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A study of the building industry : the dominant influencing factors of consumer choice towards strategy.

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The South African Building Industry or sector is a difficult one in which to operate. At the lower value competition is fierce and at the top value, whilst competition is fierce, so to is the capital and resource requirements to run such a project. To be successful in this market requires that management understand each aspect of the business and has at its disposal the important key success factors such as management, capital and reputation. There is, however, ample opportunity available to the company that is able to deliver to the consumer a value added product that not only includes the building itself, but all the services that accompany the process. The focus of this study is to identify the important influencing factors on a consumer's choice of a building company in the residential alterations and renovations market. Once identified, the object is to use that information to develop a strategic plan that could help provide direction and help gain competitive advantage. The formulation of the strategic plan forms part of this study but is not meant to be so comprehensive as to be a study in strategy. Various important strategic tasks are identified and are used to provide a framework around which to work but the important information and the reason for the study is to identify that which is important to the consumer and to then use that information to build core competencies. To succeed against the competition, SGC will need to develop and train staff, expand quality control mechanisms, ensure tidiness of site and staff, and focus upon being professional. If all of these factors are focused upon and introduced into SGC's product offering, competitive advantage will be gained and profitability improved.


Thesis (MBA)-University of Natal, Durban, 2003.


Consumer--Preferences., Building industry., Theses--Business administration.