Advertisement

Diversification as a Strategy for Minimising Fluctuations in Construction Firm Turnovers

  • Michael Ball
  • Peter Antonioni
Chapter
  • 81 Downloads
Part of the Applied Econometrics Association Series book series (AEAS)

Abstract

Construction firms frequently complain of the volatility of demand in their markets with periods of boom followed by slumps. In a number of countries, the stabilisation of construction demand through more sensitive macroeconomic policies is often on the policy agenda of construction industry lobbies. In this chapter, we wish to explore the empirical validity of the claim that construction markets are exceptionally unstable by examining the evidence from one of the most volatile major construction markets in Europe, that of Great Britain, and, in addition, to explore some potential firm strategies towards market volatility.

Keywords

Housing Market Total Order Private Housing Output Volatility Construction Market 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Ball, M. (1988), Rebuilding Construction, London, Routledge.Google Scholar
  2. Ball, M. and P. Antonioni (1996), ‘Is the UK Construction Industry Afflicted by Exceptionally Volatile Demand?’, in S. Gruneberg (ed.), Responding to Latham: The Views of the Construction Team, Englemere, Chartered Institute of Building.Google Scholar
  3. Ball, M., T. Morrison and A. Wood (1996), ‘Structures Investment and Economic Growth: A Long-run International Comparison’, Urban Studies, 33, 1687–1706.CrossRefGoogle Scholar
  4. Ball, M. and A. Wood (1996), ‘Trend Growth in Post-1850 British Economic History: The Kalman Filter and Historical Judgement’, The Statistician, 45, 142–S2.CrossRefGoogle Scholar
  5. Betts, M. and G. Ofori (1992), ‘Strategic Planning for Competitive Advantage in Construction’, Construction Management & Economics, 10, 511–18.Google Scholar
  6. Constable, J. (1986), ‘Diversification as a Factor in UK Industrial Strategy’, Long Range Planning, 19(1), 52–8.CrossRefGoogle Scholar
  7. Copeland, T. and J. Weston (1988), Financial Theory and Corporate Policy, Reading, MA, Addison Wesley Publishing.Google Scholar
  8. Harvey, A.C. (1989), Forecasting, Structural Time Series Models and the Kalman Filter, Cambridge, Cambridge University Press.Google Scholar
  9. Hillebrandt, P.M. and J. Cannon (1990), The Modern Construction Firm, London, Macmillan.CrossRefGoogle Scholar
  10. Hillebrandt, P.M., J. Cannon and P. Lansley (1995), The Construction Company In and Out of Recession, London, Macmillan.Google Scholar
  11. Lansley, P.R. (1987), ‘Corporate Strategy and Survival in the UK Construction Industry’, Construction Management & Economics, 5, 141–52.Google Scholar
  12. Levy, H. and M. Sarnat (1984), Portfolio and Investment Selection: Theory and Practice, Englewood, NJ, Prentice Hall.Google Scholar
  13. Sutton, J. (1991), Sunk Costs and Market Structure, Cambridge, MA, MIT Press.Google Scholar
  14. Williamson, O. (1985), The Economic Institutions of Capitalism, New York, Free Press.Google Scholar

Copyright information

© Applied Econometrics Association 2003

Authors and Affiliations

  • Michael Ball
  • Peter Antonioni

There are no affiliations available

Personalised recommendations