Strategic analysis of green building industry using pestel

Since Turkey has not any green building evaluation system of its own, outsourced evaluation systems, mainly LEED and BREEAM, are preferred in the green building sector. The evaluation systems used reflect the standards of their own country due to their foreign origin. When the mentioned evaluation systems are applied in Turkey, adaptation problems arise. In this thesis, a questionnaire consisting of 11 questions was applied to 32 professionals, who have LEED credentials, for evaluating the importance and effectiveness of certain factors in order to overcome the adaptation process. Through the literature review, 30 sub-factors including political, economic, social, technological, environmental, and legal factors, which are the main factors of PESTEL analysis, were identified. A total of 6 main and 30 sub-factors were assessed via questionnaires to LEED certified industrial practitioners to determine the importance level and the current impact level. The "Relative Importance Index" (RII) method was applied to the answers given to the questionnaire. Within the 6 factor groups affecting the green building industry, environmental factors have the highest level of importance, according to the survey results. Environmental factors were followed by technological, legal, political, social, and economic factors, respectively. Top ten factors in the overall ranking according to the degree of importance of the sub-factors are as follows: (i) energy supply and efficiency, (ii) environmental practices in local, national, and international level, (iii) ecological sustainability, (iv) environmental regulations, (v) subsidies(vi) the presence of qualified construction contractors, (vii) the perception on the quality of life (comfort), (viii) the presence of qualified construction materials, (ix) waste management during operation, and (x) advanced technology (automation) opportunities. Top ten factors in the overall ranking of the sub-factors according to the current level of impact are as follows: (i) environmental regulations, (ii) subsidies, (iii) environmental practices in local, national, and international level, (iv) energy supply and efficiency, (v) the presence of qualified construction contractors, (vi) foreign exchange rates, (vii) the perception on the quality of life (comfort), (viii) real estate prices, (ix) interest rates, and advanced technology (automation) opportunities. The sectoral analysis of the external environment in this thesis reveals the deficiencies in the important dynamics of the green building sector and thereby the general opinion of the industrial professionals, and supports the possible academic works to be done thereafter.