Bekele, A A and Mahesh, G (2024) Exploring the impact of endogenic factors on the competency of small and medium contractors in the Ethiopian construction industry. Journal of Construction in Developing Countries, 29(1), pp. 211-245. ISSN 1823-6499
Abstract
Small and medium contractors (SMCs) significantly contribute to socio-economic development by creating employment opportunities and establishing inter-sectoral links with other sectors of the economy. Despite their significant contribution, evidence suggests their competency is underdeveloped due to several obscuring factors. As a part of a larger research, this study aimed to explore the endogenic factors affecting the sustainable competency of SMCs in the Ethiopian construction industry (CI). A thorough literature review was conducted to identify 65 endogenic factors arising from seven core sources. A questionnaire survey was used to collect the perceptions of industry stakeholders. Descriptive and inferential statistics were used for analysis. Findings indicated 63 significant factors affecting sustainable competency and the top factors were: employee’s strategic and operational decision-making power, organisational leadership style, the existence of matured and developed entrepreneurial mindsets, the availability of institutional and business relationships, the inability to access financial resources, the lack of project management skills and low-profit margin due to competition. Factor analysis also identified 17 components. The findings from the study indicate the need to prioritise the areas of competitiveness improvement and the practical implications of making informed decisions for entrepreneurs. The findings of this study can also be used to develop a framework to create a conducive business environment.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | endogenic factors; Ethiopia; contractors; small and medium contractors; sustainable competency |
| Index terms: | employment, business relationship, construction industry, statistics, project management, competitiveness, factor analysis, literature review, mindset, survey, Ethiopia, profit, leadership style, economic development, decision-making, evidence, questionnaire, competition |
| Subjects: | data analysis and analytics, economic analysis, health behaviours and lifestyles, strategic management, evaluation and assessment methods, data collection methods, mathematical modelling, industry analysis, leadership, statistical analysis, market analysis, decision analysis, Geography, project management theory and practice, economic development, management |
| Topics: | Business Strategy, Project Management, Geographical Context, Research Practice, Risk Management, Sustainability, Human Resources, Organizational Design |
| Descriptive scope: | 5 PCTEA |
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