Industry Analysis & Industry Trends
Over the five years through 2014, revenue for the Building Construction industry has been growing at an average annualized rate of 20.0% to $1.75 trillion. There are about 28,000 construction firms in this industry, up from 23,000 in 2009. Most of the building construction major players also have operations in civil engineering, real estate development (IBISWorld industry report 7210), professional engineering services (7671), plan designing, building materials manufacturing, and construction machinery manufacturing (3613). By operating across different sectors, they are able to decrease costs and maintain stable supply sources.... purchase to read more
Industry Report - Starting a New Business Chapter
Low capital investment
Barriers to entry to this industry are low for most establishments, but may have some variances according to the contractor grade (See Products and Services section). In general, the industry is highly labor-intensive and does not require significant initial capital investments. Management skills and access to skilled subcontractors and arrangements with material suppliers are more important for industry participants.
Relationships with financial institutions and developers
As general contractors are mainly responsible for project execution, they have to participate and win bidding contracts for construction projects. Contractors attempt to establish links with financial institutions and property developers... purchase to read more