Effect of Recession and Demonetization on Construction Industry

This dissertation report presents the work related to the effect of recession and demonetization on construction industry. In India, construction is the second largest industry after agriculture. Construction output as % of GDP is 7.2% .35 million people which are 16% of working population in India work in construction industry. The financial and economic crisis has affected many sectors, and also the construction sector. Economic downturns generally disrupt the employment landscape and lead to economic restructuring. This study aims to study the consequences of economic slowdown on construction industry and to analyze various strategic initiatives taken by different construction firms to combat such times and to come out with remedial tactics in the form of conclusion which can be referred by construction firms to sail smoothly in the grave situation of economic downturn. The questionnaire is prepared based on the factors affected, that were obtained from the literature survey. The questionnaire consists of totally 24 questions. Questionnaire was distributed to various construction companies through mail and in personal and the responses were recorded and analyzed.