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The construction programmes of developing countries have constituted a significant part of the international construction market. However, while international contractors seek to exploit these opportunities, the host nations also wish to develop their construction industries over time. This paper shows how conflicting objectives of international contractors and host countries can be correlated for mutual benefit. It outlines strategies adopted by international construction enterprises and contrasts the approaches they adopt in industrialised countries with those in developing ones. It then compares the objectives of international construction enterprises to those of host countries. It uses Singapore's experience to illustrate likely future developments in the construction industries of emerging countries. Finally, it offers suitable approaches that international and local construction enterprises, and governments, should adopt at various stages of development of host countries' construction industries.

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