Internationalization of Construction Services: A Comparison between Emerging and Developed Economies’ Construction Contracting Firms

Although mainstream of multinational construction firms have origin from developed countries, the relevance of construction contracting firms (CCFs) from developing countries is on the rise and becoming increasingly important, some of them becoming important global players. Scholars propose both similarities and differences in the forms of internationalization process concerning industry and geographical dispersion for multinational corporations (MNCs) from emerging and developed economies. The aim of this paper is to examine the differences and similarities in the internationalization process of construction contracting firms from emerging and developed countries. For this purpose, the case study of Pakistani construction contracting firms (CCFs) and British construction contracting firms (CCFs) was undertaken. The features examined in this study are the objectives of internationalization and the significant firm-specific and home country-specific factors that influence the internationalization of Pakistani and British CCFs. Using integrated theoretical approach, this paper employs quantitative technique. The data were collected through postal questionnaire survey and company reports. A comparative statistical analysis of the data was done. Little differences were identified between British CCFs and Pakistani CCFs in terms of their objectives for internationalization and firm-specific competitive advantages, whereas significant differences were identified in terms of home-country specific competitive advantages. The findings of this study will provide valuable implications for the internationalization of construction contracting firms from developing as well as developed economies.