they have
enough power in market they can set their own rules. And with innovative
services which spread market with short-ranges can block rivals to enter our
areas.

Tablo 2.9.: D‘aveni‘s Strategies and Suitable Areas to Apply
D‘aveni‘s strategies are used to disrupt rivals. Bosnia and Herzegovina can use his unique areas (untouched
environment, 25kms long beach and historical places) to disrupt rivals in tourism market. With innovative goods and
services they can be arbiter in market. But before all of these strategies they must try to build a strong infrastructure
and introduce Bosnia and Herzegovina to the world with effective advertising campaigns.
The most suitable strategy for general Bosnia and Herzegovina tourism among 4 strategies of Miles and
Snow is Prospector strategy. After war, Bosnia and Herzegovina started a new period to improve tourism and other
sectors. Because at war they lost lots of tourism facilities. And now Bosnia and Herzegovina has a chance to build a
new tourism market with lots of opportunities and resources. With applying prospector strategy Bosnia and
Herzegovina can create innovative services and explore new techniques to improve tourism in Bosnia and
Herzegovina. They can create new competencies which cant be imitate easily and provide sustainable competition
advantage.

6. Conclusion
Bosnia and Herzegovina has a favorable investment environment and financial stability for foreign
entrepreneurs. Also privatization process in country is proceeding in a positive way. Legal treatments to start a
business in Bosnia and Herzegovina are very appropriate for foreign entrepreneurs.
With all these positive developments, Bosnia and Herzegovina can be developed more quickly than
competitors. According to an estimation of the World Tourism Organization, Bosnia and Herzegovina will have the
third highest tourism growth rate in the world between 1995 and 2020. With various tourism types (cultural,
historical, winter, spa, ecotourism) Bosnia and Herzegovina can provide competition advantages in tourism sector to
disrupt their rivals.

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In this study we determined some strategies for Bosnia and Herzegovina to improve tourism activities. We
determined that Porter‘s ―differentation and focus strategies‖, D‘aveni‘s ―New 7‘S strategies‖ and Miles&amp;Snow‘s
―prospector‖ strategy are suitable to apply for Bosnia and Herzegovina tourism.
Porter‘s and Miles&amp;Snow‘s strategies can help Bosnia and Herzegovina to create general tourism strategies
to compete with rivals. To apply these strategies first they need a strong location in market and for that they have to
build strong and qualified accomodation facilities and advertise their untouched natural beauties.
D‘aveni‘s strategies can help Bosnia tourism in specific markets. They can focus on markets which they are
stronger like ecotourism, thermal tourism and cultural tourism.
Bosnia and Herzegovina tourism can improve quickly if they follow these steps;
1. They need to revise and renew their old tourism facilities which are damaged at war.
2. They have to use their untouched environment within a strategic plan. To provide sustainable advantage
they should hinder the harmful side of tourism activities.
3. They need to announce the investment opportunities in Bosnia and Herzegovina.
4. Another advantage for Bosnia and Herzegovina is being close to countries which have people with high
income levels.
5. Tourism trends indicate that tourists often travel by airplane. To compete with rivals in tourism sector
Bosnia and Herzegovina need to build new airports and also need to make strategic alliances with foreign
airline companies.
6. To ensure economic stability they must take the necessary measures.
7. They have to expedite actions to become a member of EU. Because rivals are supported by EU. This cause
disadvantage for competition.

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                <text>Competition Strategies for Tourism Industry in the Context of Sustainable  Development</text>
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                <text>The subject of competition started to be more important while we are facing with a  quick changeable enviroment and an uncertain future. All around the world in every sector people  who try to establish a new business will meet lots of rivals, lots of opportunities with high risks  and a competition which ends with death or life. Because of these reasons strategies which help  managements to compete with their rival are very important for a sustainable development. In the  Travel&amp;Tourism Competitiveness Report which presented by World Economic Forum, Bosnia  and Herzegovina and Herzegovina ranked 107th. among 133 countries in 2009 index. This report  shows us that Bosnia and Herzegovina and Herzegovina need to prepare new competitive  strategies for tourism industry. If Bosnia and Herzegovina and Herzegovina can market his  tourism industry effectively this development also will provide a new way for sustainable  development.  The purpose of this study is to determine which competition strategies are suitable for the  managements in Bosnia and Herzegovina and Herzegovina to provide sustainable development. In  this context we will evaluate the strategies of Porter (Generic Strategies), D‘aveni  (Hypercompetition), Miles&amp;Snow (Adaptation Strategies).</text>
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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

The Effects Of Potential Business Managers’ Risk Tolerance Level On
Entrepreneurship In Emerging Markets
ġermin ġENTURAN
Dr., International Balkan University,
International Economic Relations, Scopje, Macedonia.
charged by Zonguldak Karaelmas Universitesi,Zonuldak, Turkey
serminsen@hotmail.com

Engin DEMĠREL
Dr., International Balkan University,
International Economic Relations, Scopje, Macedonia.
charged by Trakya University, Edirne, Turkey
edemirel@mail.com

Abstract Entrepreneurs in emerging markets may not have much information about the
financial and market conditions of the economy and this may lead them not to be an
entrepreneur or have low financial risk tolerance level at the time when they start a new
business. This study aims to investigate the correlation between the financial risk taking
behavior of the people and the level of tendencies as entrepreneurship, managerial and
stock market decisions in the emerging economic conditions.
The Business Administration undergraduate students graduating from the public and
private universities in Skopje/Macedonia are chosen as the sample of this study. By
analyzing risk taking propensity and tolerance for ambiguity degree of the respondents, it
is aimed to provide insight into entrepreneurship education, as to which entrepreneurial
characteristics can be developed. Query dates‘ will be analyzed by using Pearson
correlation and ANOVA for explaining risk tolerance and entrepreneurship behaviors
related to emerging markets conditions.
Keywords: Risk tolerance, entrepreneurship, emerging markets.

Introduction
In a period of globalization and modernization of the economy and information, societies‘ development, the
tendency for business development is tightly connected with the use of the latest technology, by investing in the
human resources development with the most sophisticated working methods. The primary development factor in the
modern working conditions is knowledge-based economy enable of keeping economic development with more and
better workplace and bigger social cohesion.
Managing an investment firm (whether it is a financial investment firm or a physical investment firm)
involves selecting people with a high level of skill at counseling investors. Such a skill involves sensitivity to how
the investor thinks about and assesses risks, a task which is difficult if the advisor and the investor have different
values and risk attitudes. It might be argued that the problem is solved if everyone concerned acts in a rational
manner. However, rational decision making is an ideal that few human decision makers could experience (Sjoberg &amp;
Engelberg, 2009)
�
Business development starts with the educational system. In almost all transitional economies, the education
reform is emphasized on every level, starting with the preschool, the primary, the secondary and the university
education. Within these reforms, people are becoming more conscious about spreading of the culture influence in the
society, and the attitude towards work, business and entrepreneurship. With the promotion of the entrepreneurship
attitudes and skills there is a great possibility of students‘ improvement as well as improvement of the whole society.

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
Entrepreneurship is the main feature which can be very useful for all work and life activities. The education goal is
to nurture the young people‘s qualities, through the enforcement of creativity, initiative, responsibility, independence
and ability to take a risk. Encouraging the enterprise spirit is a key to achieve this goal. Education can help a lot in
the entrepreneurship‘s culture development of young people and make them be aware of the entrepreneurship,
developing their abilities and skills which will help them in their professional career as well as in life by becoming
responsible and active members of the society. The university education is an essential pillar of the social and
economic development of every country. The university education presents the most significant priority of the
emerging countries, considering the importance of the contribution of the staff with university education to the
economic development of the country and to the culture of the population.
In the university education of European countries, the entrepreneurship teaching is focused on creating new
businesses. At the level of tertiary education, ―entrepreneurship teaching provide the students with specific training
on how to start and run a business, including the capacity to draft a real business plan and the skills associated with
methods of identifying and assessing business opportunities. Also, it will encourage and support new business ideas
(for instance by providing special loans, business facilities, mentorship, etc.) By this way researched projects can be
put into practice.

Development of the students’ entrepreneurship skills
It is necessary for all young people to possess entrepreneurial skills, to advance their creativity, to improve
their talent and in that way to become more competent in achieving their professional ambitions and to be allowed to
consider the creation of business as a possible option in their career. In this way they are becoming more prepared to
conduct with innovative projects.
The education system has to have an assignment to:





Raise the consciousness of the youth strengthening their entrepreneurial spirit,
Put the world of business closer to them,
Wipe out the barriers between the educational system and the business,
Encourage the development of their entrepreneurial skills simultaneously with the development of their
education,
 Enrich their experience for entrepreneurship,
 Organize projects for the development of the entrepreneurship with the cooperation of the local companies,
in which all students will be included,
 Give young people a chance individually to take part in the creation of the small business,
 Create an open atmosphere for study in which the students will develop the necessary confidence and ability
for taking risks.
Young people need somebody to make them believe in their own creative forces. They should be educated
to realize and use the local resources as a foundation for the creative values. With their self-assurance, young people
can become more productive, can improve the workplaces and can take responsibility in their local community.
Education plays an important role in the development of the attitudes, working habits and activities which
improve the abilities for cooperation, creativity and innovation of young people, i.e. it is capable of stimulating the
development of their entrepreneurial activities.
The educational institutions and the government should support the net of teachers and trainers for
entrepreneurship in order to encourage the mobility of teachers and the cooperation between the educational sector
and the business and which will help them build a road of exchanging competence and knowledge. In this content
trainings, seminars, courses and studies for entrepreneurship should be arranged.
This will increase the participation of the professionals from this area in the educational process, because in
that way more direct, approachable and larger access of the students (as potential managers) to the world of business
will be achieved, their entrepreneurial attitudes and skills will be developed and the realization of their
entrepreneurial ideas will be encouraged and stimulated, which will directly be reflected in the development of the
economy and the whole society.ean experience shows that within the university education
Financial risk tolerance, defined as the maximum amount of uncertainty that someone is willing to accept
when making a financial decision, reaches into almost every part of economic and social life. Although the
importance of assessing financial risk tolerance is well documented, in practice the assessment process tends to be
very difficult due to the subjective nature of risk taking (Grable, 2000).

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
Risk tolerance must be measured simply because it is an aspect of ―utility‖ and maximizing the expected utility is
considered to be the ultimate goal in any financial activity. If investment decisions are based on Expected Monetary
Value (EMV) alone, the decision is driven only by the nature of the investment and the optimal choice would be the
same for all potential investors. If the investment decision is based on Expected Utility, the attitude and risk
tolerances of the investor are incorporated too. Thus, the optimal choices are different for each investor because the
utility functions are different. Once the investment advisor understands some aspects of the client‘s utility function
and how risk averse is, this information can be incorporated in the selection of the right portfolio.(Ardehali, Paradi,
Asmild, 2005).
There is some evidence that the common factor reflects changes in investors‘ tolerance for risk. Although it
is impossible to ascribe precise economic meaning to the common factor, the high correlation between it and highfrequency measures of risk tolerance suggests that the common variation in emerging market debt spreads is largely
explained by changes in attitudes towards risk within the international investment community. Furthermore, to the
extent that changes in investor risk tolerance and expectations of future growth prospects are procyclical, this
hypothesis is supported by the negative correlation between the factor and US interest rate variables. (McGuire &amp;
Schrijvers 2003)
Carducci and Wong (1998), reported the findings from a study that attempted to identify personality factors
that determine financial risk taking in everyday money matters. They concluded that persons fitting the Type A
personality trait tended to take greater risks than those more closely aligned with the Type B personality profile.
They suggested that socioeconomic factors, such as income, might have played a part in explaining their findings.
Specifically, it was determined that persons identified as Type A personalities were likely to maximize their
achievements through additional risk taking in the attainment of increased incomes, higher status occupations, and
increased educational attainment. The results of research conducted by investigators such as Carducci and Wong
(1998) and Grable and Joo (1997) suggests that the investigation of factors that determine financial risk taking and
risk tolerance can be expanded beyond the testing of purely psychological factors. Specifically, demographic,
socioeconomic, and attitudinal characteristics need to be examined to determine how these factors influence a
person's willingness to take financial risks in "everyday money matters." A review of current risk-taking and risktolerance research indicates that factors such gender, age, marital status, occupation, income, and expectations may
influence a person's level of risk taking in everyday money matters. Increasing levels of risk tolerance also have been
associated with being single. Increased levels of income and educational attainment also are considered to be
associated with increased levels of risk tolerance.
Researchers and practitioners have suggested that demographic, socioeconomic, and attitudinal factors can
be used to differentiate individuals into risk-tolerance or risk-taking categories. While there are research data to
support these beliefs, there is a need to examine these assumed relationships in more detail (Sung &amp; Hanna, 1996).
Froot (2003) proposed a methodology for measuring investor confidence by decomposing investor demand for
international assets, examination of the cross-section of international portfolio holdings and flows of international
institutional investors over time. It was observed shifts in aggregate investor demand into expected risk and return,
wealth and risk tolerance components. The risk tolerance component turns out to account for a substantial portion of
variation in portfolio holdings and a smaller but meaningful amount of variation in equity returns. In addition, it
appears to be informative about future returns. It is argued by a number of researchers that the low correlation
between emerging equity returns and developed market returns. In an active portfolio strategy, this means that the
opportunity set has become larger, higher expected returns can be gained at lower volatility. (Harvey, 1994)

Analysis of risk tolerance of potential businesses managers
Risk is the potential for realizing low returns or even losing money, possibly preventing you from meeting
important objectives. But many financial advisers and other experts say that these days investors aren‘t taking the
idea of risk as seriously as they should, and they are overexposing themselves to stocks. The market has been so
good for years that investors no longer believe there‘s risk in investing, till 2008-2009 financial fluctuations. So
before the market goes down and stays down, be sure that you understand your tolerance for risk and that your
portfolio is designed to match it. Assessing your risk tolerance, however, can be tricky. You must consider not only
how much risk you can afford to take but also how much risk you can stand to take (Bodie, Kane, Marcus, 2003), .
Determining how much risk you can stand your temperamental tolerance for risk is more difficult. It isn‘t
quantifiable. To that end, many financial advisers, brokerage firms and mutual-fund companies have created risk
quizzes to help people determine whether they are conservative, moderate or aggressive investors. Some firms that
offer such quizzes include Merrill Lynch, T. Rowe Price Associates Inc., Baltimore, Zurich Group Inc.‘s Scudder
Kemper Investments Inc., New York, and Vanguard Group in Malvern, Pa. typically; risk questionnaires include

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
seven to 10 questions about a person‘s investing experience, financial security and tendency to make risky or
conservative choices.
The benefit of the questionnaires is that they are an objective resource people can use to get at least a rough
idea of their risk tolerance. Many experts warn, however, that the questionnaires should be used simply as a first step
to assessing risk tolerance. The second step, many experts agree, is to ask yourself some difficult questions, such as:
the questions that related on ―How much you can stand to lose over the long term?‖.
In order to analyze of potential business managers which in our study those are 4th and 3rd class business
administration students on public and state universities in Skopje. Risk tolerance level quarry that used on the Wall
Street Journal 1998 by Dow Jones &amp; Company in USA. Quarry has totally 16 questions. Each question has 3
answers. (a,b,c). Each answers related on numbers that a is 1, b is 2, c is 3. at the end of the questionnaire, to score
the risk tolerance, ad up the number of answers that given by questioners each categories‘ a-c, than multiply by the
shown table. Because each question answers 1 to 3 risk choices increases and 1 has the conservative answer on the
other hand 3 has the highest risk taker choice.
Total Score Number
(a) answers
x 1 = points
(b) answers
x 2 = points
(c) answers
x 3 = points
Table1: Calculation of total score number for risk tolerance
The score is total of all answers with related rates. The total number had been categorized as fallows which
were referred on Dow Jones Company questionnaire (1998).
Total Score Number
Questioner Risk Tolerance
Between 16- 26 points
Conservative Investor
Between 27-37 points
Moderate Investor
Between 38-48 points
Aggressive Investor
Table 2: Questioner risk tolerance according to total score number
In this paper we use 252 observations on total 16 questions. We had analyzed the total score numbers which
were mentioned that questionnaire. ―Conservative, moderate and aggressive investor, (1,2,3)‖ for analysis of
variance. We analyzed the potential business managers‘ opinions‘ who were undergraduate students that study in
transition economy in the Balkan region.
Affects of choices of risk tolerance at entrepreneurship capacity relation on their gender, marital status, age, class,
working condition, average monthly income (euro), and working status. To analyze age we use the scales (17-19, 2022, 23-25,26 and upper), on working condition (yes or no), status of working (no, part time, full time), on average
monthly income as Euro (100 and below, 101-200, 201-300,301-400, 401 and above).
On the regression analyze as an input Y range uses as total score number on risk tolerance, and as an input
X range was demographic conditions selected as mentioned above.
Regression Statistics
Multiple R
0,688986
R Square
0,474701
Adjusted R Square
0,463758
Standard Error
3,389823
Observations
252
Table 3: Regression statistics results
ANOVA
df
Regression
Residual
Total
Table 4: ANOVA results

7
336
343

SS
3489,055
3860,943
7349,997

709

MS
498,4364
11,4909

F
43,37661

Significance F
1,9E-43

�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Intercept
Gender
Marital
Status
Age
Class
Working
Average
Monthly
Income
(Euro)
Status of
working

Coefficients
29,40065
-3,61627

Standard
t Stat
Error
2,046517 14,36619
0,467007 -7,7435

8,08E-37
1,15E-13

Lower
95%
25,37506
-4,53489

Upper
95%
33,42625
-2,69764

Lower
95.0%
25,37506
-4,53489

Upper
95.0%
33,42625
-2,69764

-0,19815
0,797532
0,150978
-3,27562

0,711239
0,409961
0,370683
0,544074

-0,2786
1,945386
0,407296
-6,02055

0,780721
0,052562
0,68405
4,55E-09

-1,5972
-0,00888
-0,57817
-4,34584

1,200889
1,603946
0,880129
-2,2054

-1,5972
-0,00888
-0,57817
-4,34584

1,200889
1,603946
0,880129
-2,2054

4,758799

0,318106 14,95979

3,91E-39

4,133069 5,384529 4,133069 5,384529

1,471514

1,020217 1,442355
0,150134
-0,5353 3,478331 -0,5353
Table5: Standard error, t-stat and p values.

P-value

3,478331

According to analyze of each demographic condition on total risk score, we used Pearson correlation
formula:
r1
r2
r3
r4
r5
r6
r7
r8

Total risk tolerance score
Gender
Marital Status
Age
Class
Working condition
Average Monthly Income (Euro)
Status of working

1
-0,23113
-0,08375
0,169817
0,003724
-0,12903
0,402851
-0,055775

Table 6: Pearson correlation table
Pearson product-moment correlation coefficient (sometimes referred to as the PMCC, and typically denoted
by r) is a measure of the correlation (linear dependence) between two variables X and Y, giving a value between +1
and −1 inclusive. It is widely used in the sciences as a measure of the strength of linear dependence between two
variables. It was developed by Karl Pearson from a similar but slightly different idea introduced by Francis Galton in
the 1880s (Stigler, Stephen M, 1989).The correlation coefficient is sometimes called "Pearson's r." which in this
study total risk tolerance score numbers (r1), Gender (r2), Marital Status (r3), Age (r4), Class (r5), Working condition
(r6), Average Monthly Income (Euro) (r7), Status of working (r8).

Conclusion
The training for entrepreneurship must continue through life. It must cover the full range of knowledge:
knowing how to behave, how to handle knowledge, how to learn, knowhow, and how to innovate, do good and lead
others. The training system must be one which will encourage the spirit of entrepreneurship and innovation. This will
enable us to create an economy which is truly working for the people. As individual entrepreneurs, the students
should follow their wishes, they should be able to use the possibilities for their achievement and believe in the
possible success.
Test statistics were generated for the purpose of measuring the significance of the demographic,
socioeconomic, and attitudinal factors in differentiating between levels of risk tolerance. ANOVA results indicated
that gender, age, working status, income and education.
It was concluded that (a) males were more risk tolerant than females, (b) older respondents were more risk
tolerant than younger respondents, (c) married respondents were more risk tolerant than single respondents, (d)
respondents with higher incomes were more risk tolerant than those with lower incomes. In all but two cases, the
pattern of association between socioeconomic factors and financial risk tolerance was as expected. The association

710

�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
between age and risk tolerance is positive and marital status and risk tolerance is negative. But in either case, these
two results correlation values close to zero. The highest positive Pearson correlation value on total risk tolerance
score is found on average monthly income as Euro. The research has multiple R 0.688986, R square 0.4747 and
which has 3.3898 standard error value.
As the average monthly income increases, respondents` risk tolerance level becomes moderate investor
rather than conservative investor. With this demographic conditions of business administration students in Skopje
hasn‘t got the total score number refer to aggressive investor. Working conditions and status of working as a part
time and full time becomes negatively correlated on total risk score numbers.

References
Ardehali P.H., Paradi J.C., Asmild M. (2005), “Assessing Financial Risk Tolerance Of Portfolio Investors Using Data
Envelopment Analysis‖, International Journal of Information Technology &amp; Decision Making Vol. 4, No. 3 491-519
Bodie Zvi, Kane Alex, Marcus Alan J. , (2003), Investments 5th edition, The McGraw−Hill , USA.
Carducci, B. J., &amp; Wong, A. S. (1998). Type A and risk taking in everyday money matters. Journal of Business and Psychology,
12, 355-359
Froot A.K. (2003) ―The Risk Tolerance Of International Investors‖, National Bureau of Economic Research Working Paper No,
W10157, December
Grable, J. E., &amp; Joo, S. H. (1997). ―Determinants of risk preference: Implications for family and consumer science professionals.
Family Economics and Resource Management Biennial, 2, 19-24
Grable J.E. (2000) ―Financial Risk Tolerance and Additional Factors That Affect Risk Taking In Everyday Money Matters‖, The
Journal of Business and Psychology, Vol 14, No 4 625-630
Harvey C.R., (1994) ―Portfolio Enhencement Using Emerging Markets and Conditioning Information‖, National Bureau of
Economic Research Working Paper No, W4623
McGuire P &amp; Schrijvers M.A. ―Common Factors in Emerging Market Spreads‖, BIS Quarterly Review, December, 65-78
Sjoberg L, Engelberg E,(2009) ―Attitudes to Economic Risk Taking, Sensation Seeking and Values of Business Students
Specializing in Finance‖, The Journal of Behavioral Finance, 10 33-43
Sung, J., &amp; Hanna, S. (1996). Factors related to risk-tolerance. Financial Counseling and
Planning, 7, 11-20
Stigler, Stephen M.,1989. "Francis Galton's Account of the Invention of Correlation". Statistical Science 4, pp2.

711

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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

To Examine Sustainable Development Through The Historical Applications of
Foundations
Fatma ġENSOY
fatmasensoy@yahoo.com
Abstract: Sustainable development is one of the contemporary concepts. If we move
from today‘s definition of this concept, the solutions for the global problems can be
obtained from the foundation‘s applications in the past. Sustainable development concept
is generally referred to the 1987 report of World Commission on Environment and
Development. The Brundtland Commission reported the slogan, ―Our Common Future:
From One Earth to One World‖. The Commission conceptualized sustainable
development as ―paths of human progress, which meet the needs and aspirations of the
present generation without compromising the ability of future generations to meet their
own needs‖. The goals of sustainable development are far-reaching and have as their
objective the transformation of contemporary development theory and practice. They
include the formulation of new paradigms of social, economic, political, cultural, and
ecological development. More and more rational approaches are improved to the concept
of ―development‖ which takes into account the long-term costs associated with short-term
improvements. The judicious use of the planet‘s non-renewable physical resources; a
balance between economic, social, cultural and physical development; and the realization
of fully integrated development strategies that bring together all relevant sectors and
actors into a common framework of local, national, regional and international action.
Foundations (Waqf) are Non Governmental Organizations. Current approaches to the
definition of a waqf includes; local administration and free economic rules in
management. In addition, democracy and volunteerism are essential for the definition.
These are weld from the Islamic law. Foundations with the social policy functions had
provided the continuity of social life. Waqf functions include almost all stages of social
life. Such as; increasing recruitment rates and employment, income and wealth
redistribution, social security formation, infrastructure development, expansion of
education… The aim of the settler, colleteur is the continuation of this functions for
infinitum. It indicates that they think not only for needs of future generation but also the
needs of all humanity. According to the facts mentioned above, economic and social
resources were available to all humanity. Community life has a constantly changing
dynamic character. We are the heirs of the finest examples of the foundation of
civilization. In other words, we as the heirs must attribute a new, fresh and modern
mission to the third sector or civil society organizations. Sustainable development
concept includes different dimensions. Such as ecological, economic, political, cultural,
social sustainability. This study‘s aim is to indicate that the applications of foundation
were serving the same purposes of sustainable development. The treatments applied
today to strengthen the social structure exactly overlaps with the services performed by
the awqaf throughout history. The given example in this case will emphasize the
importance of each term. The traces of good experiences are which created in the past
have lived for centuries. The orphans, widows, elderly people, children and the others
joined economic and social life through endowed charity. However, it is clear that
foundations must have found new solutions and different policy instruments for today‘s
problems.

The Concept of Sustainable Development
Sustainable development has become a buzzword in development thought. Indeed, sustainable development
appears to have replaced such venerable concepts as ―growth‖, ―modernization‖, ―progress‖ and even ―accelerated
development‖ as the unifying concept for worldwide development activities. The concept of ―human development‖,
that has been promulgated by the United Nations Development Programme (UNDP, 1992) since 1990. Thus, it
represents a serious challenge to the primacy of sustainable development in the new hierarchy of development
concepts.

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The fact is that the sustainable development has succeeded in uniting widely divergent theoretical and
ideological perspectives into a single conceptual framework.
The goals of sustainable development are far-reaching and have as their objective the transformation of
contemporary development theory and practice. They include: 1) the formulation of new paradigms of social,
economic, political, cultural, and ecological development; 2) more rational approaches to development that take into
account the long-term costs associated with short-term improvements; 3) the judicious use of the planet's nonrenewable physical resources; 4) a balance between economic, social, cultural and physical development; and 5) the
realization of fully integrated development strategies that bring together all relevant sectors and actors into a
common framework of local, national, regional and international action.(Estes,1993) Inside the Brutland Report:
Our Common Future, Chapter 2: Towards Sustainable Development is summarized that ―In essence, sustainable
development is a process of change in which the exploitation of resources, the direction of investments, the
orientation of technological development; and institutional change are all in harmony and enhance both current and
future potential to meet human needs and aspirations.‖(UN-Documents net)
The United Nations Development Programme (UNDP, 1992:17) identifies the following outcomes as
minimum additional requirements for achieving the goal of sustainable development: 1) the elimination of poverty;
2) a reduction in population growth!; 3) more equitable distribution of resources; 4) healthier, more educated and
better trained people; 5) decentralized, more participatory government; 6) more equitable, liberal trading systems
within and among countries, including increased production for local consumption; and 7) better understanding of
the diversity of ecosystems, including locally adapted solutions to environmental problems and better monitoring of
the environmental impact of development activities.
Since 1990, annual Human Development Reports have explored challenges including poverty, gender,
democracy, human rights, cultural liberty, globalization, water scarcity, climate change, and mobility. 2010 marks
the twentieth anniversary of the human development report and offers an opportunity to reappraise its contribution
and to make the case for a new human development vision to meet the challenges and opportunities of the twentyfirst century. This concept note, based on a series of valuable discussions with colleagues in different parts of the
UNDP, sets out the basic approach to tackle this task, which will focus on the implications of the human
development approach for development policies and strategies.
The Human Development Report has been a major force in thinking about development, not only by
highlighting the inadequacy of per capita income as the sole measure of a society‘s progress, but also by exploring
how a people-centered approach affects the way we should think about key challenges. The reports have covered
subjects as diverse as participation, cultural liberty and financing, as well as larger global challenges like cooperation
and climate change. The human development approach has influenced many strands of development thinking and the
ways that most policymakers and researchers think about human progress. The 2010 report aims to take this
contribution significantly further by showing how placing human development at the center of our priorities changes
the ways in which we think about, formulate, implement and monitor development policies designed to promote
empowerment, address inequality and tackle sustainability.(Human Development Report 2010).

The Concept of Waqf
Waqf is a charitable foundation. In Arabic language, means forbidding movement, transport or exchange of
something. Awqaf is the plural of Waqf. (Öztürk, 1983) The word Waqf is used in Islam with the meaning of
holding certain property and preserving it for the confined benefit of certain philanthropic use and prohibiting any
use or disposition of it outside that specific objective. On the other side, as an approach for ―ownership‖; a property
converts from private ownership to social ownership category. It improves by the effect of moral and religious
motivation. Due to the fact that Allah encourage human beings to help each other in his holly Qur‘ân and in the
example of his prophet, waqf is prominently improved in the Muslim World and plays a significant role in social,
political, and economic life in the Muslim society.(Zaim)
―When a human being dies, his work for Allah comes to an end except for three things:
a lasting charity (sadaqa jaariya), knowledge that benefits others, and a good child who calls on Allah for
His favour.‖ (Related by Muslim in his Sahih, the book of ―Al-Wassiya‖. Related also by Abu Daoud, At-Tirmidhi
and An-Nasaii.) Commenting on this Hadith that the ‗lasting charity‘ is generally recognized as referring to Waqf
endowments.(Ali, 2009)
There are three main kinds of waqfs. The first kind is the Khairy Waqf or charitable waqf, which
means withholding one‘s property and directing its revenues towards different philanthropic goals. The second kind
of waqf is the Ahli Waqf or the family waqf. Family vakıfs (vakıf-ı-ehli) were made in favor of one‘s relatives and
descendants with the final stage being the dedication of the vakıf to charitable purposes.(Peters,2002) Family awqaf

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were used as a source of income for offspring and for slaves, ensuring the transmission of family wealth from
generation to generation. In contrast, a vakıf-ı hayri was dedicated to pious, religious or charitable causes, or for
public utilities or the poor.(Yediyıldız, 1982) Family awqaf were divided into two categories; family and semi-family
awqaf Semi-family awqaf had the characteristics of both public and family awqaf and were the most preferred type
in the Ottoman Empire. In eighteenth-century Anatolia, 82% of the awqaf were family awqaf with the ratio of semifamily awqaf reaching 75 %.(Yediyıldız,1982). Upon the death of the last descendant the endowment reverted to the
poor.The founder, called as the ―vâkıf‖ appointed himself to the position of Ģeyh if he created a dervish convent;
müderris or professor if he established a medrese; and mütevelli or adminisrator of the waqf, whether it be a mosque,
soupkitchen, inn, hospital, or any other instutions that was created. It hardly need be stressed that this last office
enabled the vâkıf and his posterity to exercise virtually absolute control over the waqf and its revenues. (Yediyıldız,
1982; Barnes,1986)
Vakfiyes(deed of trust) give us various kinds of information about the donor, but they also allow us to
hear their individual voices, demonstrate the kind of founder and the purposes for which these foundations were
established, and the differences in their size. Unlike vakfiyes, court registers give information when a legal issue
arose. These registers rather record the problematic nature of the awqaf . We can only learn the location and nature
of the waqf in addition to some other information, from these records.
Safiye Sultan, in her deeds of trust: ―For as long as she lives, her royal majesty shall be entitled to receive
the surplus of the foundation‘s revenues and after her death, so shall her children, and the children of their children,
and the children of the children of their children, and from generation to generation shall they and the right to make
use thereof…Let whichever of the manumitted servants and of their children, and of their children‘s children is the
most intelligent and capable serve as trustee of the endowment and let whoever is trustee share equally in the surplus
revenues with the others. Should their line be wholly extinguished; let the trustee of the mortmain estates of Medina
become trusteeof this endowment; let him receive this surplus; and each year let him ensure that it reaches the poor
of Medina and is distributed to them…‖(Duran,1990)
Waqf action gained prominence because it provided the dead posthumously with permanent reward and the
living with an endowment of lasting benefit.
The development of waqf foundation in Islamic states peaked and highly improved from aspects of variety,
quantity and content. Waqf is the prominent institution, which develop social law, economic and political structure of
the society and Islamic state structure on a democratic ground and provide stability and balance in the development.
Social justice and equal opportunity and prosperity are result of waqf. Waqf which has been tried to improve, should
be examined from the different aspects in order to fulfill properly its functions along with the changing needs and
structure of society.(Zaim)
Waqf grew by leaps and bounds. This institution became an important pillar in the religious, social, cultural,
scientific, economic and political life of Islamic society. Even non-Muslims in Muslim countries established Waqf
for the benefit of their communities. For every conceivable enterprise of social benefit there was a Waqf. There were
awqaf for mosques, universities, schools, hospitals, orphanages, houses for the poor, food for the poor, the blind,
battered/abused women, soup kitchens, wells, aqueducts, fountains, public baths, watchtowers, bridges, cemeteries,
salaries, pensions, guest houses, libraries, books and animal welfare.
―The Ottoman society left the financing of health, education and welfare entirely to the Waqf system so much so that
the following saying does not exaggerate its central importance: ―Thanks to the Waqfs that flourished during the
Ottoman Empire, a person would have been born into a Waqf house, slept in a Waqf cradle, eaten and drunk from
Waqf properties, read Waqf books, been taught in a Waqf school, received his salary from a Waqf administration,
and when he died, placed in a Waqf coffin and buried in a Waqf cemetery.‖ (Arsebük, 1938)
Awqaf are classified in two categories. 1-Tangible (in the form of buildings or real estate) and 2-intangible
(cash…) In both cases, the essential point is the foregoing of individual property for the benefit of mankind.
Thereafter, that property belongs to Allah (s.w.t.). The main waqf is in the form of real estate, primarily agricultural
land and commercial buildings.(Tabakoğlu, 1992) Many sorts of assets such as fields, farms, mills, villages, shops,
khans, baths, pastures and springs…have been so bequeathed and the income from themhas been put to work
protecting and watching over the poor, serving the pursuit of knowledge, and performing numerous other social and
cultural functions.
The cash awqaf constituted a special category of Islamic endowment, and played a major role in Ottoman
economic –financial history. It can be considered such as an important Islamic financial institution which facilitated
the flow of funds from those who were able to save, to those who needed capital, primarily the entrepreneurs, but
also to the members of the general public. The well developed money market which legally sanctioned was emerged
by the cash awqaf. (Çizakça,1992)

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The voluntary institution of Waqf supplemented the state in fulfillment of its obligation towards the
provision of public goods. Public investment expenditures, which consist the main part of any modern budget, are
not contained in the Ottoman budgets. Because, such investments, together with education, health and other social
service expenditures were financed not through the treasury, but through private and especially awqaf which were
mostly exempt from taxation and other financial responsibilities. (Tabakoğlu,1992)

Awqaf and Sustainable Development
The Effectives of Awqaf on Economic Development
The Economic Power of Awqaf
The importance of the awqaf is seen in terms of the huge assets it controls, in its social expenditure, in the
number of people it employs, and in its significant contribution to the economy.In the history, In Otoman, the share
of waqf revenues in total public revenues was around 12 per cent in the sixteenth century with the surge in private
property. 20 per cent land of whole lands inside of waqf system too.(Tabakoğlu,1994) During the next two centuries,
from 1600 to 1800, the condition of awqaf changed and from two-thirds to three –fourths of the land of the empire
had by the nineteenth century been placed in waqf.(Barnes,1984) Today, waqf in some communities are governed by
Act of Parliament such as in India, Sri Lanka, Myanmar and Kenya while many are operated under laws governing
Trusts, Foundations, Non-Profit Organisations, Non-Government Organisations and Societies.(Ali,2009)
United Kingdom, For over two decades, Islamic Relief has been providing emergency aid and long-term assistance
to some of the world‘s most deprived people. In 2000, it set up the Waqf Future Fund aimed primarily at reviving a
great tradition of setting up a charity that continues to benefit the needy for many future generations. The Fund
allows donors to support numerous ongoing charitable projects, not just for people who need immediate help but for
those who will continue to need help in the future (www.islamic-relief.com).
India, There are an estimated 250,000 Waqf properties in India, valued in excess of US$75 billion and with
a potential for generating approximately US$3 billion in revenue. Since 1913 a number of Waqf Acts were passed
by the central and state legislatures while the Waqf Act of 1954 was a major development in the history of Awqaf in
India.
South Africa With only a few exceptions, most of the Awqaf institutions in South Africa are related to
mosques and religious educational institutions. Among the few income-generating Waqf institutions in South Africa
is the Hajee Ahmed Mahomed Lockhat Wakuff, established in Durban in 1933. Another recent initiative is the
National Awqaf Foundation of South Africa Initiated in 2000, Awqaf SA was registered as a trust in 2003, as a NonProfit Organisation.(www.awqafsa.org.za)
Awqaf’s Influences on Consumption and Investment
Waqf causes transfer of the sources from luxury consumption to essential needs consumption. As a
result of consumption transfer to essential needs consumption, waqf causes increasing of marginal profit, total profit
provided by consumption in national economy and feeding of total satisfaction. Its influence on savings: waqf causes
to save the sources, which could be spent otherwise for luxuries and obstention consumption. Its influence on
investment: waqf encourage investing in a useful way the sources, which could be spent for luxuries and obstention
consumption or would not be used in an effective way.(Zaim) The discouragement and prohibition of luxury and
extravagance in Islam has limited the prospects fordisposable income. Thereby, such extra income had spent to the
enhancement of the social welfare through awqaf. Besides, the revenues appropriated by the producers of the
capitalist system through price differentiation are directed (in the Islamic system) towards furthering social welfare
by way of awqaf. Today the investment which are contained in the central budget revenues, such as religious affairs,
education, health, social aid and civil construction were financed generally by the awqaf.
Redistribution of Wealth and Income
The relationship of waqf with economic life differentiates in accordance with its periods from beginning to
the present. Waqf connects with the distribution of wealth in national economy because of that in its establishment
period, waqf provides the transfer of wealth for society.

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-In order to maintain a waqf successfully, waqf should be managed rationally. Therefore waqf
management must be based on rationality principle.
-In order to sustain and increase incomes waqf should implement the ratability principle.
-In order to maximize the service and the profit provided by waqf the expenditures should be accordance
with productivity principle.
In sum, waqf is a foundation, which effects redistribution of national wealth and should be managed as productive
and rantable.(Zaim)
Despite of this, in waqf the prosperity, which belongs to wealthy groups, doesn‘t transfer to the people
having low-level income, but rather to society. After wealth transfer, redistribution of revenue in favor of low-level
income people is provided thorough service fulfilling with income of this wealth. Wealth transfer becomes only for
one time, however revenue transfer continues during waqf is a going concern.
The Functions of Increasing Employment
The waqf system had a significant role in the economic development for several reasons. Firstly, the waqf
facilitated renting shops with low prices in the markets that had waqfs, which led to the decrease of prices and, in
turn, activated the commercial movement in these markets. Besides, the markets that had no waqfs had to decrease
their prices in order to be able to compete with the waqf markets to maintain their businesses. Secondly, the waqf
helped the decrease of the unemployment rate and the creation of job opportunities. Besides, the waqf helped the
poor to own money which increased the demand rate on numerous products and services that were going to be
confined only to the wealthy segments in the society if the waqf did not exist. On the other hand, the sabeel or the
water fountain that was built on the important commercial roads had significant roles in activating the trade and in
facilitating the movement of the commercial caravans traveling between the cities and the villages.

Social Policy Functions
Education
The waqf system had played a vital role in achieving development at the educational, social and economic
levels. The educational role of waqf started from the mosque, which was not only a place of praying and
worshipping, but was also a source of education where students used to come to learn from instructors specialized in
the different branches. Therefore, at the beginning of the Islamic civilization, the mosque used to play the role of the
school. However, the form of the educational waqf has evolved to the ―kottab‖, which was similar to a small school
where children are taught reading, writing, Quran, and mathematics. Despite the continuance of the kottab, the
educational waqf had developed to normal schools, which had widely increased allover the Islamic society.
Meanwhile, schools had direct relations with libraries which people started to put them as waqfs since they were
aware of the importance of the book and its role in education.
Social Services
As for the social development, the social services provided by the waqf system were various. A big number
of Muslims withheld their properties to build medical centers and hospitals, some of which were built to cure
animals. In fact, many of the waqf documents revealed the successful management of the endowed hospitals. Besides
the medical services, there were several kinds of social services provided by the waqf, including helping the poor do
their pilgrimage, helping poor girls get married, building homes for the orphans, the elderly, and the blind. Waqf‘s
health and education services causes to provide equal opportunity; moreover equal opportunity encourages social
justice advancing people according to their ability.(Kozak,1985)
The periods when the social service provided by waqf is doing properly it is provided services such as
education, health for law and middle stratum class thus they can save their sources and increase their prosperity. That
is, waqf causes that law and middle class have prosperity.
Waqf provides an equilibrium position in distributing sources between individual and society needs. The
important point in a society is to provide a balance between individual profit and social input, also, between private
and social marginal revenue. Waqf seeks to this aim in underdevelopment countries the cost of free-market economy
and rapid-development are unequal prosperity and spoiling social injustice.
Advancing of waqf plays a role providing balance in development process.
This social service fulfills a duty beyond the struggle of poverty to help to poor people. Waqf contributes to
upliftment of humanity and betterment of life and provides a life level which is proper with human dignity. As a

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result of these features of waqf not only low level income groups but also other income groups get benefited from the
service provided by waqf. The protector of waqf, which provides social service, is not only rich people. But rather,
the people from each social class (artisan, peasant, soldier and worker) contribute to the social service as a nation.
Social Insurance Function
Most of the waqf aims at providing a security for risks, which the people would undergo in economic life
and due to the fact that service is fulfilled by foundation waqf prevent from insulting the people‘s dignity.
The relationship between consideration and social insurance decreases in social insurance system and social
insurance considerations converts to social insurance payment. In waqf, as being different from contemporary
social insurance system solidarity feelings have improved between waqf and the people serviced, without insulting
their dignities. It causes joining together in society.
Waqf feels peace and satisfaction of raising help for charity. In social insurance system, there is no sharing
feeling between two sides.
This situation prevents from the feeling alienation in urban life of industrial society. Helping field prevent from
alienation, being divided of personality and loneliness and feelings and depression in urban life. The profit for the
people organizing waqf, provides a unity human being and his social environment moreover, going beyond this limit
contains next generations and eternal life after death.
Social insurance system does not affect directly distribution of wealth in economy conversely waqf provides
distribution of wealth in the establishment time.

Conclusion
Throughout its history the most powerful vehicle for charitable and philanthropic endeavors was probably
the endowment, or waqf.. A waqf enables a Muslim to assign any proportion of his or her wealth, to designated
persons or public utilities. Persons, and institutions such as mosques, schools, bridges, graveyards and drinking
fountains, could be the beneficiaries of a waqf.
Waqf has always been associated with creating a balance between the local worries and finding solutions for
human sufferings in general, which made waqf a unique example of sustainable development. Thus waqf is a unique
example of sustainable development. If with the social policy functions had provided the continuity of social life.
Waqf functions include almost all stages of social life. Such as; increasing recruitment rates and employment,
income and wealth redistribution, social security formation, infrastructure development, expansion of education …
Permanence and irrevocability are two essential characteristics of the waqf. The aim of the settler, colleteur
is the continuation of this functions for infinitum. It indicates that they think not only for needs of future generation
but also the needs of all humanity. According to the facts mentioned above, economic and social resources were
available to all humanity. Community life has a constantly changing dynamic character. This condition of perpetuity
has led over the years to a considerable accumulation of societal wealth such that awqaf has become an important
sector dedicated to the social and economic improvement of the society.

References
Ali, B.Ġmtiaz. Waqf A Sustainable Development Institution
Tobago,2009,www.takaafultt.org-Last Access: May 9th, 2010 .

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Communities.

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Arsebük, Esat. Medeni Hukuk, BaĢlangıç ve ġahsın Hukuku, Ġstanbul,1938, I,298,
Barnes, John Robert. An Introduction To Religious Foundations in The Ottoman Empire , Leiden,1986.
Çizakça, Murat. The Relevance of The Ottoman Cash Waqfs (Awqaf Al-Nuqud) For Modern Islamic Economics, Financing
Development in Islam, p.393-414 Ed.by M.A. Mannan, Kuala Lumpur, 1992.
Ed. Duran, Tülay.Tarihimizde Vakıf Kuran Kadınlar Hanım Sultan Vakfiyyeleri Deeds of Trust of the Sultans
Womenfolk,Ġstanbul, 1990.
Kozak, Erol. Bir Sosyal Siyaset Müessesesi Olarak Vakıf ,Ġstanbul, 1985.

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Öztürk, Nazif. MenĢe‘i ve Tarihi GeliĢimi Açısından Vakıflar, Ankara, 1983.
Peters, R. ―Wakf‖, EI² , p.60, v.XI, Leiden, 2002.
Tabakoğlu, Ahmet. The Role of Finance in Development, Financing Development in Islam, p.323-344. Ed.by M.A. Mannan,
Kuala Lumpur, 1992.
Tabakoğlu, Ahmet. Türk Ġktisat Tarihi,

2nd edition,Ġstanbul,1994

Yediyıldız, Bahaeddin. Türk Vakıf Kurucularının Sosyal TabakalaĢmadaki Yeri, 1700-1800, OA, II, Ġstanbul,1982.
Zaim, Sabahattin. The influence of Awqaf on economic development, www.awqafsa.org.za.
www.awqafsa.org.za/.../PROF%20SABAHATTIN%20ZAIM%2024082002.doc – last access: May 9th ,2010.

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�</text>
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                <text>To Examine Sustainable Development Through The Historical Applications of  Foundations</text>
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                <text>Sustainable development is one of the contemporary concepts. If we move  from today‘s definition of this concept, the solutions for the global problems can be  obtained from the foundation‘s applications in the past. Sustainable development concept  is generally referred to the 1987 report of World Commission on Environment and  Development. The Brundtland Commission reported the slogan, ―Our Common Future:  From One Earth to One World‖. The Commission conceptualized sustainable  development as ―paths of human progress, which meet the needs and aspirations of the  present generation without compromising the ability of future generations to meet their  own needs‖. The goals of sustainable development are far-reaching and have as their  objective the transformation of contemporary development theory and practice. They  include the formulation of new paradigms of social, economic, political, cultural, and  ecological development. More and more rational approaches are improved to the concept  of ―development‖ which takes into account the long-term costs associated with short-term  improvements. The judicious use of the planet‘s non-renewable physical resources; a  balance between economic, social, cultural and physical development; and the realization  of fully integrated development strategies that bring together all relevant sectors and  actors into a common framework of local, national, regional and international action.  Foundations (Waqf) are Non Governmental Organizations. Current approaches to the  definition of a waqf includes; local administration and free economic rules in  management. In addition, democracy and volunteerism are essential for the definition.  These are weld from the Islamic law. Foundations with the social policy functions had  provided the continuity of social life. Waqf functions include almost all stages of social  life. Such as; increasing recruitment rates and employment, income and wealth  redistribution, social security formation, infrastructure development, expansion of  education… The aim of the settler, colleteur is the continuation of this functions for  infinitum. It indicates that they think not only for needs of future generation but also the  needs of all humanity. According to the facts mentioned above, economic and social  resources were available to all humanity. Community life has a constantly changing  dynamic character. We are the heirs of the finest examples of the foundation of  civilization. In other words, we as the heirs must attribute a new, fresh and modern  mission to the third sector or civil society organizations. Sustainable development  concept includes different dimensions. Such as ecological, economic, political, cultural,  social sustainability. This study‘s aim is to indicate that the applications of foundation  were serving the same purposes of sustainable development. The treatments applied  today to strengthen the social structure exactly overlaps with the services performed by  the awqaf throughout history. The given example in this case will emphasize the  importance of each term. The traces of good experiences are which created in the past  have lived for centuries. The orphans, widows, elderly people, children and the others  joined economic and social life through endowed charity. However, it is clear that  foundations must have found new solutions and different policy instruments for today‘s  problems.</text>
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                    <text>2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo

The Effect of Turkish Culture on Bosnian Culture Exemplified by Food
Culture
Fatih Đyiyol
International Burch University, Sarajevo
fiyiyol@ibu.edu.ba

Abstract: This paper discusses the effect of Turkish Culture, which enhanced its existence in
Bosnia-Herzegovina during the historical period, on Bosnian Culture by providing examples
from the food culture. The purpose of this paper is to discover Turkish food that continues to
exist in Bosnia-Herzegovina till today. Paper, being a folkloristic study, made use of
dictionary resources apart from the written resources. Paper was examined with the
functional method which is one of the methods of Folklore. At the end of study, it is seen that
dishes, soups and desserts kind belonging to the Turkish culinary culture continues to function
even today.
Key words: Turkish cuisine, Bosnian cuisine, folklore, effect

Introduction
The presence of Turkish culture in the Balkans extends to the ancient period. Before the Ottoman
conquest of the Balkans, Turks settled here and left significant traces in this region. It is known that Turkic tribes
like Bulgarians, Pechenegs, Oghuz and Kumans lived in the Balkans Bulgari (Hamzaoğlu, 2004:105-106).
Before the Ottoman conquest of the Balkans, the Turkic tribe, which left significant traces in the Balkans and
Bosnia-Herzegovina, is Avars. Avars’social and cultural effect on the societies living in the Balkans before the
Ottoman period can be clearly seen in the later centuries too****************** (Malcolm, 2002:6;
Hamzaoğlu, 2000: 391-397). After Ottoman’s conquest of the Balkans, a new era has started with regard to the
relationship between the communities living in the Balkans and Turks and Turkish culture. Balkans fall under
the Ottoman rule helped the Turkish culture to get into direct contact with the settled communities. Situated at a
significant junction point, Bosnia-Herzegovina’s considerable part was conquered by Sultan Mehmet the
conquer in 1463 (Âşık Paşazâde, 2007: 210-212). Along with this conquest, the cultural interaction between
Turkish culture, Bosnian residents’ and Bosnian culture came to a more effective point. After the conquest, the
Islamization of Bosnia-Herzegovina occuring in masses enabled Turkish culture to enhance its effect in this
region (Imamovic, 1998: 138-181). Embracing Islam through Turks, Bosnians, with their new religion, entered
into a basin of a new culture and civilization. With the Ottoman conquest of Bosnia-Herzegovina and
Islamization, several elements of Turkish culture had moved to Bosnia-Herzegovina. Staying under Ottoman rule
that lasted almost four and half centuries, the deep traces of Turkish culture and Islamic civilization, in BosniaHerzegovina, settled here in many areas ranging from architecture to art; culture to literature; religious tradition
to food culture. Until Austro-Hungarian Empire’s conquest of Bosnia-Herzegovina in 1878 (Friedman, 1996: 5758), this cultural interaction continued directly.

Turkish Cuisine
Having an important place among the world cuisines, “Turkish Cuisine” took its current state after
passing through three significant periods. One of these; the period which carries the traces of Central Asian
Turkish culture,where pre-Islamic Turkish culture and sosyal life and cavalry nomadic are seen. In this period,
meaty foods were common, especially horse and sheep meat were eaten roasted. Again in this period, beside
The title “Ban”given to Croatian and Bosnian Presidents passed on to these communities from Avar Turkish.
Again, the word “Obri” in Serbian Language was used for Avars. Even today the toponyms, such as “Obravac” which means
a place where Obris live, is seen in the Balkans (Malcolm, 2002: 6).

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�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
food of nomadic life like yoghurt, milk and cheese, the viniculture and grape molasses are among the dishes seen
in residental life (Kafesoğlu, 2009: 318-319).
The second period in Turkish cuisine is a period which started with Karahans and ended with Seljuk
Empire. Turks, after introduction to Islam, entered into communication with Arab and Persian cultures. Entering
into communication with these cultures, Turks adapted various dishes from the mentioned cultures. Besides,
many dishes belonging to Turkish culture are called with the words borrowed from Arabic and Persian. For
example, included in Turkish folklore; for the meals “the meat, with no water, roasted inside a pan directly in
fire” they used the name “Kebab” which was borrowed from Arabic (T.S, 2005: 1124). Again, for a meal that is
cooked, with no water, in tandoor, the word “Biryan” which entered in to Turkish from Persian was used (T. S,
2005: 284). Dishes and dish names, taken from Arab and Persian cultures, were reshaped in Turkish social life
and established a deep-rooted rich cuisin. The Arabic-origin word “Kebap” revealed twenty-three confirrmed
dish varities in Turkish cuisine like; döner kebabı, şiş kebabı, yoğurtlu kebap, Adana kebabı, bostan kebabı,
buğu kebabı, çağ kebabı, çoban kebabı, çömlek kebabı, çöp kebabı, fırın kebabı, kağıt kebabı, oltu kebabı,
orman kebabı, patlıcan kebabı, saç kebabı, talaş kebabı, tandır kebabı, taş kebabı, testi kebabı, Tokat kebabı,
Urfa kebabı, yufka kebabı (T.S, 2005: 1124).
The third period is the Ottoman era Turkish cuisine. During this period, Turkish cuisine, which became
the imperial cuisine, have received several dishes from all communities within its structure but; also left a
significant effect on the food folklore of these communities. Empire's vast geography and the vast opportunities
enriched the Turkish cuisine and food supplies arriving from different regions turned the Turkish culinary
culture, during the period and for later, into a major kitchen. Enriched with different sub-cultures in this period,
Turkish cuisine helped the formation of a deep-rooted kitchen like “Palace Kitchen”. In the Ottoman court a unit
called “Matbah-ı Âmire” was created, and this unit; a large building where meals, sweets, grout and drugs like
“Has mutfak, Ağalar mutfağı, Divan mutfağı” were prepared (Haydaroğlu, 2003).
Turkish cuisine comprised of the three major phases from steppe period, the Seljuk and Ottoman
periods till today (Artun, 2008: 401); it acquired the main characteristics of these periods in its structure and
Turkish food culture, considering the basic features, has meat, onions and paste in terms of materials; cooking in
charcoal
and
copper
pots
in
terms
of
cooking(Artun,
2008:
399-402;
http://www.kultur.gov.tr/TR/Genel/BelgeGoster.aspx).

Turkish Cuisine in Bosnia-Herzegovina
One of the most important indications of the effect of Turkish culture in Bosnia-Herzegovina is the
appearance of the words belonging to Turkish culinary and Turkish nutrition cultures. With Ottoman Empire’s
conquest of Bosnia-Herzegovina, since XV. century various food kind had been moved to Bosnia-Herzegovina
(Hadžıosmanovıć, 2005: 162).
Some of the meals belonging to Turkish cuisine directly entered into Bosnian culture and were called
by the same names. In some other Turkish meals, with the historical and geographical effect, changes occurred
either in their names or dish's material. For example, ''Sarma'', one of type of dish in Turkish cuisine, settled in
the same way in Bosnian folk culture and arrived until today. However, the word 'bey' which passed from
Turkish to Bosnian, gained a new identity as in Begova Çorba (Gentleman's soup).
The names of some of the food kind, carried from Turkish cuisine to Bosnian cuisine, either partly
changed or were completely unaltered. Beside this, various dishes, which are seen almost in every cultures and
in Turkish culture, are also available in Bosnia-Herzegovina.

Soups
Begova čorba (Tur., Bey çorbası; Ing. entleman's soup), is a type of soup consisting heavily of chicken
meat and ladyfinger, made for special guests or significant organizations in transition periods. The word
beg&gt;bey in Turkish emerged in Bosnia-Herzegovina as a result of the structure of Bosnian community during
Ottoman period (Hadžıosmanovıć, 2007:41).
Šehrija çorba (Tur., Şehriye çorbası; Ing., Noodle soup),is “a kind of soup made from oil, solt, water
and noodles'', received its name with the adaption of the word ''Şe'riyye'' in Arabic into Turkish and emerged as
a result(T.S, 2005: 1857). The noodle soup is one kind of soup, which is seen in the traditional Bosnian cuisine,
is had in daily life (Hadžıosmanovıć, 2007: 57; Škaljić, 1965: 584).
Škembe-çorba (Tur., Đşkembe çorbası; Ing., Tripe soup), is a kind of soup made from tripe. It continues
its functionality in Turkish cuisine today, but; it also continues its functionality in Bosnian cuisine (Škaljić,
1965: 591).

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�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
Tarhana, tarana (Škaljić, 1965: 601); mixed cereal soup, prepared with mixed cereals,is one of
the important soup in Turkish cuisine, entered into Bosnian folk culture in the same way. It is a soup
kind which is seen in every phase of daily life specially in village and town communities (Hadžıosmanovıć,
2007: 52-57).
Tutmać is a kind of “soup with yoghurt made from the squarely-cut dough pieces” (T.S, 2005: 2012).
Tutmaç, with its style of preparation and its Turkish name, passed into Bosnian culture (Hadžıosmanovıć, 2007:
46).

Dishes
Sarma (Tur., Sarma; Ing., stuffed vine leaves), is a kind of dish “made from cabbage, chard and grape leaves
wrapped with the filling prepared'' (T.S, 2005: 1706). Sarma, with its name and style of preparation, is seen,
unaltered, in Bosnian cuisine (Hadžıosmanovıć, 2007: 61-65; Škaljić, 1965: 551). In addition to its consumption
in daily life in Bosnia-Herzegovina, it is one of the socially significant dishes prepared in special occasions.
Sarma, specially in iftar (fast-breaking) tables in Bosnia-Herzegovina, is among indispensable dishes. There is a
kind of dish called jalan Sarma or jalandži dolma found in the Herzegovina region. This sarma type is preared
by putting rice inside the vine leaf. It is called jalan(bare) sarma because it does not contain any meat inside (R1,
R2, R4, R6, R10, R15).
Đmam-bajildi (Tur., Đmambayıldı), is a sort of dish made from “the eggplant fried in whole, split in the
middle and stuffed inside with the filling consisting of onions, garlic and tomatoes(T. S, 2005: 960). This dish,
belonging to Turkish cuisine, can be seen in traditional Bosnian cuisine (Hadžıosmanovıć, 2007: 69; Škaljić,
1965: 345). Consumed at every phase of daily life, this dish type, specially seen; Zenica,Travnik and
Herzegovina regions (R1, R4, R9, R14, R15, R16, R17).
Kadun-butući (Tur., Kadınbudu köfte), is a kind of “meatball made from either one sort of rice or
pounded wheat by frying them in oil after dredging them in eggs” (T.S, 2005: 1027). This dish, belonging to
Turkish cuisine, can be seen in traditional Bosnian cuisine with the same name. Reshaped according to Bosnian
taste, this dish is, specially, seen in tradition life in Bosnia-Herzegovina(Hadžıosmanovıć, 2007: 82; Škaljić,
1965: 379).
Sogandolma, sagandolma (Tur., Soğan dolma; Ing., Stuffed onions), It is a kind of stuffed vegetable
dish made by empyting onion’s inside and filling it with rice and minced meat(Hadžıosmanovıć, 2007: 69;
Škaljić, 1965: 569). Although this dish is not very common in Turkish cuisine, its name comprises of two
Turkish words’ combination and it became national dish of Bosnia. It is a kind of dish which is consumed,
specially, at the introduction of national meals, at the tables of Ramadan and weddings.
Ćevapčić (Tur., Kebab), is a kind of meatball resembling to meatball from Inegol among Turkish
dishes. It is widely consumed in Bosnia-Herzegovina. Within Turkish popular culinary culture, in terms of
functionality, presentation and generality, ćevapčić meets the function of “Döner” in Bosnia-Herzegovina. In
Bosnia-Herzegovina’s publicity, touristic and folkloristic organizations, it is a dish which comes in the
foreground.
Šišćevap, Šišćevap (Tur., Şiş kebab; Ing., shish kebab), is a sort of kebab made by arranging in kebab in
skewers (T.S, 2005: 1871). It is seen in Bosnian traditional cuisine, particularly in restaurants that serve Bosnian
traditional dishes. It is consumed in dially life as well as in special occasions (Hadžiosmanovıć, 2007: 90;
Škaljić, 1965: 590). This dish is eaten widely in Sarajevo and it is called Sarajevski mač (Saraybosna KılıcıSword of Sarajevo) when prepared with vegetables.
Bungur, Bulgur Pilav (Tur., Bulgur pilavı; Cooked pounded wheat), is a sort of rice made from the
pounded wheat. Various sorts are prepared in Bosnia-Herzegovina by adding different materials to pounded
wheat. For this sort of rice, the word “Bulgur”, which was taken from Turkish, is used and the word “Bungur” is
made use of (Hadžıosmanovıć, 2007: 163; Škaljić, 1965: 154).
Keške, ćeške, kekšek (Tur., Keşkek; Ing., Pounded meat and meat), is a kind of dish made from “boiling
well-pounded wheat with meat for a long time”(T. S, 2005: 1148). It passed from Turkish traditional cuisine to
Bosnian traditional cuisine but the functionality of this dish decreased. Today, it became a sort of dish prepared
rarely in Central Bosnia mostly (Hadžıosmanovıć, 2007: 151; Škaljić, 1965: 407).
Pirjan (Tur., Biryan; Ing., Pit roasted lamb),is a sort of meat dish cooked in tandoor and is seen in
Bosnian cuisine (Hadžıosmanovıć, 2007: 127; Škaljić, 1965: 518). Nowadays, meat dishes, prepared in electric
and stone ovens, too, are called pirjan.
Dolma (Tur., Dolma; Ing., Vegetable stuffing),is a kind of dish prepared by putting rice, minced meat or
other materials into either bell pepper or tomatoes. Dolma is also a general name for the dishes like leaf-filling,
leaf-wrapping and bell pepper-stuffing (T.S, 2005: 557). Dolma dish is a widely eaten dish in BosniaHerzegovina (Hadžıosmanovıć, 2007: 61-65; Škaljić, 1965: 223). The most widespread region of Dolma is

471

�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
Travnik and its surroundings (Hadžıosmanovıć, 2005: 162). Common in daily life as well as in transition
periods, dolma is one of the main dishes of ceremonies.
Đulbastija, ćulbastija(Grilled cutlet), is dish made from the boneless meat cooked on embers and grills(T.S,
2005: 1280). Although this is the same dish in Bosnia-Herzegovina, it is also prepared with bony or boneless
meat (Škaljić, 1965: 254).
Ćufte (Tur, Köfte; Ing., Meatball), is a kind of dish “generally made from minced meat, and sometimes
chicken, fish and potatoes.k türüdür (T.S, 2005: 1227) It is pretty common in Bosnian culture (R1, R2, R3, R4,
R5, R8, R9, R10, R11, R12, R13, R14, R15, R7).

Sweets
Baklava (Tur., Baklava; Ing., Sweet pastry), is a sort of sweet, which is made by various dry fruits
wrapped in dough sheets and by pouring grout over it (T. S, 2005: 155). Baklava, is a sweet kind which is
functional in traditional life in Bosnia-Herzegovina. It is offered to people coming for a visit during Ramazan
festival. In Bosnian weddings, “The girl, who is about to get married, would enter with her veil into a room full
women, sit in front of a femal teacher to recite verses from the Qur’an. Then grout was offered to the women in
the room. The Marriage ceremony would come to an end after coffee and baklava were offered”
(Hadžıosmanovıć, 2005: 164-166) It is a kind of sweet specially consumed in weddings, religious festival and
was offered to special guests(Hadžıosmanovıć, 2007: 262; Škaljić, 1965: 116).
Kadaif (Tur., Kadayıf; Ing., Shredded pastry), is a kind of sweet “made from flour and consumed as
sweet” (T. S, 2005: 1026). The most consumed kind in Turkish cuisine are, shredded pastry and bread pastry.
The word “Kadaif” in Bosnia-Herzegovina is used for shredded pastry. Apart from this shredded pastry kind,
bread pastry,too, is also kind of sweet found in Bosnian cuisine (Hadžıosmanovıć, 2007: 273; Škaljić, 1965:
378). In terms of importance, shredded pastry, although not as significant as baklava, is one of the crucial sweets
of the transition period and special occasions. (R1, R2, R3, R4, R5, R8, R9, R10, R11, R12, R13, R14, R15,
R17).
Halva, alva, halvuša, alvuša (Tur., Helva; Ing.; Halwa), is a sort of sweet made from oil, sugar, flour,
and sometimes, from semolina (T.S, 2005: 875). Halwa is a sort of sweet widely seen in Bosnian traditional
cuisine (Hadžıosmanovıć, 2007: 290; Škaljić, 1965: 306). Halwa is definitely prepared during Prophet’s Birth
Ceremony and it is made sure that the smell surrounds the entire house. (R2, R4, R8, R12, R15, R16, R17).
Gulač (Tur., Güllaç; Ing., Stuffed rice wafers), is a kind of sweet made from starchy thin dough sheets.
Although quite known in Bosnia-Herzegovina; it is a type of sweet which is rarely made(Hadžıosmanovıć, 2007:
294).
Đulbešečer (Tur., Gulbeşeker; Ing., Rose Jam), is a type of sweet prepared with rose and sugar(T.S,
2005: 805). Although quite known in Bosnia-Herzegovina; it is a sort of sweet whose functionality decreased at
a great deal (Hadžıosmanovıć, 2007: 301; Škaljić, 1965: 255).
Tulumbe, Tulumba (Tur., Tulumba; Ing., Fried pastry with Syrup), is a dessert made by“giving shape to
dough” (T.S, 2005: 2007). Fried pastry with Syrup, is widely consumed dessert kind in Bosnian cuisine. It is
eaten in Religious Festivals and weddings as well as in daily life (Hadžıosmanovıć, 2007: 301; Škaljić, 1965:
255).
Hurmadžik, hurmašica, hurmadžici (Tur., Hurmacık; Ing., Date Sweet); is a type of dough sweet made
by “shaping dough like a date” (T.S, 2005: 904). Beside traditional community life, it is a kind of sweet
consumed in the cities too (Hadžıosmanovıć, 2007: 278).
Ašure, hašure (Tur., Aşure; Ing.,Noah’s Pudding), is a type of sweet made by “boiling ingredients like
wheat, chickpea etc., and dry fruits along with sugar” (T. S, 2005: 139). It is a type of sweet prepared on the 10th
day of the month of Moharrem to commemorate the martydom of Excellency Hossain (Prophet’s grandson) and
with the same function and ingredients it is also made in Bosnia-Herzegovina (Hadžıosmanovıć, 2007: 301;
Škaljić, 1965: 255).

Conclusion
Starting to become active in the Balkans before the Ottoman and with the Ottoman’s conquest of
Bosnia-Herzegovina, Turkish culture left a significant effect on Bosnian culture. Remaining under the Ottoman
rule nearly 450 years and with the effect of Islamization, Bosnia-Herzegovina has become a major carrier of
Turkish culture. Many soup, dish and dessert kind of Turkish cuisine passed on to Bosnian cuisine. Some of the
kinds of dish in Turkish cuisine have entered into Bosnian cuisine with their own names and densities and others
with different names. Nowadays, various dish types, belonging to Turkish cuisine, were adapted by Bosnian
cuisine and these dishes constituted a significant part of Bosnian cuisine. In our study, a major part of the

472

�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
Turkish dishes found in Bosnia-Herzegovina are seen to perform functions in the transition periods of Bosnian
folkloristic culture like important occasions and events, increasing holiness, showing the significance of things
done.

References
ARTUN, Erman (2008), “Adana Mutfak Kültürü ve Adana Yemeklerinden Örnekler”, Halk Kültürü Researches,
Kitabevi Pub., p.399-433.
Âşıkpaşazade (1882), Tevârîh-i Âl-i Osmân, Prepared by; Prof. Dr. Kemal Yavuz- Prof. Dr. A. Yekta Saraç,
Gökkubbe pub., Đstanbul.
HADŽIOSMANOVIĆ, Lamija (2007), Bosnian Cook, Sejtarija pub. Sarajevo.
HADŽIOSMANOVIĆ, Lamija (2005), “Geçmişten Günümüze Bosna Mutfağı”, Mostar Magazine, Trans.,
Emini Şentürk, Year.1, Issue. 6, p., 162-166.
HAYDAROĞLU,
Đlknur
(2003),
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“Osmanlı
Saray
(Date of access: 3.05. 2010).

Mutfağından

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HAMZAOĞLU, Yusuf (2004), Sırbistan Türklüğü, Lagosa Pub., Üsküp
HAMZAOĞLU, Yusuf (2000), Balkan Türklüğü, Kültür Bak. Pub., Ankara.
IMAMOVIÇ, Mustafa (1998), Historiya Bošnjaka, Bošnjančka Zajednica Kulture Preporod, Sarajevo.
KAFESOĞLU, Đbrahim (2009), Türk Milli Kültürü, Ötüken Pub., 28.edition, Đstanbul.
MALCOLM, Noel(2002), Bosnia A Short History, Pan Book, London.

ŠKALJĐĆ, Abdullah (1965), Turcizmi u srpskohrvatskom Jeziku, Svjetlost, Sarajevo.
TURKISH DICTIONARY; 2005, Türk Dil Kurumu pub., Ankara

Oral Resources
Resource No, Name and Surname,

Date of Birth,

Place of Birth,

Education,

Profession

(R1),

Sanela ARDOVĐĆ,

29.03. 1969,

Butmir- Sarajevo,

High School,

Typist

(R2),

Aziza KADRĐĆ,

6. 5. 1935

Sjenica-Sancak,

illiterate,

Housewife

(R3),

Berina TĐRO

08.07.1963,

Sarajevo,

High School,

Typist

(R4),
Teacher

Ruvejda BĐLĐÇ,

31.01.1943,

Ljubuşki,

(R5),

Zümreta PEPĐ Ć,

1. 1. 1959,

Sjenica- Sancak,

(R6),

Samiya KARĐÇ,

17.03.1937,

Sarajevo,

473

University,

High School,
…

Retired

Housewife
Housewife

�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
(R7),

Mehrima PALJEVAC, 10.05.1962,

Sarajevo,

High School,

Housewife

(R8),

Taiba BUDNJO,

26.12.1964,

Olovo,

University,

Businessman

(R9),

Amra BIRZINA,

27.09.1985,

Stolac,

University,

Journalist

(R10),
Dentist
(R11),
(R12),
Member

Hatica HASĐÇ,

25.12.1935,

Mehida UVEYZOVIÇ, 20.07.1978,
Hanifa OBRALIĆ,

Sarajevo,

College,

Retired

Bratunac/Srebrenica, High School,

21.05.1954,

Mrkonjić Grad,

Housewife

University,

(R13)

Nera BARUČĐJA,

29.11. 1951,

Kotorsko,

(R14),

Šerifa SMRIKO,

16.02. 1952,

Zenica,

High School,

Housewife

(R15),

Špago DINKA,

Mostar,

High School,

Broker

(R16),

Mehmed MUJKĐĆ,

Žepa,

Madrasah,

Imam

(R17),

Nasiha ALĐĆ-KLĐPĐĆ, 09.09.1960,

Kozarac,

High School,

Housewife

18. 12. 1951,
1928,

474

High School,

Faculty

Housewife

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                <text>The Effect of Turkish Culture on Bosnian Culture Exemplified by Food  Culture</text>
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                <text>This paper discusses the effect of Turkish Culture, which enhanced its existence in  Bosnia-Herzegovina during the historical period, on Bosnian Culture by providing examples  from the food culture. The purpose of this paper is to discover Turkish food that continues to  exist in Bosnia-Herzegovina till today. Paper, being a folkloristic study, made use of  dictionary resources apart from the written resources. Paper was examined with the  functional method which is one of the methods of Folklore. At the end of study, it is seen that  dishes, soups and desserts kind belonging to the Turkish culinary culture continues to function  even today.</text>
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            <name>Date</name>
            <description>A point or period of time associated with an event in the lifecycle of the resource</description>
            <elementTextContainer>
              <elementText elementTextId="24601">
                <text>2010-06</text>
              </elementText>
            </elementTextContainer>
          </element>
          <element elementId="97">
            <name>Keywords</name>
            <description>Keywords.</description>
            <elementTextContainer>
              <elementText elementTextId="24602">
                <text>Conference or Workshop Item
PeerReviewed</text>
              </elementText>
            </elementTextContainer>
          </element>
        </elementContainer>
      </elementSet>
    </elementSetContainer>
    <tagContainer>
      <tag tagId="6">
        <name>H Social Sciences (General)</name>
      </tag>
    </tagContainer>
  </item>
</itemContainer>
