Game-theoretic analysis of blockchain-enabled subcontracting model in construction projects
Blockchain-enabled subcontracting model has been developed to address the issue of bid shopping in construction projects. However, the impact of this blockchain application on the decision-making of project stakeholders and its economic outcomes has not been thoroughly examined. This study establish...
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| Format: | Article |
| Language: | English |
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ELS Publishing (ELSP)
2024-12-01
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| Series: | Blockchain |
| Subjects: | |
| Online Access: | https://elsp-homepage.oss-cn-hongkong.aliyuncs.compaper/journal/open/BC/2024/Blockchain20240009.pdf |
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| _version_ | 1849338797690454016 |
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| author | Jong Han Yoon Pardis Pishdad |
| author_facet | Jong Han Yoon Pardis Pishdad |
| author_sort | Jong Han Yoon |
| collection | DOAJ |
| description | Blockchain-enabled subcontracting model has been developed to address the issue of bid shopping in construction projects. However, the impact of this blockchain application on the decision-making of project stakeholders and its economic outcomes has not been thoroughly examined. This study establishes a game-theoretic framework to evaluate the economic implications of stakeholders' behaviors in the construction project subcontracting process. Utilizing this framework, the study investigates how the blockchain-enabled subcontracting model influences stakeholders’ decision-making and economic outcomes when compared to the traditional subcontracting model. The findings of this examination indicate that the blockchain application can effectively reduce opportunistic behaviors, leading to mutually beneficial outcomes for the stakeholders. This outcome contributes to the existing knowledge by 1) elucidating the practical implications of blockchain-based subcontracting models in the construction industry, bridging the gap between new technological applications and industry practices, and 2) illustrating that blockchain technology promotes ethical decision-making among General Contractors (GC) and Subcontractors (Subs) during the subcontracting process, ultimately improving quality and profitability by reducing the risks of claims and disputes. |
| format | Article |
| id | doaj-art-a6f52e9870e746b8ba7cef7bc62e4521 |
| institution | Kabale University |
| issn | 2959-1260 2958-8138 |
| language | English |
| publishDate | 2024-12-01 |
| publisher | ELS Publishing (ELSP) |
| record_format | Article |
| series | Blockchain |
| spelling | doaj-art-a6f52e9870e746b8ba7cef7bc62e45212025-08-20T03:44:18ZengELS Publishing (ELSP)Blockchain2959-12602958-81382024-12-012210.55092/blockchain202400091833519549603041280Game-theoretic analysis of blockchain-enabled subcontracting model in construction projectsJong Han Yoon0Pardis Pishdad1Nieri Department of Construction, Development and Planning, College of Art, Architecture and Construction, Clemson University, Clemson, SC, USASchool of Building Construction, College of Design, Georgia Institute of Technology, Atlanta, GA, USABlockchain-enabled subcontracting model has been developed to address the issue of bid shopping in construction projects. However, the impact of this blockchain application on the decision-making of project stakeholders and its economic outcomes has not been thoroughly examined. This study establishes a game-theoretic framework to evaluate the economic implications of stakeholders' behaviors in the construction project subcontracting process. Utilizing this framework, the study investigates how the blockchain-enabled subcontracting model influences stakeholders’ decision-making and economic outcomes when compared to the traditional subcontracting model. The findings of this examination indicate that the blockchain application can effectively reduce opportunistic behaviors, leading to mutually beneficial outcomes for the stakeholders. This outcome contributes to the existing knowledge by 1) elucidating the practical implications of blockchain-based subcontracting models in the construction industry, bridging the gap between new technological applications and industry practices, and 2) illustrating that blockchain technology promotes ethical decision-making among General Contractors (GC) and Subcontractors (Subs) during the subcontracting process, ultimately improving quality and profitability by reducing the risks of claims and disputes.https://elsp-homepage.oss-cn-hongkong.aliyuncs.compaper/journal/open/BC/2024/Blockchain20240009.pdfblockchainbid shoppingconstructiongame theorysmart contractsubcontracting |
| spellingShingle | Jong Han Yoon Pardis Pishdad Game-theoretic analysis of blockchain-enabled subcontracting model in construction projects Blockchain blockchain bid shopping construction game theory smart contract subcontracting |
| title | Game-theoretic analysis of blockchain-enabled subcontracting model in construction projects |
| title_full | Game-theoretic analysis of blockchain-enabled subcontracting model in construction projects |
| title_fullStr | Game-theoretic analysis of blockchain-enabled subcontracting model in construction projects |
| title_full_unstemmed | Game-theoretic analysis of blockchain-enabled subcontracting model in construction projects |
| title_short | Game-theoretic analysis of blockchain-enabled subcontracting model in construction projects |
| title_sort | game theoretic analysis of blockchain enabled subcontracting model in construction projects |
| topic | blockchain bid shopping construction game theory smart contract subcontracting |
| url | https://elsp-homepage.oss-cn-hongkong.aliyuncs.compaper/journal/open/BC/2024/Blockchain20240009.pdf |
| work_keys_str_mv | AT jonghanyoon gametheoreticanalysisofblockchainenabledsubcontractingmodelinconstructionprojects AT pardispishdad gametheoreticanalysisofblockchainenabledsubcontractingmodelinconstructionprojects |