Markets Within The Construction Industry

1653 Words4 Pages

In task one I have to explain the different markets within the construction industry. I will use national statistics as a source of raw data.

In task two I will describe the four main economic resources needed to enable a construction project to start, looking at the scenario I will be writing as a junior quantity surveyor to the manager and will basically describe the requirements to enable a construction project to start.

In task three I will analyse the different types of finance available for a typical construction project, including the different conditions and terms which have been imposed by the provider. This will entail researching leading banks and finance providers, with regard to their requirements and conditions.

In task four I will resarch leading compnies and provide information on different sources with respect to their terms and conditions.

TASK 1 P2

Capital markets: Capital markets are where buyers and sellers involve with trade of financial securities and they have a pledge, which is called bonds and stocks. Capital markets involve in lending/borrowing money on a longer time basis and involve investors to invest and keep it secured. All the financial transactions are between users of funds and suppliers of funds.

Commodity Markets: Commodity markets are where every supply is controlled by the government and they decide what products and services are needed. They also decide when and how to distribute it. Commodity markets actually help and work to obtain the actual products, such as working in a farm and growing food, also like going out to the sea and pumping oil from the ground, these are all commodity markets unlike the manufactured products where different techniques are used to obtain the ...

... middle of paper ...

...s that his money might not be repaid back if the business fails.

Shares: preference shares offer their owners preferences over normal shareholders. The difference between the ordinary and the preferred shares is that the preferred shares get the allowed to a fixed payment while ordinary shares don’t. But preference shareholders don’t get to vote in general meetings.

Investments: it’s the purchase of an item that will make more money in the future. An investment will require a good explanation on the business which is being build, as well as the lender is going to take a percentage of that business. For example someone who wanted to build a construction project but he needed £ 100000 he goes to another business man to tell him about his project and if he accepts he gets the money on one condition and that is the lender will take a 30% of the construction project.

Open Document