Empirical comparison of critical success factors for public-private partnerships in developing and developed countries

Abstract

Purpose The purpose of this paper is to investigate the similarities and differences of critical success factors (CSFs) for public-private partnership (PPP) projects in developing and developed countries, using Ghana and Hong Kong as examples. Design/methodology/approach An empirical questionnaire survey was conducted with experienced PPP practitioners in Ghana and Hong Kong. Survey responses were analysed using Kendall’s concordance analysis, mean score ranking, quartile groupings analysis and Mann-Whitney U test. Findings The results indicate that a favourable legal and regulatory framework is very critical in both jurisdictions. Further, technology transfer, technological innovation, public/community participation and coordination and government providing financial support are of low importance in both jurisdictions. The non-parametric test shows that 16 CSFs are of different importance in Ghana and Hong Kong. Specifically, CSFs related to the socio-political and economic conditions of PPP projects are very critical in Ghana, whereas CSFs directly related to the organisation and relationship of PPP projects are very critical in Hong Kong. Originality/value The outputs of this study add to the international best practice framework for successful PPP implementation. Further, international private investors and governments who are yet to adopt the PPP concept would be considerably informed of the investment strategies to employ when engaging in PPP arrangements.

Social Responsibility Initiatives for Public-Private Partnership Projects: A Comparative Study between China and Ghana

“…The job opportunities will enable unemployed local residents to get some source of livelihood and therefore improve their standard of living. In fact, in some situations, the activities in the PPP project lifecycle may not necessarily need to provide jobs, but upon completion of the project, opportunities should be available for local residents to engage in commercial activities and enterprises [33]. The quality of service is also reported to be important in ensuring SR in PPPs [42,43].…”

“…Indeed, for the Chinese PPP market to be sustainable, the generation of more profits through efficient risk allocation is critical considering the amount of capital invested over the years. Although, Osei-Kyei and Chan [33] have indicated that profitability is a critical success measure in Ghana, it is not an important social responsibility factor in the Ghanaian context and this may be due to the limited amount of capital invested in the Ghanaian PPP market over the years, i.e., US$2.05 billion in 2016 [4]. Essentially, this amount of investment is not comparable to that of the Chinese PPP market.…”

“…The major reasons for this situation include the high cost of transaction, poor legal environment, lack of accountability, political interference, weak public institutional structures, high use of unsolicited proposals, and poor macroeconomic conditions [11,30]. Because of the many reported problems, the last decade has seen a large strand of research studies investigating how to deliver PPPs successfully (i.e., critical success factors for PPPs) [33]. Other studies have also focused on how risks could be shared and managed efficiently among project parties [17].…”

Towards Sustainable Infrastructure Development: Drivers, Barriers, Strategies, and Coping Mechanisms

“…Barriers Table 3 shows the results of the Kendall's concordance analysis for the barriers and drivers at the pre-defined significance test value of 0.05. To establish whether they were any agreement and consistency of responses around the seven drivers for SID implementation, the Kendall's concordance analysis at a pre-defined test value of 0.05 was undertaken [52]. The W values obtained for the 'drivers' and 'barriers' were 0.294 and 0.018, with significance values of 0.000 and 0.455, respectively.…”

Private‐sector partner selection for public‐private partnership projects of electric vehicle charging infrastructure

“…Some earlier studies focused on the importance of the lowest tender price to win a contract . Studies have also acknowledged that a long‐term relationship and partnership is one of the main success criteria for infrastructure development . examined factors such as profitability and project experience in the context of the Chinese PPP experience.…”