Study And Application Based On The Resource-based Theory Of Construction Enterprise Strategy

As a labor-intensive and capital-intensive industry, the construction businessoccupies a crucial position in the development of national economy. The nationaleconomy of China has showed high growth since the start of the21st century, at thesame time its construction industry has also shown signs of rapid development. Newopportunities await the construction industry as government continues to increasebuilding of housing and infrastructure for the Twelfth Five Year Period. However,construction industry-wide problems such as low credit rating, low employee qualityand a lack of brand awareness can have adverse effects on the future performance ofthis industry. These problems must be dealt with by making full use of the business’resources on a strategic level.The resource-based theory sees an enterprise as an aggregation of all kinds ofresources. As different enterprises own different resources, the different characteristicsof resources will have certain influences on the development of the enterprises. Thefocus of this research paper is to study how the resources of an enterprise affect itsstrategy, to form a model which analyzes and categorizes these resources, and toestablish a business strategy based on the above.Firstly, on the basis of clarifying relevant theories on resource-based view andstrategic management, this paper analyzes the relationship between business resourceand strategy. Moreover, it examines the influences resource casts on strategy specific tothe characteristics of the construction industry.Secondly, this paper constructs a strategic model of “analyze resources--establishstrategy--develop resources” which starts with judging the strategic value of resourcesand then proceed to strategic planning of the enterprise and its resources’ future.Finally, this paper builds its case around the C Construction Company inChongqing. The resources of C Construction were analyzed through field research, andappropriate general strategy and resource development strategy were formulated for thecompany, which helped them in solving real issues.