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Research Analysis on Malaysian Building Construction Market

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Dec 5 2009

Research and Markets (http://www.researchandmarkets.com/research/8c1403/strategic_analysis) has announced the addition of Frost & Sullivan's new report "Strategic Analysis of Building Construction Market in Malaysia" to their offering.

This research service covers the Malaysian building construction market. It includes key research findings, total market size for building construction, market trends, competitive landscape, strategic conclusions, and profiles of key market participants.

Research Overview This Frost & Sullivan research service titled Strategic Analysis of Building Construction Market in Malaysia provides an overview of the market drivers, market restraints, industry challenges, market size, and forecasts for building construction services. In this research, Frost & Sullivan's expert analysts thoroughly examine the following markets: residential building construction and non-residential building construction.

Technology Integration to Trigger High-rise Growth in the Malaysian Building Construction Market

Success in the building construction market largely hinges on participants' ability to integrate solutions including green and energy-efficient concepts, financial strengths, skilled workforce, and technology deployment. The skill to integrate solutions from civil design to electro-mechanical works throws open several opportunities to market participants. Currently, such expertise in service integration is sorely lacking. This is a huge handicap at a time when new buildings are being increasingly automated and built using green concepts. "At present, the integration process may involve too many parties along the value chain, and this, ultimately, does not benefit the end users," says the analyst of this research. "Architects, engineers, and system providers need to work more closely with each other to provide a standardized solution in building constructions."

The growing construction market in Malaysia has benefited from the construction of commercial and residential projects, industrial and manufacturing facilities, and other socio-economic infrastructures including airports, ports, and utilities (new water and wastewater treatment plants and rehabilitation of older plants). The spurt in construction activities is backed by continued urbanization, economic development plans, and promotion of tourism in Malaysia. The budget for rural development is likely to increase in the upcoming 10th Malaysia Plan in 2010-2011, and this will auger well for the market. The building construction market is expected to thrive in 2009 and 2010 due to the final disbursements of budgets and launch of new projects outlined in the 9th Malaysia Plan. These efforts are in-line with the national development policy that aims to propel Malaysia into the 'developed nations' league by 2020.

To cash in on the demand, the market must be well equipped with manpower; however, participants are facing a shortage of skilled workforce and are challenged by the socio-economic issues of dealing with foreign laborers. "The industry depends greatly on these foreign workers," notes the analyst. "On the other hand, local skilled workers such as engineers and architects are needed to provide more complete and integrated building solutions, as it is not feasible to segregate traditional building construction methods and designs from today's much advocated green concepts." Although the competition is stiff, with the presence of both local and foreign participants, the market is still missing companies that can offer total integrated solutions in building construction. Foreign participants will do well to sign joint ventures and partnerships with local companies in public projects. Together, they could attempt to supply the demands of market and make the most of the lucrative opportunities.

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