Competitiveness factors: A study of the real estate market in China

Heng Li*, Vera Li, Martin Skitmore, Johnny Kwok Wai Wong, Eddie W.L. Cheng

*Corresponding author for this work

Research output: Contribution to journalArticleResearchpeer-review

28 Citations (Scopus)
33 Downloads (Pure)

Abstract

The execution of 'macro-adjustment' policies by the central government to cool down the overheated real estate market in the past few years has created an unfavourable operating environment for real estate developers in Mainland China. Developers need to rethink their business model and create a new form of competitive advantage in order to survive. Despite this, research into the factors that influence the competitiveness of the real estate market in China has been limited. Therefore, a survey of 58 real estate practitioners, experts and academics in China was conducted to probe opinion on the factors that influence competitiveness in real estate firms in China. Survey results suggest that the developer's financial competency, market coverage and management competencies are vital to its competitiveness. Findings also highlight the importance of industry recognition/award, share in different types of property sales/development projects, profit after tax, growth rate of their securities price, and diversification of R&D in reflecting the competitiveness of real estate developers in China. The findings provide an insight into the factors that influence competitiveness in China's real estate market and also assist practitioners to formulate competitiveness improvement strategies.

Original languageEnglish
Pages (from-to)567-579
Number of pages13
JournalConstruction Management and Economics
Volume27
Issue number6
DOIs
Publication statusPublished - 2009
Externally publishedYes

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