REAL ESTATE DEVELOPMENT IN SINGAPORE : AN EXAMINATION WITH FOCUS ON THE STRATEGIC MANAGEMENT PROCESS

The Construction and Development Industry has always played an important role in the development of Singapore. In 1984, $11b was committed in construction works and property development. For a small economy like Singapore, this is a case of concern especially when this amount represents 63% of Gross Domestic Fixed Capital Formation (GDFCF). Hence, when the property market is grossly oversupplied resulting in a slump, the question as to what cuases the glut arises. This study provided some reasons for the glut such as an influx of developers, oversale of land by the government, no co-ordination between government and the private sector etc. A general profile of the private developer was also drawn up based on the survey results. From there, recommendations were made as to the long term measures to be adopted by the various parties involved in the hope of avoiding a similar adverse situation in the future. Briefly, it was suggested that a comprehensive and efficient network of data collection be set up so that market knowledge be disseminated effectively to decision makers to achieve the best results possible for the industry as a whole. The Strategic Management process was introduced, not as the ultimate solution to the problem, but as an example of systematic management approach in the development business. Developers should adopt the approach instead of relying on sentiments and guts feel to gauge the market, especially under the present changing business environment whereby a business could be engulfed by the turbulent environment without a trace of its once dominant contribution to the economy.

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• SNG KWANG GECK