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How to Transform a Local Infrastructure Player into a Leading Multinational

Infrastructure is local puttygen download windows , but a multinational mindset is the key to success.

To succeed in international markets, infrastructure construction companies have to think local. After all, infrastructure is by nature local: Every market has unique legal requirements; every job requires new contracts; assets (including land, labor, machinery, and materials) almost always must be acquired locally; and different subcontractors will be needed for every job.

In this environment, infrastructure companies need organizations and business models that are adaptable enough to master relationships with local regulatory bodies, control local supply markets, and understand local requirements-even when they widely vary by country.

They must become truly multinational-creating the right mix of global standardization and local adaptability to improve operations, reduce risks, increase profitability, and ensure greater growth.
The Global Infrastructure Market

To study the global infrastructure construction market, we looked at the international revenues of companies grouped by their country of origin. Some multibillion-dollar companies dominate the market, led by Chinese companies, which generate nearly $95 billion in international sales per year. They are followed by Spanish infrastructure companies and French players.

Where these biggest players get their revenues varies, with Chinese firms generating 15 percent of their business outside of China, while Spanish companies’ international projects make up to 80 percent of their sales.2 It’s little surprise that how players perform within a country depends largely on how geographically or culturally close they are to that region, with for example Spanish players being more focused in Latin America and Chinese players in other Asian markets.