Many market analysts foresee a rising trend in the real estate and construction industries in the coming years, but not much has been said about non-residential construction projects.
A comprehensive study on the financial uplift of the non-residential construction sector was recently released by Fast Market Research, stating that the industry forecast is bound to escalate in revenue by more than 20 percent between 2013 and 2018.
Estimated earnings in 2013 amounted to $298.7 billion, but construction industry experts expect a boost in revenue as the years go by. Ultimately, the expected total revenue when 2018 comes to a close is $363.2 billion, based on a compound annual growth rate of 4 percent.
According to the released report, the non-residential construction industry has been on its toes with a lot of factors, primarily “steep exit and operating costs, high-value contracts, and the presence of large, international incumbents.” These challenges may drive construction companies to improve their expenditures and systems, thereby resulting in better services and an overall boost to the non-residential construction economy.
The study was conducted in line with industry standards for assessing growth of the non-residential construction sector:
The report was focused on the non-residential sector of construction, which includes structures for “retail, commercial, manufacturing, and educational purposes.” Civil engineering projects and residential works were not included in the scope of the study. Meanwhile, the full report contains comprehensive information about market trends involving the non-residential construction industry, market size data, trend analysis through graphs and charts, and the profiles of leading companies competing within the market.
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