Five big questions in need of an answer
DOI link for Five big questions in need of an answer
Five big questions in need of an answer book
Ownership advantages (O) refer to a firm’s competitive advantages, which, while potent in the home market setting, can also be leveraged across national borders. Locational factors (L) are the host market attractors. Construction firms operate in a home market before venturing off-shore. There has to be an impetus – either an unfolding change of circumstances or triggering event – that ignites an intention to jump borders. Network relationships regarding suppliers, alliance partners and even clients who have linkages overseas are important transitional pathways. An alternative approach to international market selection by appraising the cumulative positive and negative attributes is to view markets simply in terms of risk. Project failure can be attributed to a variety of causes, and these should also inform future market entry decisions. Key sources of failure are the following. Producing lists of factors to consider when looking for desirable off-shore markets is all well and good, but data that grade those factors are also needed.