IDEAS home Printed from https://ideas.repec.org/a/taf/conmgt/v22y2004i9p979-990.html
   My bibliography  Save this article

Construction sector concentration: evidence from Britain

Author

Listed:
  • Patrick McCloughan

Abstract

For the first time, empirical estimates of concentration in the British construction sector are provided. The research adds value to published DETR/DTI data on the structure of British construction by applying a novel technique for estimating the concentration ratio proposed by McCloughan and Abounoori (MA) (2003). The MA method is applied because the data are grouped and simple summing of the largest market shares is not possible in this case. Results are provided on the trends in aggregate concentration (1971-99), concentration by main trades (1980-98) and concentration by specialist trades (1980-99). The first main finding is that aggregate concentration is low in British construction. This confirms the popular view, namely that construction is a fragmented sector, with the vast majority of private contractors operating at a small scale. The second main result is that concentration among main trades is also low. However, the same cannot be said of concentration among specialist trades - the third main result. The analysis shows that certain specialist trades (scaffolding specialists, asphalt and tar sprayers, constructional engineers, insulation specialists and demolition specialists) are relatively concentrated, even in the context of a national geographic market. These specialist trades experienced sharp rises in concentration in the latter half of the 1990s. The results suggest that the British construction sector is dynamic and comprises many diverse markets in terms of their levels and trends in concentration.

Suggested Citation

  • Patrick McCloughan, 2004. "Construction sector concentration: evidence from Britain," Construction Management and Economics, Taylor & Francis Journals, vol. 22(9), pages 979-990.
  • Handle: RePEc:taf:conmgt:v:22:y:2004:i:9:p:979-990
    DOI: 10.1080/0144619042000209396
    as

    Download full text from publisher

    File URL: http://www.tandfonline.com/doi/abs/10.1080/0144619042000209396
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/0144619042000209396?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lozano Navarro, Francisco-Javier, 2021. "Análisis de la concentración de mercado en la actividad inmobiliaria de Santiago [Market concentration of real estate in Santiago]," MPRA Paper 118262, University Library of Munich, Germany.
    2. Patrick McCloughan, 2005. "What’s Been Happening To Concentration in Irish Industry 1991-2001," The Economic and Social Review, Economic and Social Studies, vol. 36(2), pages 127-156.
    3. Charles K. Leung & Kelvin S. Wong, 2004. "The Construction and Related Industries in a Changing Socio-Economic Environment: The Case of Hong Kong," International Real Estate Review, Global Social Science Institute, vol. 7(1), pages 139-170.
    4. Kunhui Ye & Weiyan Jiang & Liyin Shen, 2008. "Project competition intensity (PCI) in the construction market: a case study in China," Construction Management and Economics, Taylor & Francis Journals, vol. 26(5), pages 463-470.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:conmgt:v:22:y:2004:i:9:p:979-990. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RCME20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.