A Case Study on the Capacity and Competitiveness of Small-Sized Contractors on the Central Coast of California

Author(s) Information

Lev S. Garcia, California Polytechnic State University, San Luis ObispoFollow

College - Author 1

College of Architecture and Environmental Design

Department - Author 1

Construction Management Department

Degree Name - Author 1

BS in Construction Management

Date

3-2021

Primary Advisor/Subject Matter Expert (SME)

Thomas Kommer, College of Architecture and Environmental Design, Construction Management Department

Abstract/Summary

The market conditions in which small-sized construction firms in California compete can be significantly influenced by the regional location of their projects. This research paper reviews a qualitative case study executed through semi-structured interviews with two construction firms on the Central Coast of California. Through gaining the perspectives of two companies, one that recently grew into a medium sized company and one that is small-sized, this case study aims to identify market characteristics that influence small-sized companies’ abilities to compete on the Central Coast. The case study indicates that competition between existing companies, the threat of new arrivals, the cost of labor and rate of growth influence both companies’ competitiveness most significantly. These forces rely on the state of preexisting relationships with clients, the level of process differentiation, the number of firms in their markets, and each company’s ability to control fixed costs and rate of growth.

URL: https://digitalcommons.calpoly.edu/cmsp/494