Assessing management and performance of Sino-foreign construction joint ventures

Jun Luo

Construction Management and Economics, 2001, vol. 19, issue 1, 109-117

Abstract: Since the early 1990s, construction joint ventures are developing and evolving rapidly in China. However, there has been relatively little empirical research into Sino-foreign JVs in China's construction industry. This study investigates the management and operating performance of Sino-foreign construction joint ventures, and the relationships between ownership, management control and JV performance. It is found that dominant management control over JVs by Chinese partners is the major form of management. Sino-foreign construction JVs perform well. Positive and significant correlations were found to exist between three variables - ownership, management control and JV performance. A valid measure is developed in assessing JV's performance in terms of JV's social role in developing countries. The relationship between partner's participation in daily operational management of JV and the level of control over JV exercised by their parent company, and the relationship between partner's strategic objectives and the selection of JV organizational structure are also discussed.

Date: 2001
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DOI: 10.1080/01446190010009997

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