“Win-win strategy” for sustainable relationship between general contractors and subcontractors in international construction projects

Jung Ki Lee, Seung H. Han, Woosik Jang, Wooyong Jung

Research output: Contribution to journalArticle

6 Citations (Scopus)


Despite the huge increase in international construction revenue for Korean construction firms during the last decade, only 8% of the overall international construction revenue has been executed by small and medium-sized construction companies (SMCCs). In addition, Korean SMCCs yields lower profits rather than large construction companies. This is due primarily to the fact that SMCCs, as subcontractors, are generally hampered by lack of financial and technical capabilities, shortage of experience, and lack of information. The low profit eventually affects both general contractors and project performance as a whole. The aim of this research is to create a framework that considers the risks of subcontractors in international construction projects to allow them to create a win-win strategy. The framework considers two perspectives: the level of the subcontractor’s performance and the interface risks between the general contractor and the subcontractor. The performance is assessed using the cost, schedule, and quality of the project’s outcome. By using 77 risks identified as relevant, a correlation analysis is performed to determine the critical risks from both perspectives. The results are found to create a strategy matrix that considers both the degree of partnership and the performance of the subcontractor. This research is expected to support industry practitioners in developing a win-win strategy, which will eventually provide them with successful entry into international construction projects.

Original languageEnglish
Pages (from-to)428-439
Number of pages12
JournalKSCE Journal of Civil Engineering
Issue number2
Publication statusPublished - 2018 Feb 1


All Science Journal Classification (ASJC) codes

  • Civil and Structural Engineering

Cite this