2007/01/01 by Charles Y. J. Cheah, Jian Kang, David A. S. Chew +1 · 74 citations
Business, Management and Accounting · Decision Sciences · Social Sciences · #Business #China #Competence (human resources) #Competitive advantage #Construction Project Management and Performance #Diversification (marketing strategy) #Economics #Empirical research #Finance #Global and Cross-Cultural Management #Guanxi #Industrial organization #Innovation and Knowledge Management #Management #Marketing #Microeconomics #Profit (economics) #Profitability index #Resource-based view #Revenue
paper · doi:10.1080/01446190600693450
published in Construction Management and Economics 25(1), 25-38 (Taylor & Francis)
crossref issued 2007/01/01 · crossref published 2007/01/01 · crossref published-print 2007/01/01 · openalex publication_date 2007/01/01 · crossref created 2007/03/30 · crossref deposited 2020/04/21 · openalex created_date 2025/10/10 · crossref indexed 2026/08/06 · openalex updated_date 2026/08/06
The many transitory changes in China have raised the intensity level of competition among construction firms. Despite having a high growth economy, some construction firms continue to suffer from low profitability. Meanwhile, practical cases and empirical findings related to Chinese construction firms remain lacking. This research develops a conceptual model for improving the competitiveness of large construction firms in China. The model integrates two main streams of strategic management theories—the industrial organisation theories, and the resource‐based and competence‐based views. Critical variables that form the model are initially identified from an environmental analysis and the case studies of 12 large Chinese construction companies. The relationships between competitive strategies, important resources and competencies, and competitive advantage are then verified using survey results. The statistical findings suggest that two strategies—differentiation and market/product diversification, and three important resources and competencies—technological innovative capabilities, financial capabilities and guanxi (relationship), directly affect firm performance as measured by revenue and profit growth.