Neural Network Model to Support International Market Entry Decisions

2004-02-01
Bidding for international construction projects is a critical decision for companies that aim to position themselves in the global construction market. Determination of attractive projects and markets where the competitive advantage of a company is high requires extensive environmental scanning, forecasting, and learning from the experience of competitors in international markets. In this paper, a neuronet model has been developed as a decision support tool that can classify international projects with respect to attractiveness and competitiveness based on the experiences of Turkish contractors in overseas markets. The model can be used to guide decision makers on which type of data should be collected during international business development and further help them to prepare priority lists during strategic planning. Information derived from the model demonstrates that the most important factors that increase attractiveness of an international project are availability of funds, market volume, economic prosperity, contract type, and country risk rating. Similarly, level of competition, attitude of host government, existence of strict quality requirements, country risk rating, and cultural/religious similarities are the most important factors that affect competitiveness of Turkish contractors in international markets.
Journal Of Construction Engineering And Management-Asce

Suggestions

Integrated Approach to Overcome Shortcomings in Current Delay Analysis Practices
Birgönül, Mustafa Talat; Dikmen Toker, İrem (American Society of Civil Engineers (ASCE), 2015-04-01)
Many factors, such as unforeseeable events, managerial and financial problems of contractors, insufficient technical capacity of site teams of contractors or Consultants, and so on, may lead to delays in construction projects. Proper analysis of compensability and quantum of a delay event is of prime importance. Any delay analysis application can be considered as a result of the combination of contract documents, scheduler, record-keeping mechanism at the site, communication among project participants, dela...
Preparing Civil Engineers for International Collaboration in Construction Management
Soibelman, Lucio; Sacks, Rafael; Akinci, Burcu; Dikmen Toker, İrem; Birgönül, Mustafa Talat; Eybpoosh, Matineh (American Society of Civil Engineers (ASCE), 2011-07-01)
Economic globalization is increasingly affecting both the construction industry and academia. It is changing the traditional roles of civil engineers and construction managers. Cross-cultural collaboration and communication skills, multinational team management skills, the ability to overcome the social challenges of geographically distributed teams, and familiarity with construction materials, standards, and methods of foreign countries are vital for modern construction professionals. However, the traditio...
Exploring the Relationship between Complexity and Risk in Megaconstruction Projects
Erol, Huseyin; Dikmen, Irem; Atasoy Özcan, Güzide; Birgönül, Mustafa Talat (American Society of Civil Engineers (ASCE), 2020-12-01)
© 2020 American Society of Civil Engineers.Although complexity and risk are inherent characteristics of megaconstruction projects, existing project management approaches fail to incorporate complexity-based thinking into risk management. Complexity is usually considered as the source of risk events, along with uncertainty. However, prevailing risk management practices are oriented toward only handling the uncertainty. The lack of integration between the complexity and other risk-related concepts leads to un...
Closure to "Optimal capital structure model for BOT power projects in Turkey" by Sandalkhan Bakatjan, Metin Arikan, and Robert L. K. Tiong
Bakatjan, S; Arıkan, Mehmet Fırat; Tiong, RLK (American Society of Civil Engineers (ASCE), 2005-03-01)
nterest in the Build/Operate/Transfer (BOT) scheme for infrastructure projects has been growing rapidly, and numerous projects have been implemented around the world. Through BOT projects, a government reallocates the risks and rewards in the development of large infrastructure projects to the private sector. One key aspect to the successful implementation of the BOT concept in any country is the raising of finance by project sponsors. Financial engineering techniques and capital structuring skills are requ...
Contextual Information Requirements of Cost Estimators from Past Construction Projects
Kiziltas, Semiha; Akinci, Burcu (American Society of Civil Engineers (ASCE), 2009-09-01)
Past project data sources provide key information for construction cost estimators. Previous research studies show that relying only on one's own experience during estimation results in estimators' bias. Having and referring to historical databases, containing objective information on what happened in past projects, are essential for reducing estimators' biases. The first step toward development of useful project history databases is to understand what information estimators require from past projects. The ...
Citation Formats
İ. Dikmen Toker and M. T. Birgönül, “Neural Network Model to Support International Market Entry Decisions,” Journal Of Construction Engineering And Management-Asce, pp. 59–66, 2004, Accessed: 00, 2020. [Online]. Available: https://hdl.handle.net/11511/42396.