Windapo, Abimbola Olukemi and Cattell , Keith
(2013)
The South African Construction Industry: Perceptions Of Key
Challenges Facing Its Performance, Development And Growth.
Journal of Construction in Developing Countries , 18 (2).
pp. 65-79.
ISSN 1823-6499
Abstract
The paper investigates the challenges influencing the performance, development
and growth of the South African construction industry. The paper examines whether there is a
key challenge perceived by construction industry stakeholders as affecting the development
and growth of the sector. The rationale for the examination stems from the varied and largely
unexamined assumptions available in the literature as to what the key challenge is. The
research adopts a qualitative approach, using semi-structured interviews of 120 construction
industry stakeholders based in Cape Town. The respondents were selected using the
convenience and snowball sampling technique. The results of the study show that from a
ranking perspective, the key challenges perceived by stakeholders as affecting the
performance, development and growth of the construction industry in South Africa include
the increasing costs of building materials, access to mortgage/credits, high interest rates and
the high rate of failure of contracting enterprises. The paper concludes that to foster
construction industry performance and growth in South Africa, there must be further studies
to identify the factors responsible for the increases in the costs of building materials and to
test the assumption that exploration and development of new materials and technologies,
rather than exploitation of existing ones, will ensure stable building material prices.
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