Study On The Decision Of Chinese Construction Firms To Entry Overseas Market

With the implementation of "going out" strategy and fierce competition in thedomestic construction market, more and more Chinese construction firms have enteredthe international market. The business of international engineering contracting hasbecome a new economic growth of Chinese construction industry. However, in theprocess of operating international engineering contracting, mostly Chinese constructioncompanies do not have scientific decision-making mechanism to overseas target marketand entry mode selection. The blindness of overseas target market selection and entrymode choice has led some Chinese construction firms competing for the same project inthe international market. And in the process of developing international market Chineseconstruction firms’ main entry mode is international project bidding, but it has stronglimitations.Thus, how to accurately, timely, scientific, reasonable determine the overseastarget markets and entry mode is an important problem in developing overseas marketsof Chinese construction firms. The main research contents are as follows:(1)The study explored of the regions and sectors of the international engineeringcontracting market, and analyzed the performance of Chinese construction enterprises,pooled analysis of the regional markets of the Chinese construction enterprises also.(2)Based on the market selection theories, the study set up the index system andthe selection model of Chinese construction firms’ overseas target market selection. Andused gray relational analysis to sort the market in the mode decision stage.(3)Based on the entry mode selection theories, the study considered thecharacteristics of Chinese construction industry, put forward the main influence factorsin Chinese construction firms’ entry mode selection and set up the selection model ofChinese construction firms’ entry mode selection. And introduced the TOPSIS solution in the entry mode selection model.The results of this study will provide useful support for Chinese construction firmsto entry overseas market, and it is helpful for Chinese construction enterprises toacquire sustained development in the market competition.