Whilst mature markets such as the UK and Europe face tough market conditions characterised by a tightening of fiscal policies, low consumer spending and inflation fears; the emerging economies, led by Brazil, Russia, India and China, will continue to experience rapid growth as population pressures drive demand for investment in the built environment.  Add in other factors such as inflation, increased commodity prices and low interest rates and there is much for construction companies to consider as they look to secure competitive edge and address the condition prevailing in the industry.

The charter, co-written by Máren Baldauf-Cunnington and Michael Hubbard, construction economists at Davis Langdon, outlines what the global economy has in store for the construction industry and how companies can prepare for another tough year ahead. It outlines key themes, the likely performance of the economy and directing the spotlight on fundamental trends, events and associated risks in 2011.

Máren comments: “2011 will be a disjointed year for growth in the global construction industry. We will once again see a tightening of finances and migration by companies looking to gain from stronger recovery in emerging markets. The focus on existing assts will be just as important as last year as companies look to maximise the use of their current portfolios to drive down costs”.

“With growth in the year ahead looking to come, in the main, from emerging markets, and a probable retrenchment of mature economies, organisations may want to consider alternative routes to gain work in those regions that offer the most growth. In short, it is imperative that organisations are resourceful and adaptable in order to make the most of current market opportunities and succeed in these challenging times.

To read the 10-point charter in full entitled ‘Key issues for the economy and construction in 2011’ please click on the link to the left.