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CHALLENGES OF

CONSTRUCTION COMPANY

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GROUP MEMBERS

GAURAV MANE-7759

ROY DSA-7728

PARAMJEET-7758

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SWOT

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S: STRENGTHS

Indias no. 1 residential building.

Ability to meet operating objectives.

Strong operating & Financial results. High quality & premium brand.

High level of evergreen demand

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W: WEAKNESSES

Chances of natural disadvantage are there

(eg: floods, earthquakes)

Distance between construction projectsreduces business efficiencies (eg: delay in

raw materials)

Changing skills requirement and workforce

may accentuate the skills gap.

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O: OPPORTUNITIES

Strategic partnerships and alliance are key partof our strategy

Linked up with no. of Indian & International

banks to offer financing packages to potentialbuyers

Indian domestic markets continue to functionsmoothly and banks cont. to make financing

available to good credit customers who wish tobuy properties from top-tier developer such asHirco.

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T: THREATS

a weakened national approach to vet

resulting from states and territories

adopting their own positions, policies, andstrategies for delivery. Changing political &

bureaucratic landscape.

The potential for Insecurity & limitation of

base funding.

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PRODUCT

PLACE

PROMOTION

PRICE

PROCESS PHYSICAL EVIDENCE

PEOPLE

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PRODUCT:

In marketing product refers to the totality

of the offering.

In Construction industry the total productincludes services offered by the contractor

in the support of the core product i.e.

physical product.

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For the construction industry products are :

Physical: houses, public and commercial facilities

infrastructure & building products.

Service: expertise consultancy & design

Persons and reputation: eg hafeez contractor

Ideas and proposals: urban regeneration, regionaldevelopment and competitions

Essentials: water gas electricity telecommunication,

transport facilities

Highly desirable: schools, hospitals, shopping

complexes, leisure centers

Desirables: environmentally secure, adaptable.

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PLACE:

Product has to reach the ultimate buyer so the companyworks with its intermediaries to bring to bring theirproduct to the market. Marketing channels perform workof moving goods from the producer to the consumer.

In the housing and the construction industry constructioncannot be transferred but here intermediaries transferinformation of distinct places about the availability ofaccommodation so that not having any idea about theseconstructions get to know about it. In this industrydistribution is done through real estate agents, who actsas connecting tool between the consumer and theprovider.

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In this industry distribution is done through

real estate agents, who acts as connecting

tool between the consumer and the

provider.

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PRICE:

Agreeing the price for a piece of work

seals the relationship between contractor

and the client. It is the central feature, and

reflects the value placed on the

relationship.

Prices is based on the combination of:

What the market expects

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What the client can afford

The nature of competition in the sector

What the contractor can afford to work for

Any specific factors concerning the particular job

e.g. location material used

What is being agreed and paid for- whether

completion of a bldg or wider process offeredsupported by maintenance, pre sale and after

care agreements?

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Promotion

Construction organizations use various

promotional approaches to communicate

with target markets.

In the construction marketing, several

types of promotional methods can be used

to communicate with individuals, groups

and organizations.

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The four possible ingredients of a

promotion mix are advertising, personal

selling,publicity and sales promotion.

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Advertising is a paid form of non personalcommunication about an construction organization

and its products that is transmitted to targetaudience through a mass medium as television,radio, newspapers, magazines, direct mail, masstransit vehicles, outdoor displays or catalogs.

Construction organizations use advertising topromote specific products, services, ideas andissues.

Because it is highly flexible, advertising offers the

options of reaching an extremely large targetaudience or focusing on a small, precisely definedsegment of the population.

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When a construction specialist and a

customer meet face to face, they use

several types of interpersonal

communication

Obviously, the predominating

communication form is the technical

language.

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Exhibitions participation is a specific component of

promotional mix in theconstruction field.

Construction plants must focused on the

characteristics exhibitions for this economic domain.

Now that we have discussed the basic components of

a construction organizations promotion mix, we needto consider how that mix is created.

We must examine what factors and conditions affect

the selection of the promotional methods that a

specific organization uses in its promotion mix for aparticular construction product.

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PEOPLE

PEOPLE:

The people in housing and construction industry can be divided intogroups:

Those who develop the product

They consists of location hunters architect builders. They are required tohave technical skills of geological mapping soil testing building designsand so on. The possessions of this skills is of utmost importance becausebuilding cannot be constructed on all types of land. Also materials use tobuild houses in different regions because of climatic differences. E.g. inEngland most houses are builds of woods whereas wood is not a viableportion in the tropical area. Builders who do the final construction consistsof civil engineers skilled and unskilled labor

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PROCESS:

Service Company can design a superior deliveryprocess. Because of heavy initial, capital investment,long gestation period and a speculative tendency(irregular demand) housing and construction industry

works other peoples money i.e. construction begins withadvance booking and then customers are suppose topay installments most of the payment is made after theproduct has been handed over this strongly experiencesintangibility aspect of this industry.

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PHISICAL EVIDENCE:

The need to place the client need rather than the contractor expertise at thecore of all activities Attention to all aspects of project design and inception, and thedevelopment of presales services and activities the service aspects of workin progress and after sales activities. Attention to quality and durability of theproject when complete.

Acknowledgement that presentation is as important as technologicalexpertise.

Continuous attention to service, service extension and service development

Taking the truly enlightened view of the needs wants and demands of theclients and commissioner of work the pressure on contractors andconsultants and understanding them

Total enduring impact of activities on the particular environment and locationin which it takes place.

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THANK YOU