The Comparison of Financial Performance of the Forest Products Enterprises Using the Entropy-Based TOPSIS Method: A Case of Artvin

In this study, the financial performances of forest products enterprises operating in Artvin province were evaluated and compared using Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) method. Six enterprises were included in the scope of this study and the data in 2014-2017 were used to determine their financial performance. In this paper were used 11 financial ratios obtained from the balance sheet and income statements. First, the weights of the criteria were determined by using the entropy method and then, the performances of the enterprises were ranked by TOPSIS method. In terms of weights of the criteria, it was found that the criteria of the equity turnover rate for 2014, 2015 and 2017 and the acid-test rate for 2016 are more important. When we evaluate the financial performances of the enterprises, it was found that the “E” enterprise has the best financial performance and the enterprises, which have the worst performance, varied from year to year