Ye, X; Shi, S; Chong, H Y; Fu, X; Liu, L and He, Q (2018) Empirical analysis of firms' willingness to participate in infrastructure PPP projects. Journal of Construction Engineering and Management, 144(1): 04017092, ISSN 0733-9364
Abstract
Private participation is the key element in forming a public-private partnership (PPP). Numerous studies have identified the factors of private participation in infrastructure projects, but the results have rarely focused on the willingness of the private sector to participate in infrastructure PPP projects. This research examines the factors of the private participation in a PPP with the consideration of the willingness to participate as a function of internal (e.g., the firm's nature) and external factors (e.g., institutions, the government's behavior, and project characteristics). Using the logistic regression model and the data from a questionnaire survey, this research found that nine variables have a significant coefficient, e.g., profitability, political connections, government intervention, government support, project complexity, and project experience; in particular, those companies with more project experience, more political connections, and higher profitability are more likely to be willing to participate in PPP projects. In contrast to previous studies, this research finds no support for the effect of the institutional environment and public support on a firm's willingness to participate in PPPs. These findings can serve as a valuable reference in shaping the private sector's motivation to participate in PPPs. The factors of private participation in PPP projects are explained and discussed in the context of the Chinese PPP experience and practice.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | contracting; experience; political connection; private participation; profitability; public private partnership; willingness |
| Index terms: | private sector, project complexity, motivation, survey, public private partnership, logistic regression, infrastructure project, government support, questionnaire, partnership, profitability |
| Subjects: | psychology, contractual arrangements, data collection methods, infrastructure and transport systems, government bodies, organizational theory, industry analysis, economic analysis, statistical analysis, partnership management |
| Topics: | Business Strategy, Human Resources, Governance, Stakeholder Management, Procurement, Engineering Principles, Project Management, Research Practice |
| Descriptive scope: | 4 PCEA |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here