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Estimation of international construction performance: analysis at the country level

Author

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  • Low Sui Pheng
  • Jiang Hongbin

Abstract

The measurement or estimation of the degree of internationalization of multinational corporations (MNCs) remains lacking although many studies have been completed on MNCs in the construction industry. Dunning's Eclectic Paradigm suggests that the determinants of internationalization depends on the ownership (O), locational (L) and internalization (I) advantages of a firm. Another important factor relates to the involvement of a firm among specialized fields in the construction industry, i.e. the specialty (S) advantages. This paper proposes the OLI+S model for measuring/estimating the internationalization process of construction MNCs, according to nationalities, using the following ratios: O-IRTR, L-IBD, I-OMS and S-ISF. Major players in the international construction market were analysed using these ratios. The OLI+S model shows that construction MNCs from different nationalities demonstrated different patterns in the internationalization process depending on their business strategies, indigenous market situations, historical factors, etc. among others.

Suggested Citation

  • Low Sui Pheng & Jiang Hongbin, 2004. "Estimation of international construction performance: analysis at the country level," Construction Management and Economics, Taylor & Francis Journals, vol. 22(3), pages 277-289.
    • Handle: RePEc:taf:conmgt:v:22:y:2004:i:3:p:277-289
    DOI: 10.1080/0144619032000089607
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    Cited by:

    1. Low Sui Pheng & Jiang Hongbin, 2006. "Analysing ownership, locational and internalization advantages of Chinese construction MNCs using rough sets analysis," Construction Management and Economics, Taylor & Francis Journals, vol. 24(11), pages 1149-1165.
    2. Irem Dikmen & M. Talat Birgonul, 2006. "A review of international construction research: Ranko Bon's contribution," Construction Management and Economics, Taylor & Francis Journals, vol. 24(7), pages 725-733.

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