Aje, I O; Oladinrin, T O and Nwaole, A N C (2016) Factors influencing success rate of contractors in competitive bidding for construction works in South-East, Nigeria. Journal of Construction in Developing Countries, 21(1), pp. 19-34. ISSN 1823-6499
Abstract
The focal point of this study was to assess the perspectives of construction professionals on factors influencing tender prices of construction works and the contribution of the factors to the success rate of contractors. Using literature review and questionnaire survey, 15 factors were identified in respect to contractors' tender price and success rate in Nigeria. The findings of this study based on the results of statistical analyses (mean score and chi-square) reveal that all the construction professionals (architects, builders, engineers and quantity surveyors) are of the opinion that material availability, labour productivity and level of profit are the most significant factors that highly influence tender price of construction works and consequently affect the success rate of contractors in competitive bidding. Project definition and construction plan have least influence on contractors' tender price. Also, it was found that government policy does not have significant effect on contractors' success rate in competitive bidding in Nigeria. It is hoped that the information presented in this paper will be of interest to all parties concerned, including Nigerian construction companies and foreign companies planning to enter the Nigerian construction market. In addition, while the research focused on a particular country, Nigeria, the study can be replicated in other countries particularly developing countries and the results can be compared.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | bidding; construction; contractors; Nigeria; tender |
| Index terms: | literature review, tender price, survey, construction company, profit, builder, developing country, competitive bidding, bidding, questionnaire, engineer, statistical analysis, Nigeria, quantity surveying, construction market, construction professional, government policy, labour productivity, architect, construction work |
| Subjects: | market analysis, Geography, professional development, development economics, management, tendering, data science, bidding, data analysis and analytics, economic analysis, operations management, public policy, practitioner, data collection methods, profession, organization |
| Topics: | Research Practice, Project Management, Geographical Context, Information Management, Business Strategy, Procurement, Governance, Roles and Professions, International Construction, Site Management |
| 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