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Taxonomy for International Construction Market Entry Mode Selection

Construction Research Congress 2005: Broadening Perspectives
Proceedings of the Congress
Chuan Chen1 and John I. Messner2

1Graduate Research Assistant, Department of Architectural Engineering, The Pennsylvania State University, University Park, PA 16802. Email: vchen@engr.psu.edu
2Assistant Professor, Department of Architectural Engineering, The Pennsylvania State University, University Park, PA 16802. Email: jmessner@engr.psu.edu

  • Abstract
To achieve sustainable business growth in the competitive international construction market, contractors must carefully and intelligently design or review their geographic market entry strategies. With rapid changes in the international construction arena, there is an increasingly wide range of optional entry modes that international contractors can use to meet specific conditions in accessing target attractive markets. A taxonomy of these entry modes can provide a comprehensive and systematic basis for international construction firms to conceptualize their entry activities and identify alternative or complementary entry modes or combination of entry modes. This research investigated ninety four entry cases of leading international construction companies from around the world, characterized different entry modes with study of these cases, and identified their interrelationships in terms of flexibility and compatibility. Based on this analysis, a taxonomy of nineteen entry modes for international construction markets is proposed. This taxonomy was validated through a questionnaire survey of seasoned industry practitioners.

© 2005 ASCE

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0-7844-0754-1

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