Transaction-related issues and construction project performance
AbstractTransaction cost economics deals with costs incurred at the pre-contract phase such as the costs of conducting market research, exploring financial opportunities, conducting a feasibility study, organizing a bidding/negotiation and managing design; and with costs incurred in the post-contract phase such as the costs of administering the contract, administering change orders and claims, resolving disputes and managing incentives. Many researchers have investigated the factors that affect project performance over the years, but neglected to consider transaction-related issues. The effects of transaction-related issues on project performance are investigated in this study. Project performance is measured on the basis of completion within budget and on schedule, compliance with quality standards, and satisfaction of the owner. Transaction-related issues include the magnitude of transaction costs, the uncertainty in the transaction environment, and the owner’s and the contractor’s roles in the transaction. Hypotheses are tested by using a structural equation model using data collected from a survey administered to construction owners. The findings indicate that project performance can be stronger if the uncertainty in the transaction environment is minimized, transaction costs are kept low, and owners and contractors are sensitive to transaction-related issues.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Taylor & Francis Journals in its journal Construction Management and Economics.
Volume (Year): 30 (2012)
Issue (Month): 2 (January)
Contact details of provider:
Web page: http://www.tandfonline.com/RCME20
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty).
If references are entirely missing, you can add them using this form.