Risk impact on the marketing of construction professional services in Lagos State, Nigeria
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Date
2015
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Obafemi Awolowo University
Abstract
The study identified and assessed the marketing strategies employed by construction professionals in Lagos State Nigeria; identified and examined the risk factors associated with the marketing of construction professional services in the study area; evaluated the impact of the identified risk factors on the marketing of construction professionals and examined the strategies adopted in responding to the risks impacting the marketing of construction professional services in the study area. This was with a view to enhancing marketing outcome of construction professional services in the study area.
The study made use of primary data collected through questionnaire administered on construction professionals in Lagos State. Using systematic sampling techniques, 236 construction professionals were sampled comprising (72) architects, (91) engineers and (73) quantity surveyors. Data were obtained on level of awareness, usage and effectiveness of marketing strategies; frequency and impact of risk associated with the marketing of construction professional services and risk response strategies adopted by the construction professionals. The data obtained were analysed using Mean Response Analysis (MRA), Risk Occurrence Index (ROI), Risk Impact Index (RII), Factor analysis, and Analysis of Variance (ANOVA).
The study identified “professional-client relationship”, measured on a 5 points likert scale as the most widely recognised, most frequently used, and most effective marketing strategy in Lagos State with MRA of 4.58, 4.38 and 4.47 respectively. The result of the analysis revealed that all the identified risk factors were found to be associated with the marketing of construction professional services. The research further established “close relationship between the client and other competitors” as the most frequently occurring and highly impacting factor (ROI = 0.83; RII = 0.78) followed by “tough competition” (ROI = 0.72; RII = 0.75) respectively. Furthermore, factor analysis reduced the identified risk variables to four (4) significant factors. These factors were “cost related risk”, “firm security related risk”, “ethics related risk” and “government influence related risk” with eigenvalue of 8.00, 2.31, 1.52, 1.30 respectively, and they accounted for cumulative percentage of 62.55%. The result of ANOVA also indicated that there was significant difference in the construction professionals’ views on frequency of occurrence and impact of occurrence for “tough competition” (F = 17.403 & F= 6.653 at p < 0.05) and “escalating high cost of technology” (F = 7.795 & F =3.732 at p < 0.05) respectively. In addition, the study revealed that “acceptance” (33.05%) and “mitigation” (21.90%) strategies were widely used in responding to risk associated with the marketing of construction professional services in the study area.
The study concluded that “close relationship between the client and other competitors” and “tough competition” were highly significant, frequently occurring and highly impacting risk factors associated with the marketing of construction professional services in Lagos State, Nigeria. The strategies adopted in responding to these risk factors were “acceptance” and “mitigation”.
Description
xvi,121p
Keywords
Mitigation, Architects, Engineers, Construction professional services, Construction, Risk, Marketing, Construction professional
Citation
Ebunoluwa, E.I. (2015). Risk impact on the marketing of construction professional services in Lagos State, Nigeria