Competitiveness factors and indexes for construction companies: fi ndings of Chile

Francisco Orozco, Alfredo Serpell, Keith Molenaar


Globalization and industry competitiveness has led to an urgent need for an effective competitiveness management strategy. Thus, companies require a better understanding about the definition of competitiveness, factors for determining it, and indexes for measuring it. This paper provides the results of an exhaustive literature review about competitiveness. It summarizes those factors which affect construction companies’ competitiveness and indexes to measure it. From these results, a structured classification for competitiveness factors and indexes was developed and a survey was applied to Chilean general contractors’ top-managers. This resulted in a ranking of factors that most affect company competitiveness and indexes most suitably reflect their competitive position. The results provide the contractors’ current competitive priorities in Chile. It was found through the factors and indexes chosen as the most relevant that price remains as the main criterion for contract award. In spite of this fact, top-managers are aware that other kind of factors could become more relevant in the future. The results can be considered for construction companies in developing countries to guide decision-making about competitive strategies. Key words: competitiveness, general contractors, Chile.


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