Prioritizing and Economic Performance Evaluation of the Free Zones in Iran Using Taxonomy Method

Objective: Since 1989, seven free trade and industrial zones (Kish, Qeshm, Chabahar, Aras, Arvand, Anzali and Maku) have been developed in Iran for increasing the national economy competitiveness, removing deprivation, attracting domestic and foreign capitals, creating new job opportunities, gaining advanced technology, presence in regional markets and increased exports. The purpose of the study was to examine the performance of seven free zones according to the goals defined in each zone constitution. Method: Numerical and weighted taxonomies (weighted using Shannon's Entropy) were used to evaluate the performance and prioritize the zones during from 2013 to 2018. Results: The examinations of the study showed that Maku Free Zone is in the first priority and at the developed level but the other areas are in the least developed regions. The regions should use their stagnant capacities to develop. Arvand needs to increase exports, attract foreign investors and tourists to reach development. Aras zone can develop by decreasing imports and increasing transit and export. Moreover, Chabahar could reach the development stage by increasing transit and export and Qeshm by decreasing imports and increasing foreign investment. Results: Finally, the results showed that except Maku Free Zone, other areas did not have acceptable performance regarding the defined goals.