Li, H; Jin, Z; Li, V; Liu, G and Skitmore, R M (2013) An entry mode decision-making model for the international expansion of construction enterprises. Engineering, Construction and Architectural Management, 20(2), pp. 160-180. ISSN 0969-9988
Abstract
Purpose - The purpose of this paper is to provide a new type of entry mode decision-making model for construction enterprises involved in international business. Design/methodology/approach - A hybrid method combining analytic hierarchy process (AHP) with preference ranking organization method for enrichment evaluations (PROMETHEE) is used to aid entry mode decisions. The AHP is used to decompose the entry mode problem into several dimensions and determine the weight of each criterion. In addition, PROMETHEE method is used to rank candidate entry modes and carry out sensitivity analyses. Findings - The proposed decision-making method is demonstrated to be a suitable approach to resolve the entry mode selection decision problem. Practical implications - The research provides practitioners with a more systematic decision framework and a more precise decision method. Originality/value - The paper sheds light on the further development of entry strategies for international construction markets. It not only introduces a new decision-making model for entry mode decision making, but also provides a conceptual framework with five determinants for a construction company entry mode selection based on the unique properties of the construction industry.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | analytic hierarchy process; construction industry; decision making; decision-making model; entry mode; internationalization; market entry; preference ranking organization method for enrichment evaluations |
| Index terms: | entry mode, international construction, markets, dimension, market entry, determinant, construction industry, international business, internationalization, decision framework, decision-making, methodology, practitioner, conceptual framework, preference, international expansion, sensitivity analysis, strategy, construction company |
| Subjects: | strategic management, risk assessment, business, organization, practitioner, health monitoring assessment and metrics, economic analysis, theoretical framing, management, research methods, decision-making and reasoning, market analysis, decision analysis, industry analysis, environmental hazards |
| Topics: | Organizational Design, International Construction, Risk Management, Roles and Professions, Sustainability, Business Strategy, Health and Safety, Research Practice |
| Descriptive scope: | 4 PCTA |
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