Factors affecting construction equipment acquisition methods in Malaysia

Purchasing with cash, financing through a loan, renting and leasing are four most common ways for Construction Equipment Acquiring (CEA). For having the best result in profit for a construction industry choosing the best alternative for obtaining equipment is one of the most important issues. The optimum acquisition strategy comes from accurate estimates of revenues and cost and also some non-financial factors that affect the choosing specific acquisition mode. The purpose of this report is to identify these factors. To achieve the research objective, a wide literature review has conducted. As mentioned before, two categories of factors participate in construction equipment acquisition. Financial factors are identified through different literatures. Non-financial factors are mostly experimental and cannot be identified using literatures. For recognizing these factors a semi structured interview has conducted with construction professionals. The result of this study can be used for construction manager to make a better decision in CEA.