The Impact of Corporate Governance On Accounting Measures of Financial Performance, Liabilities Volume, Credit Usage And Trade Openness: An Empirical Study on Turkish SMEs

ABSTRACT 

The aim of this paper is to contribute to the literature on corporate govemance (CG) by providing additional evidence on the impact of CG on accounting measures of financial performance, liabilities and credit usage, trade openness by observing firm performance in emerging economies, concentrating on the Turkish experience, a part of the world that has been a good sample of emerging economies in the literatüre and also, to our knowledge, this is the first study on the KOSGEB database in Turkey. Using a sample of 47.053 Turkish small and medium-sized enterprise (SMEs) firms data taken from KOSGEB, and based on the variables firm size, legal status, liabilities and credit usage, concentrated ownership and exports we test the relationship in determining the level of financial performance, trade openness and especially CG. The logit model is used as the methodology and based on the empirical findings we make some policy recommendations and note the key issues for further studies.