GUIDELINES FOR DEVELOPING A SUCCESSFUL INTERIOR CONTRACTOR BUSINESS

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Keywords:

Development guidelines, interior contractor business, servitization.

Abstract

Interior contractor businesses play a crucial role in the construction and architecture industries. However, they are currently facing economic difficulties due to the impact of COVID-19, particularly for small and medium-sized businesses. This study aims to provide guidelines for the successful growth of interior contractor businesses. A sample of 500 company executives who reported profits for three consecutive years was used to collect quantitative data. Data collection utilised a structured online questionnaire administered to randomly sampled respondents. The data was analysed using structural equation modelling (SEM) to identify the key guidelines for the successful development of interior contractor businesses. The findings revealed four essential aspects for successful business development: 1) Servitization ( = 4.17) emphasizes honesty, integrity, sincerity, and reliability in serving customers. 2) Resource Management ( =  4.13) includes effective planning, communication, coordination, follow-up, and verification. 3) Product Development ( = 4.01) focused on selecting high-quality materials and avoiding defects. 4) Business Alliance ( = 3.91) involves networking with legal teams for ethical business operations.  The study revealed no significant disparity in overall success rates between small and medium-sized interior contractor businesses. There was a notable disparity in service size between the two business sizes, with statistical significance at the 0.05 level. The study's structural equation model demonstrated good alignment with the data and met the evaluation criteria. A chi-square probability value of 0.071, a relative chi-square of 1.165, a goodness-of-fit index of 0.963, and a root mean square error of approximation of 0.018 demonstrated this. The statistical significance threshold was set at P < 0.05.

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Published

2023-11-23