According to Best and De Valence (25), there are certain determinants that characterize the form of the building that a client gets. Economic and legal requirements are by far the most compelling factors, but the other factors including technology, materials, functional and climatic factors affect the project. Client’s specifications on the building are based on the circumstances surrounding these factors. Risk distribution between the constructor and the client can be assessed for various projects to determine the impact that client type has on design and construction elements of a project. In the following three client types, study has been conducted to highlight the intricacies involved in the determination of risk distribution and the impact passed on to the entire project procedures. Three sectors of the industry have been chosen discussed in the section.
Domestic construction market is characterized by private ownership and individual preferences. The domestic building and construction market can further be divided to include various client types, for instance a family which needs a small house, medium and big home builders. First time builders and luxury house builders across the size demands of buildings are also observed in the market. The direct involvement of the client in the project is increased by the direct ownership factor which also increases accountability on the part of the client.
Due to the fact that the domestic housing competition is heightened by the slender barriers of entry of new competitors enables the clients to enjoy the benefits of a competitive market. Some of the benefits enjoyed include lowered costs and a variety of service providers to choose from, which enhances preference.
Such a diverse market features a variety of risk distribution, project duration, location preferences as well as and costing flexibility. The domestic market ...
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