Assembling increases in Turkey's industry, lowering internally generated production

When machinery and equipment, intermediate goods, raw material, anything that a business requires for its production (i.e. its supply chain) are owned and produced by the same company, it is called 100 percent vertical integration. This means the production and sharing of all values related to the product.  

The ideal is 100 percent vertical integration but this exists in low dosages in reality and the supply chain is provided by different local and foreign companies. Thus, the product is produced with the new contribution of workers, constituting a link in the local and international division of labor.   

International powers? equilibrium determines which link the company will hold and how strong and effective it will be. The ?central? powerful active factors while they keep the most valuable and most profitable stages of the chain to themselves leave the low profit one to ?periphery? countries. This unequal division of labor is carried out with the directives of dominant components and with the compromise and submission of periphery country companies. 

Being the weakest link in the product chain brings together the production of low-added value, low profitability, low employment and low salaries. 

Turkey, the weakest link 

The industry of Turkey cannot overcome the state of being the low-added value producer in the global chain; it cannot become one of the more powerful, the more value producing ones and the actor with more share of the value. While foreign contributions dominate in the products produced and sold by the industry, it cannot even reach one third of the sales incomes; two-thirds of sale income are spent for the purchase of machinery and equipment, intermediate goods, semi-manufactured goods and energy...