“One Spark” is enough for growth in IT Market!

“One Spark” is enough for growth in IT Market!

We are living in a very dynamic country. We are continuously adapting ourselves to the changes. When we compare the working conditions and the living conditions of Turkey with Western examples, we see that Turkey is acountry which is more open to opportunities, higher potential of earning, and especially has a young population who follows the latest trends

When we look at the changes in IT and telecommunication market, we can see that there was a growth with the rate of between 10% and 15% in the last year (2006). Turkey is one of the three countries in her region with the highest growth potential. The other countries are Russia and Ukraine. In fact, the growth in 2006, caused by the competition in telecom market, and the new players in the market. The real growth in IT is realized under the expectation. The main factor, which effects this reason is the public procurements which are unexpectedly low and the risk thread which negatively effects and barriers the easy trades.

In the beginning of 2007, due to early general elections in Turkey, business environment could not realize their procurements and projects. In spite of these, we are passing through with a very busy summer season. After announcing of the early general election results, market tension is dropped, and the go decisions for the new investments and waiting projects will be taken.

In addition to the movement of internal market, the foreign firms will get the decision of merging or acquiring of Turkish companies without losing time. This shows that IT market will experience a busy season. With these acquisition decisions, it is observed that the demands have been decreased for the local Turkish companies with high revenues, but on the other hand there is an increase on the demand for the local companies who are profitable, has a customer potential, has know-how and has a powerful human resources.

After the general elections, the last quarter of 2007 seems to be very fast, and a busy quarter. I think in 2008, we will see a result of the last 2 years accumulation performance. Especially, Europe Union projects in government sector and other investments will effect the rising trend.

Technology sales over internet is increasing. Especially, the pricing which is seen as a competition factor for sales on internet, will effect the results of the retail sales in this new period. Therefore, it is expected that there will be a slowing down in the traditional retail sales. By today, we are following through the press the merger and acquisitions. Whoever holds his breath longer, then he will be able to resist.

In the previous years, the economical crisis, fluctuations in the foreign exchanges, low cash in the market, effected the business environment and has frozen the projects, this caused the decreasing courage and frozen situation in IT market. It is very hard to get rid of this emotion and when we are taking decisions, even with the positive situations, this limits our free minds.

How can we get rid of this emotion and situation? How is it creatable for an easy and fluent business environment?

Large instutions and conglomerates should act and move as soon as possible, with their movement the other mid-sized and smalls will be effected and they will start to move as well. With the fast actions of the suppliers, squeezing in the market will be weakened. Services alternatives with the high qualified human resources, will provide better, stronger and an extensive usage of outsourcing opportunity.

No need to afraid, no need to be passive. And sometimes it is better to take risks ( if there is ).

There is a need for initial force to increase the business and fastness in IT market.

There is a need for leader companies or institutions and providers, to begin to the large projects.

One Spark is enough!

Mehmet Bilginsoy