top of page

Summary

    This report discussed some challenges of construction industries faced by the developing countries which are globalization, culture, and the environment. Besides, there are some experiences and lessons learned from Singapore (c 21), which emphasize the possible ways for developing countries to make progress. From the perspective of the development of the construction industry, we knew that we must improve the capital value of industry customers and the environmental responsibility in the delivery process. 

​

    The first challenge is globalization. It states the advantages and disadvantages of globalization considering the construction industry in developing countries. As far as advantages are concerned, the participation of international finance makes it possible to implement several projects, for example, the competition between foreign companies, which is a large-scale infrastructure project, reduces the project's costs in developing countries. However, as far as disadvantages are concerned, local construction companies have no funds or expertise to participate in sponsoring privatization projects, and local companies may be deprived of development opportunity. According to Raft et al. (1998), he found three trends in Asia, namely, (a) the private sector is more involved in major infrastructure projects; (b) Strengthening vertical integration in the packaging of more and more construction projects; And (c) the degree of foreign participation in the construction industries has increased in most countries (almost all developing countries).

​

    Culture is the breadth of a person who has a different history, culture, collective experience and architectural expertise. This means that these arrangements determine the documents, procedures and practices in the industry, and stipulate the roles of the participants and their relationships, thus also defining the power and authority network. And every organization has a culture which is determined by its history, size, corporate goals and objectives, technology of production, market, and operating environment. In the construction industry, several organizations interact on each project temporarily, and cultural issues have always been the primary issue. The studies relating to culture include the influence of national culture on construction activity, the culture of the construction project, the culture of the construction companies and culture of the construction site.

​

    The environment is also one of the construction problems. Developing countries, for example, are losing forests at a very fast rate.  Another important problem facing developing countries is the number of material resources, which is necessary to meet the backlog of infrastructure and buildings, and developing countries must meet these needs to improve people's living standard. They can take some measures to solve this problem: (1) Government action-Legislation and regulations on environmental performance; Licensing and approvals requirements; Subsidies, tax benefits and subsidies; Product certification and labelling (2) market power - customers' adherence to better environmental performance; Other construction companies adopt or benefiting from good environmental practices, (3) institutional initiatives - professional institutions that provide advice and support services to their members & (4) operating environment - the action of pressure groups and informed users.

​

    Therefore, to overcome these challenges, (globalization), first of all, we should study the costs and benefits of the national construction industries. These may be different from the national economy. Second, work is required on how the benefits of globalization can be maximized and the adverse effects minimized for the benefit of both the developing-country firms and their foreign counterparts. Third, actions that can be taken by the industry itself also need to be studied. Help managers understand how to communicate with their employees, and motivate them, so that customers can understand how to motivate and guide the innovation of construction companies, deeply understand the most effective way to transfer technology to local construction companies and help project managers integrate the contributions of the project participants most effectively. 

bottom of page