1.5 Services - Quantity Surveying
1.5 Services - Quantity Surveying
1.5 Services - Quantity Surveying
Justification: Quantity surveyors firm has provide services such as cost analysis, cost
estimate, value management, cost planning and others. Example for the Quantity Surveying
firm is Unitech QS Consultancy Sdn. Bhd, Kuantibina Sdn. Bhd, Northcroft Sdn. Bhd, JUB
Qs Sdn Bhd and others.(Study, 2013)
These firm have same similarity which is categories as pure competition. Pure
competition is a term that describes a market that has a broad range of competitors who are
selling the same products or giving the same services. According to Board of Quantity
Surveyors Malaysia, in 2016 there is more than 1000 Quantity Surveyors firm provide services
in Malaysia. This show that QS firm is a pure competition as it has more than 100 firm in
Malaysia.According to my research Qs firm is a price taker as they have to follow the market
price and can exert no influence on price.Each firm has to follow the professional fee fix by
professional body when provide services to clients.If they do not follow the market price,
clients will go to another Qs firm which is follow the market price. In pure competition, each
firm have standardizes services or product. They also provide the same services to clients such
as value determination, cost consulting, risk management and calculation, tender analysis and
agreement of the contract sum and others. If they don't have standardized services or product,
they might change from pure competition to oligopoly or they will lose some clients. According
to the Broad Of Quantity surveyors Malaysia, Qs firm has no legal barrier. Therefore, these
firm can free entry and exit. If there is legal barrier, government is the one that give license to
company. There are no significant barriers that prevent firms from entering or leaving the
industry. So that new companies can easily enter or leaving the market. (Investopia, 2009)
Reference:
Study, 2013.Pure Competition Definition Characteristics Examples [Online]
Available at: http://study.com/academy/lesson/pure-competition-definition-
characteristics-examples.html [Accessed 24 Mar 2017]
Aiqs, 2010. What Is Qs [Online] Available at:
http://www.aiqs.com.au/imis/aiqs_website/about/what_is_a_qs_/aiqs_website/about/
what_is_a_qs_.aspx?hkey=75 [Accessed 24 Mar 2017]
Designing building, 2012 What Is Qs [online] Available at:
https://www.designingbuildings.co.uk/w/index.php?title=Special%3ASearch&search
=what+is+qs&title=Special%3ASearch&redirs=1[Accessed 24 Mar 2017]
Investopia, 2009 [online]
Available at: http://www.investopedia.com/terms/p/perfectcompetition.asp [Accessed
24 Mar 2017]