Title: Diversification performance relationship in Turkey, Morocco, and France: a comparative study of emerging and developed economies

Authors: İhsan Yiğit; Chahrazad Aarab; Cem Canel

Addresses: Faculty of Business Administration, Marmara University, Istanbul, 34844, Turkiye ' Faculty of Business Administration, Marmara University, Istanbul, 34844, Turkiye ' Cameron School of Business, University of North Carolina Wilmington, Congdon School of Supply Chain, Business Analytics & Information Systems, Wilmington, NC 28403, USA

Abstract: This study examines the relationship between corporate diversification and firm performance in emerging and developed economies. As a result, a sample of 59 Moroccan, 318 Turkish, and 361 French companies listed on the stock market from 2016 to 2023 is classified according to Rumelt's classification. Firm performance is measured through return on assets (ROA), return on sale (ROS), and return on equity (ROE). Our findings reveal significant differences in the performance outcomes of diversified companies across the three countries. In Morocco and Turkey, single-business companies outperform their counterparts in France. However, France's dominant business and related diversification strategies yield better results than Turkey's. Conversely, unrelated diversification is more successful in Turkey than in France. These results underscore the importance of the institutional context, encompassing the regulatory, legal, and market conditions within which companies operate, in shaping the relationship between diversification and performance.

Keywords: corporate diversification; firm performance; emerging economy; developed economy; institutional context.

DOI: 10.1504/IJLEG.2026.154471

International Journal of Logistics Economics and Globalisation, 2026 Vol.11 No.3, pp.294 - 319

Received: 19 Jan 2026
Accepted: 07 Mar 2026
Published online: 29 Jun 2026 *

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