Correlation Analysis On Construction Competition And Sustainability Performance In The Construction Industry

Faced with increasingly fierce competition in the construction market, construction companies take a variety of methods and strategies to response competitors and gain profits. However, the excessive competition in the construction gives rise to unfair bidding, leading building product quality problems, irrational allocation of resources, and in turn this issues hinder the sustainable development of the construction industry. This paper aims to explore the impact of construction competition on sustainability performance of the construction industry. In this paper, firstly, China’s construction industry sustainability performance is comprehensively evaluated. On this basis, it is focused on exploring the correlation of construction bidding competition and sustainability performance of the construction industry.To achieve comprehensive evaluation of sustainability performance of the construction industry, China’s 30 provinces is selected(except Tibet) for the subject in this paper. And the data related indicators is "China Construction Statistics Yearbook " ranging from 2001 to 2011, and then factor analysis is used to determine the overall performance values. Then, using descriptive statistical analysis from the perspective of mathematical statistics conduct a preliminary correlation inquiry on construction competition and sustainability performance. Based on theoretical assumptions, each variable factors for construction competition(market entry barriers, market size, market share distribution rate, market growth, the average wage employment, industry profit margins, building products and diverse of) related to sustainability performance empirically are tested by correlation analysis and regression analysis, respectively.The findings show that market entry barriers, average wage of employment, construction industry profit margins have an inverted U-shaped relationships with integrated sustainability performance; market size and integrated sustainability performance is positively correlated; market share distribution rate, market growth rate and overall sustainability performance of the construction industry is negatively correlated respectively; building product diversification and is unobvious relevance to comprehensive sustainability performance.The significance in this paper is that firstly, it is validated construction competition have some certain impact on sustainability performance of the construction industry, which for the decision-makers from the point of market offers some reference value to promote sustainable development in the construction industry. Secondly, based on the effects of construction competition on sustainability performance of the construction industry, it is put forward the corresponding policy recommendations and optimization.