1. Based on the information you have from the August 26, 2013 issue of ENR, provide a short analysis on the regional pattern of construction business. Include in your analysis the following regions – Middle East, Europe, Asia & Australia, and Latin America.
2. In the 2013 article, a construction executive was quoted as saying, “The entire ASEAN zone is a growth area for our companies, in particular Vietnam, Indonesia, Burma and Malaysia.” [Note: ASEAN – Association of South East Asian Nations.]
Based on your understanding of AIC, NIC, and LDC economies (as discussed in the class notes), present a brief discussion of this prediction. In particular, what are the factors that will keep construction in these areas continue to grow? Where will the funding come from? Who will be the major players? Where the contractors will come from? What are the roles of the governments of these ASEAN countries? What is the role of PPP (public-private-partnership) in this boom?
3. In the 2013 article, another construction executive said, “You have to be in more than one sector.” Why do you think the current strategy of many of the major global construction companies (such as, Balfour Beatty, Bouygues, Vinci, Skanska, etc.) are to diversify their businesses in different sectors and markets?
4. Analyze the total volume of international construction in 2012 (from the 2013 ENR article posted) and comment about the trends in the LDC (Less Developed Countries), NIC (Newly Industrialized Countries), and AIC (Advanced Industrialized Countries), as described in the class notes.
5. Compare the 2011 market share (2012 article posted) with the 2012 market share (Table containing 2012 data in the 2013 ENR article posted). Analyze and outline the major trends.