The Impacts of Events on the Behavior of Residential Construction Industry

• Main Authors: Pintse,Chen, 陳品澤
• Other Authors: Henry Hui-Yuan Hsieh
• Format: Others
• Language: zh-TW
• Published: 2012
• Online Access: http://ndltd.ncl.edu.tw/handle/60458947184998363069

碩士 === 國立屏東科技大學 === 企業管理系所 === 101 === The developer’s behavior is greatly influenced by foreign and domestic events, such as the Global Financial Crisis and the High Speed Rail .The research predicates the Structure-Conduct-Performance(S-C-P) model to discuss industrial behavior of construction industry in Taiwan. A sample of 20 cities and counties in Taiwan during 1999 to 2011 accounted for 260 observations are examined. In OLS regression model, Global Financial Crisis and High Speed Rail variables have significant impact on developers’ behavior. While in dynamic market model a Two-Stage Least Square Method (2SLS) is used to analyze construction industrial behavior. Global Financial Crisis is negatively significant to approvals in both static and dynamic models, indicating the construction industry in Taiwan being closely related to global economy. In addition, High Speed Rail is significant and positively related to approvals in static and dynamic models, indicating High Speed Rail having a positive impact on the construction industry and the housing market in Taiwan. Construction performance is affected by the Global Financial Crisis but it has time lag. The effect analysis is examined in the dynamic market model. The vacancies are negatively significant to High Speed Rail, indicating the infrastructure improving the amenity and increasing the demand. Hence the vacancies decline. Global Financial Crisis was nearly positively significant to vacancies. In addition, housing prices are positively significant to High Speed Rail, indicating housing prices being pushed up by the rising demand attributed to the infrastructure. Events are crucial to the changes in the construction industry precipitating group irrational behavior. It is suggested that developer should analyze the macro environment and differentiate himself. Vacancies vary in the metropolitan areas. Some areas of high vacancies developer should reduce supply to ease the pressure of oversupply. In addition to rationally considering his position, developer should pay attention to the external analysis. Housing prices differ within the metropolitan areas so that developer and house buyer can develop and invest in the area with lower housing prices. How to overcome individual and group irrationality? It is suggested that developer should improve both individual rationality and group rationality to widen the rational window.