Akben-Selcuk,E.2024-10-152024-10-152016442227-7072https://doi.org/10.3390/ijfs4020009https://hdl.handle.net/20.500.12469/6468The objective of this study is to investigate the factors affecting firm competitiveness in an emerging market—Turkey. In the paper, competitiveness is proxied by a firm’s financial performance. The empirical analysis is based on firms listed on Borsa Istanbul and covers the period between 2005 and 2014. Results from a firm-level panel data model indicate that return on assets is positively related to firm size, international sales, liquidity and growth, and negatively related to leverage and R&D expenditures. On the other hand, gross profit margin is positively related to size and international sales, and negatively related to leverage and R&D expenditures. Finally, results show that Tobin’s Q ratio is higher for firms with higher levels of debt and higher liquidity levels. © 2016 by the author; licensee MDPI, Basel, Switzerland.eninfo:eu-repo/semantics/openAccessFinancial performanceFixed effects modelGross profit marginPanel dataProfitabilityReturn on assetsTobin’s QTurkeyArticle2410.3390/ijfs40200092-s2.0-85111325764Q2