Investigating key drivers for contract termination in construction projects in the gaza strip

Abstract EN

The construction industry is considered the economical backbone in many countries overall the world.

It has unique characteristics that sharply distinguish it from other sectors.

The fragmental characteristics and high sensitivity to the economic and political environment make this industry influenced significantly to the of business failure.

One of the key drivers to the construction projects failures is the occurrence of contract termination.

This phenomenon will negatively affect the sustainability of the construction projects and is expected to cause loss in time, cost and efforts for all parties operating in the construction projects.

The aim of this study is to investigate the key drivers for contract termination in the construction projects in the Gaza strip.

The research is extended to provide the critical success factors (CSF's) leading the occurrence of contracts termination.

Highlighting these factors is expected to mitigate the barriers affecting projects success and sustainability.

The objective of this research was investigated throughout a postal questionnaire.

Fifty one (51) contractors operating in the construction industry in the Gaza strip and classified under the five building categories i.e.

(1st, 2nd, 3rd, 4th, and 5th) were covered.

The questionnaire was structured and designed based on the related literatures, pilot study and the actual terminated cases arising from special conditions in the Gaza Strip.

The results show that the political related factors and clients' related factors like (Israel invasion, Imposed closure at Gaza Strip, clients insolvent, clients' bad financial situation, and location of some projects at hot regions) were shown as a part of the critical drivers for contract termination in construction projects.

The findings in this research provide practical recommendations for clients operating in the construction projects to exert huge efforts to attain internal continuous improvement.

The study also provides an alarm to the world community to break the siege at the Gaza strip.

All parties operating in this industry expected to benefit from these results.