NAICS Code 237310-02 - Contractors-Parking/Highway Improvement

Marketing Level - NAICS 8-Digit

Use Data For:

  • Direct Mailing
  • Emailing
  • Calling
  • Research

Includes Free Sample & Industry Report

Total Companies

3

100% Phone-Verified, NCOA Processed, Accurate Data

NAICS Code 237310-02 Description (8-Digit)

Contractors-Parking/Highway Improvement is a subdivision of the Highway, Street, and Bridge Construction industry that specializes in the construction and improvement of parking lots and highways. This industry involves a range of activities, including the installation of new parking lots and highways, as well as the repair and maintenance of existing ones. Contractors in this industry work on projects of varying sizes, from small parking lots to large highways.

Hierarchy Navigation for NAICS Code 237310-02

Tools

Tools commonly used in the Contractors-Parking/Highway Improvement industry for day-to-day tasks and operations.

  • Asphalt paver
  • Concrete mixer
  • Backhoe
  • Bulldozer
  • Excavator
  • Grader
  • Roller compactor
  • Trowel machine
  • Jackhammer
  • Concrete saw
  • Surveying equipment
  • Traffic cones
  • Safety vests
  • Hard hats
  • Gloves
  • Safety glasses
  • Shovels
  • Rakes
  • Wheelbarrows
  • Power drills

Industry Examples of Contractors-Parking/Highway Improvement

Common products and services typical of NAICS Code 237310-02, illustrating the main business activities and contributions to the market.

  • Parking lot construction
  • Highway resurfacing
  • Road widening
  • Bridge repair
  • Installation of guardrails
  • Construction of medians
  • Installation of traffic signals
  • Roadway drainage improvements
  • Installation of street lighting
  • Construction of bike lanes

Certifications, Compliance and Licenses for NAICS Code 237310-02 - Contractors-Parking/Highway Improvement

The specific certifications, permits, licenses, and regulatory compliance requirements within the United States for this industry.

  • OSHA 10-Hour Construction Certification: This certification is required for all construction workers and supervisors in the US. It covers safety and health hazards in the construction industry. The certification is provided by the Occupational Safety and Health Administration (OSHA).
  • National Institute for Certification In Engineering Technologies (NICET): This certification is for engineering technicians in the highway construction industry. It covers areas such as materials testing, construction inspection, and surveying. The certification is provided by the National Society of Professional Engineers (NSPE).
  • American Concrete Institute (ACI) Certification: This certification is for concrete technicians and inspectors. It covers areas such as concrete testing, mixing, and placement. The certification is provided by the American Concrete Institute (ACI).
  • National Highway Institute (NHI) Certification: This certification is for professionals in the highway construction industry. It covers areas such as construction inspection, materials testing, and safety. The certification is provided by the National Highway Institute (NHI).
  • Professional Traffic Operations Engineer (PTOE) Certification: This certification is for professionals in the traffic engineering industry. It covers areas such as traffic signal design, traffic flow analysis, and safety. The certification is provided by the Institute of Transportation Engineers (ITE).

History

A concise historical narrative of NAICS Code 237310-02 covering global milestones and recent developments within the United States.

  • The Contractors-Parking/Highway Improvement industry has a long history of providing essential services to communities worldwide. The earliest recorded highway construction dates back to ancient Egypt, where roads were built to connect cities and facilitate trade. In the United States, the first paved road was built in 1893 in Bellefontaine, Ohio. The industry has since grown and evolved, with notable advancements such as the introduction of asphalt as a paving material in the early 20th century and the development of the interstate highway system in the 1950s. In recent years, the industry has seen a focus on sustainability and the use of recycled materials in construction projects. In the United States, the Contractors-Parking/Highway Improvement industry has faced challenges in recent history, such as the 2008 recession and the subsequent decrease in government funding for infrastructure projects. However, the industry has also seen growth and innovation, with the use of technology to improve project efficiency and safety. For example, the use of drones for surveying and mapping has become increasingly common in the industry. Additionally, there has been a focus on improving sustainability and reducing the environmental impact of construction projects through the use of green infrastructure and sustainable materials. Overall, the Contractors-Parking/Highway Improvement industry has a rich history and continues to play a vital role in the development and maintenance of infrastructure worldwide.

Future Outlook for Contractors-Parking/Highway Improvement

The anticipated future trajectory of the NAICS 237310-02 industry in the USA, offering insights into potential trends, innovations, and challenges expected to shape its landscape.

  • Growth Prediction: Stable

    The future outlook for the Contractors-Parking/Highway Improvement industry in the USA is positive. The industry is expected to grow in the coming years due to the increasing demand for infrastructure development and maintenance. The government's focus on improving the country's transportation infrastructure, including highways, bridges, and parking facilities, is expected to drive the growth of this industry. Additionally, the increasing need for sustainable and eco-friendly infrastructure is expected to create new opportunities for the industry. The industry is also expected to benefit from the adoption of new technologies and innovations, such as the use of drones for surveying and inspection, and the use of 3D printing for construction. Overall, the Contractors-Parking/Highway Improvement industry is expected to experience steady growth in the coming years.

Industry Innovations for NAICS Code 237310-02

Recent groundbreaking advancements and milestones in the Contractors-Parking/Highway Improvement industry, reflecting notable innovations that have reshaped its landscape.

  • Smart Highways: Smart highways are equipped with sensors and other technologies that can monitor traffic flow, detect accidents, and provide real-time information to drivers. This technology is being used in several states across the US, including California, Colorado, and Michigan, to improve safety and reduce congestion on highways.
  • Self-Healing Concrete: Self-healing concrete is a new technology that can repair cracks in concrete automatically. This technology is being developed by several companies in the US, including BASF and CEMEX, and has the potential to reduce maintenance costs and increase the lifespan of concrete structures.
  • Solar Roadways: Solar roadways are roads that are made of solar panels, which can generate electricity and provide lighting for the road. This technology is being developed by several companies in the US, including Solar Roadways and Colas, and has the potential to reduce energy costs and promote sustainability.
  • Automated Construction Equipment: Automated construction equipment, such as autonomous bulldozers and excavators, are being developed by several companies in the US, including Caterpillar and Komatsu. This technology has the potential to increase efficiency and reduce labor costs in the construction industry.
  • 3D Printing: 3D printing is being used in the construction industry to create complex structures and components. This technology is being developed by several companies in the US, including Contour Crafting and Winsun, and has the potential to reduce construction time and costs.

Required Materials or Services for Contractors-Parking/Highway Improvement

This section provides an extensive list of essential materials, equipment and services that are integral to the daily operations and success of the Contractors-Parking/Highway Improvement industry. It highlights the primary inputs that Contractors-Parking/Highway Improvement professionals rely on to perform their core tasks effectively, offering a valuable resource for understanding the critical components that drive industry activities.

Equipment

Asphalt Pavers: Machines that lay asphalt on roads and parking lots, ensuring a smooth and even surface that is critical for vehicle safety and comfort.

Concrete Mixers: Machines that combine cement, water, and aggregates to produce concrete, essential for creating durable surfaces in construction projects.

Dump Trucks: Vehicles designed to transport loose materials such as gravel, sand, and asphalt, essential for delivering materials to construction sites efficiently.

Excavators: Heavy machinery used for digging and moving earth, crucial for preparing sites for new parking lots and highway construction.

Hydraulic Breakers: Tools used to break up concrete and asphalt surfaces, facilitating repairs and renovations of existing parking lots and highways.

Rollers: Compaction equipment that compresses soil, asphalt, or gravel to create a stable base for parking lots and highways, ensuring durability and longevity.

Traffic Control Devices: Signs, cones, and barriers used to manage traffic flow during construction, ensuring safety for workers and the public while projects are underway.

Traffic Signal Systems: Automated systems that control traffic flow at intersections, essential for managing vehicle movement during and after construction projects.

Material

Bitumen: A viscous material used in the construction of roads and parking lots, providing waterproofing and binding properties essential for durability.

Concrete: A versatile construction material used for paving and creating durable surfaces for parking lots and highways, known for its strength and longevity.

Geotextiles: Synthetic fabrics used to improve soil stability and drainage in construction projects, enhancing the longevity of parking lots and highways.

Gravel: A fundamental material used for creating stable foundations for parking lots and highways, providing drainage and support for the surface layer.

Pavement Marking Paint: Specialized paint used to create lane markings and other road signs, vital for ensuring safety and organization on newly constructed highways.

Reinforcing Steel Bars (Rebar): Steel bars used to reinforce concrete structures, providing additional strength and support for parking lots and highway surfaces.

Sealants: Products applied to asphalt and concrete surfaces to protect against weathering and wear, extending the life of parking lots and highways.

Service

Environmental Impact Assessments: Services that evaluate the potential environmental effects of construction projects, ensuring compliance with regulations and promoting sustainable practices.

Project Management Services: Services that oversee the planning, execution, and completion of construction projects, ensuring they are delivered on time and within budget.

Safety Training Programs: Training services that educate workers on safety protocols and practices, crucial for maintaining a safe working environment on construction sites.

Soil Testing Services: Professional analysis of soil properties to determine its suitability for construction, ensuring that the foundation for parking lots and highways is stable.

Surveying Services: Professional services that provide accurate measurements and mapping of land, essential for planning and executing construction projects effectively.

Products and Services Supplied by NAICS Code 237310-02

Explore a detailed compilation of the unique products and services offered by the Contractors-Parking/Highway Improvement industry. This section provides precise examples of how each item is utilized, showcasing the diverse capabilities and contributions of the Contractors-Parking/Highway Improvement to its clients and markets. This section provides an extensive list of essential materials, equipment and services that are integral to the daily operations and success of the Contractors-Parking/Highway Improvement industry. It highlights the primary inputs that Contractors-Parking/Highway Improvement professionals rely on to perform their core tasks effectively, offering a valuable resource for understanding the critical components that drive industry activities.

Service

Asphalt Overlay Services: Asphalt overlay involves placing a new layer of asphalt over existing pavement to improve its condition and extend its life. This service is commonly used to enhance the surface of parking lots and highways, providing a cost-effective solution for maintenance.

Concrete Curb and Gutter Installation: This service includes the installation of concrete curbs and gutters to manage water runoff and define parking lot boundaries. Properly installed curbs and gutters are essential for maintaining the integrity of paved surfaces and ensuring effective drainage.

Drainage System Installation: Installing drainage systems in parking lots and highways is crucial for preventing water accumulation and damage. Effective drainage solutions protect the integrity of the surface and enhance safety for users by minimizing hazards associated with standing water.

Highway Construction: The construction of highways includes extensive planning and execution, involving earthwork, paving, and installation of safety features. This service is crucial for improving transportation networks, facilitating smoother traffic flow, and enhancing connectivity between regions.

Highway Repair Services: Repair services focus on fixing damaged sections of highways, including pothole filling and surface patching. This is vital for ensuring road safety and prolonging the life of highway infrastructure, ultimately benefiting daily commuters and transport services.

Parking Lot Construction: This service involves the design and construction of new parking lots, ensuring proper drainage, surface materials, and layout to accommodate vehicles efficiently. Customers benefit from well-structured parking areas that enhance accessibility and maximize space utilization.

Parking Lot Resurfacing: Resurfacing involves applying a new layer of asphalt or concrete to existing parking lots, improving their appearance and extending their lifespan. This service is essential for maintaining safe and attractive parking facilities, which can increase property value and customer satisfaction.

Pavement Marking Services: This service involves applying paint or thermoplastic materials to mark lanes, parking spaces, and directional arrows on paved surfaces. Clear pavement markings are essential for guiding drivers and ensuring orderly traffic flow in parking lots and on highways.

Site Preparation Services: Before construction begins, site preparation services involve clearing, grading, and leveling the land to create a suitable foundation for parking lots and highways. This foundational work is critical for ensuring the durability and stability of the finished surfaces.

Traffic Control Installation: This service includes the installation of traffic signals, signs, and barriers to manage vehicle flow and enhance safety on highways and parking lots. Proper traffic control is essential for preventing accidents and ensuring smooth transportation.

Comprehensive PESTLE Analysis for Contractors-Parking/Highway Improvement

A thorough examination of the Contractors-Parking/Highway Improvement industry’s external dynamics, focusing on the political, economic, social, technological, legal, and environmental factors that shape its operations and strategic direction.

Political Factors

  • Infrastructure Investment Policies

    Description: Government policies regarding infrastructure investment significantly influence the Contractors-Parking/Highway Improvement industry. Recent federal initiatives aimed at improving transportation infrastructure, including highways and parking facilities, have allocated substantial funding to support these projects across the United States.

    Impact: These policies can lead to increased project opportunities for contractors, enhancing revenue streams and job creation within the industry. However, reliance on government funding can create uncertainty, particularly if political priorities shift or budgets are cut, impacting long-term planning and investment decisions.

    Trend Analysis: Historically, infrastructure investment has fluctuated with political administrations, but recent bipartisan support suggests a stable upward trend in funding for infrastructure projects. Future predictions indicate continued investment, driven by the need for modernization and economic recovery, with a high level of certainty regarding its impact on the industry.

    Trend: Increasing
    Relevance: High
  • Regulatory Framework for Construction

    Description: The regulatory environment governing construction practices, including safety standards and environmental regulations, plays a crucial role in the operations of contractors in this industry. Recent updates to regulations have emphasized safety and sustainability in construction practices.

    Impact: Compliance with these regulations can increase operational costs and necessitate investments in training and technology. Non-compliance can lead to legal repercussions, project delays, and reputational damage, affecting competitiveness and profitability in the long run.

    Trend Analysis: The trend towards stricter regulatory frameworks has been increasing, with a high level of certainty regarding its future trajectory. This trend is driven by heightened public awareness of safety and environmental issues, necessitating proactive compliance strategies from industry operators.

    Trend: Increasing
    Relevance: High

Economic Factors

  • Economic Growth and Infrastructure Demand

    Description: The overall economic growth in the United States directly impacts the demand for parking and highway improvement projects. As the economy expands, there is typically an increase in vehicle ownership and usage, leading to greater demand for improved infrastructure.

    Impact: Economic growth can lead to increased funding for infrastructure projects, creating more opportunities for contractors. Conversely, economic downturns can result in budget cuts and reduced project availability, affecting revenue and employment within the industry.

    Trend Analysis: The trend of economic growth has shown variability, with recent recovery post-pandemic indicating a positive trajectory for infrastructure demand. Predictions suggest continued growth, supported by government initiatives and private investments, with a medium level of certainty regarding its impact on the industry.

    Trend: Increasing
    Relevance: High
  • Material Costs and Supply Chain Issues

    Description: Fluctuations in material costs, such as asphalt and concrete, significantly affect project budgets and profitability in the Contractors-Parking/Highway Improvement industry. Recent global supply chain disruptions have led to increased prices and availability challenges for essential materials.

    Impact: Rising material costs can squeeze profit margins and necessitate adjustments in project pricing and bidding strategies. Contractors may face challenges in maintaining project timelines and quality if materials are delayed or unavailable, impacting overall project success and client satisfaction.

    Trend Analysis: The trend of increasing material costs has been evident over the past few years, exacerbated by supply chain disruptions caused by the pandemic. Future predictions indicate potential stabilization as supply chains recover, but uncertainty remains regarding geopolitical factors that could influence costs, leading to a medium level of certainty.

    Trend: Decreasing
    Relevance: Medium

Social Factors

  • Urbanization and Population Growth

    Description: Increasing urbanization and population growth in the United States are driving demand for improved parking and highway infrastructure. As more people move to urban areas, the need for efficient transportation systems and adequate parking facilities becomes critical.

    Impact: This trend positively influences the industry, as contractors are tasked with developing and enhancing infrastructure to accommodate growing populations. Failure to meet these demands can lead to congestion and reduced quality of life, creating pressure on contractors to deliver timely and effective solutions.

    Trend Analysis: The trend of urbanization has been steadily increasing, with projections indicating continued growth in urban populations. The certainty of this trend is high, driven by demographic shifts and economic opportunities in urban centers, necessitating ongoing investment in infrastructure.

    Trend: Increasing
    Relevance: High
  • Public Awareness of Environmental Issues

    Description: There is a growing public awareness regarding environmental sustainability, which influences construction practices in the industry. Consumers and local communities are increasingly advocating for eco-friendly materials and practices in infrastructure projects.

    Impact: This awareness can lead to increased demand for sustainable construction practices, prompting contractors to adopt greener methods. However, transitioning to sustainable practices may involve higher initial costs and require changes in operational procedures, impacting project timelines and budgets.

    Trend Analysis: The trend towards environmental awareness has been on the rise, with a strong trajectory expected to continue. The certainty of this trend is high, supported by legislative changes and consumer advocacy for sustainable practices in construction.

    Trend: Increasing
    Relevance: High

Technological Factors

  • Advancements in Construction Technology

    Description: Technological advancements, such as Building Information Modeling (BIM) and automated machinery, are transforming the Contractors-Parking/Highway Improvement industry. These technologies enhance project planning, execution, and management, leading to improved efficiency and reduced costs.

    Impact: Investing in advanced technologies can provide contractors with a competitive edge, allowing for better project outcomes and client satisfaction. However, the initial investment in technology can be substantial, posing challenges for smaller contractors with limited resources.

    Trend Analysis: The trend towards adopting new construction technologies has been growing, with many contractors investing in modernization to stay competitive. The certainty of this trend is high, driven by the need for efficiency and cost-effectiveness in project delivery.

    Trend: Increasing
    Relevance: High
  • Digital Project Management Tools

    Description: The rise of digital project management tools has revolutionized how contractors manage projects, facilitating better communication, scheduling, and resource allocation. These tools have become essential for maintaining project timelines and budgets in a competitive environment.

    Impact: Utilizing digital tools can enhance operational efficiency and improve collaboration among project stakeholders. However, contractors must invest in training and technology to effectively implement these tools, which can be a barrier for some smaller firms.

    Trend Analysis: The trend of adopting digital project management solutions has shown consistent growth, with predictions indicating continued expansion as technology becomes more integrated into construction practices. The level of certainty regarding this trend is high, influenced by the increasing complexity of projects and the need for real-time data management.

    Trend: Increasing
    Relevance: High

Legal Factors

  • Construction Safety Regulations

    Description: Construction safety regulations are critical in the Contractors-Parking/Highway Improvement industry, ensuring worker safety and compliance with federal and state laws. Recent updates have emphasized stricter safety protocols and training requirements for construction workers.

    Impact: Compliance with safety regulations is essential for avoiding legal penalties and ensuring worker safety. Non-compliance can lead to accidents, project delays, and increased insurance costs, impacting overall project viability and contractor reputation.

    Trend Analysis: The trend towards stricter safety regulations has been increasing, with a high level of certainty regarding its future trajectory. This trend is driven by ongoing advocacy for worker safety and high-profile incidents that have raised awareness about construction site hazards.

    Trend: Increasing
    Relevance: High
  • Contractual Obligations and Liability

    Description: Contractual obligations and liability issues significantly impact the operations of contractors in this industry. Recent legal developments have highlighted the importance of clear contracts and liability clauses to mitigate risks associated with construction projects.

    Impact: Understanding and managing contractual obligations is crucial for minimizing legal risks and ensuring project success. Failure to adequately address these issues can lead to disputes, financial losses, and damage to contractor reputations, affecting long-term business sustainability.

    Trend Analysis: The trend of increasing scrutiny on contractual obligations has been evident, with a high level of certainty regarding its impact on the industry. This trend is driven by the complexity of construction projects and the need for clear agreements to protect all parties involved.

    Trend: Increasing
    Relevance: High

Economical Factors

  • Impact of Climate Change on Infrastructure

    Description: Climate change poses significant risks to infrastructure projects, including increased flooding, extreme weather events, and changing environmental conditions. These factors can affect the durability and longevity of constructed facilities, including highways and parking lots.

    Impact: The effects of climate change can lead to increased costs for retrofitting and maintaining infrastructure, impacting project budgets and timelines. Contractors may need to invest in adaptive strategies and technologies to mitigate these risks, affecting long-term sustainability and operational efficiency.

    Trend Analysis: The trend of climate change impacts is increasing, with a high level of certainty regarding its effects on infrastructure. This trend is driven by scientific consensus and observable changes in weather patterns, necessitating proactive measures from industry stakeholders.

    Trend: Increasing
    Relevance: High
  • Sustainability in Construction Practices

    Description: There is a growing emphasis on sustainability within the construction industry, driven by consumer demand for environmentally friendly practices. This includes the use of sustainable materials and methods that reduce environmental impact during construction.

    Impact: Adopting sustainable practices can enhance brand loyalty and attract environmentally conscious clients. However, transitioning to these practices may involve significant upfront costs and operational changes, which can be challenging for some contractors.

    Trend Analysis: The trend towards sustainability in construction has been steadily increasing, with a high level of certainty regarding its future trajectory. This shift is supported by consumer preferences and regulatory pressures for more sustainable construction methods.

    Trend: Increasing
    Relevance: High

Value Chain Analysis for NAICS 237310-02

An in-depth look at the Contractors-Parking/Highway Improvement industry's value chain, highlighting its role, key activities, and efficiency strategies, along with its unique value drivers and competitive strengths.

Value Chain Position

Category: Service Provider
Value Stage: Final
Description: Contractors in this industry operate as service providers focusing on the construction and improvement of parking lots and highways. They engage in various activities such as site preparation, paving, and maintenance, ensuring that infrastructure meets safety and quality standards.

Upstream Industries

Downstream Industries

  • Government Procurement
    Importance: Critical
    Description: Government agencies are significant customers for contractors, commissioning projects for public infrastructure improvements. The quality and timeliness of the work directly affect public safety and satisfaction, making this relationship vital.
  • Institutional Market
    Importance: Important
    Description: Educational institutions and large corporations often require parking lot construction and maintenance services. The contractors' ability to meet specific requirements and standards is crucial for maintaining these facilities.
  • Direct to Consumer
    Importance: Supplementary
    Description: Homeowners and small businesses may also seek contractors for parking lot installations or repairs. This relationship allows contractors to diversify their client base and enhance revenue streams.

Primary Activities

Inbound Logistics: Receiving and handling processes involve coordinating the delivery of materials such as asphalt and concrete, ensuring they meet quality specifications. Storage practices include maintaining materials in optimal conditions to prevent degradation. Quality control measures are implemented to verify that all materials meet industry standards, while challenges such as supply delays are managed through strategic planning and supplier relationships.

Operations: Core processes include site assessment, excavation, grading, paving, and finishing work. Quality management practices involve regular inspections and adherence to safety regulations. Industry-standard procedures include following local building codes and environmental regulations to ensure compliance and safety throughout the construction process.

Outbound Logistics: Distribution systems primarily involve the transportation of construction equipment and materials to job sites. Quality preservation during delivery is ensured through careful handling and scheduling to avoid delays. Common practices include using specialized vehicles for transporting heavy machinery and materials to maintain efficiency and safety.

Marketing & Sales: Marketing approaches often include bidding on government contracts, networking within the construction industry, and showcasing completed projects through portfolios. Customer relationship practices focus on building trust through transparency and reliability in service delivery. Sales processes typically involve detailed proposals and competitive bidding to secure contracts.

Support Activities

Infrastructure: Management systems in the industry include project management software that helps track progress, budgets, and timelines. Organizational structures often consist of project teams that facilitate collaboration and communication. Planning systems are crucial for scheduling construction activities and resource allocation effectively.

Human Resource Management: Workforce requirements include skilled labor for various construction tasks, with practices focusing on safety training and certification. Development approaches may involve ongoing training programs to keep workers updated on new technologies and safety protocols, ensuring a competent workforce.

Technology Development: Key technologies include advanced machinery for paving and grading, as well as software for project management and design. Innovation practices focus on adopting new construction techniques and materials that enhance efficiency and sustainability. Industry-standard systems often involve using Building Information Modeling (BIM) for project visualization and planning.

Procurement: Sourcing strategies involve establishing long-term relationships with reliable suppliers for materials and equipment. Supplier relationship management is crucial for ensuring timely delivery and quality assurance, while purchasing practices often emphasize cost-effectiveness and sustainability.

Value Chain Efficiency

Process Efficiency: Operational effectiveness is measured through project completion times and adherence to budgets. Common efficiency measures include tracking labor productivity and material usage to optimize costs. Industry benchmarks are established based on historical project performance and regional standards.

Integration Efficiency: Coordination methods involve regular communication between contractors, suppliers, and clients to ensure alignment on project timelines and quality expectations. Communication systems often include digital platforms for real-time updates on project status and resource availability.

Resource Utilization: Resource management practices focus on optimizing equipment usage and minimizing waste during construction. Optimization approaches may involve scheduling equipment use efficiently and implementing recycling practices for construction materials, adhering to industry standards for sustainability.

Value Chain Summary

Key Value Drivers: Primary sources of value creation include high-quality materials, skilled labor, and efficient project management. Critical success factors involve maintaining strong supplier relationships and delivering projects on time and within budget, enhancing contractor reputation.

Competitive Position: Sources of competitive advantage include the ability to secure government contracts and establish a reputation for quality work. Industry positioning is influenced by local market demand and regulatory requirements, impacting competitive dynamics.

Challenges & Opportunities: Current industry challenges include fluctuating material costs, labor shortages, and regulatory compliance. Future trends may involve increased demand for sustainable construction practices and smart infrastructure, presenting opportunities for contractors to innovate and expand their service offerings.

SWOT Analysis for NAICS 237310-02 - Contractors-Parking/Highway Improvement

A focused SWOT analysis that examines the strengths, weaknesses, opportunities, and threats facing the Contractors-Parking/Highway Improvement industry within the US market. This section provides insights into current conditions, strategic interactions, and future growth potential.

Strengths

Industry Infrastructure and Resources: The industry benefits from a robust infrastructure that includes specialized equipment, skilled labor, and established networks for project execution. This strong foundation enables efficient project delivery and enhances the ability to undertake large-scale construction and improvement projects.

Technological Capabilities: Technological advancements in construction methods and materials provide significant advantages. The industry is characterized by a moderate level of innovation, with companies adopting new technologies such as advanced paving techniques and project management software to enhance efficiency and quality.

Market Position: The industry holds a strong position within the construction sector, with a significant share in the highway and parking lot construction markets. Established relationships with government agencies and private sector clients contribute to its competitive strength, although competition from alternative service providers remains a challenge.

Financial Health: Financial performance across the industry is generally strong, with many companies reporting stable revenue growth and healthy profit margins. The financial health is supported by consistent demand for infrastructure improvements, although fluctuations in material costs can impact profitability.

Supply Chain Advantages: The industry enjoys well-established supply chain networks that facilitate efficient procurement of materials and equipment. Strong relationships with suppliers and subcontractors enhance operational efficiency, allowing for timely project completion and cost management.

Workforce Expertise: The labor force in this industry is skilled and experienced, with many workers possessing specialized training in construction techniques and safety protocols. This expertise contributes to high-quality project outcomes, although there is a continuous need for training to keep pace with evolving technologies.

Weaknesses

Structural Inefficiencies: Some companies face structural inefficiencies due to outdated equipment or suboptimal project management practices, leading to increased operational costs. These inefficiencies can hinder competitiveness, particularly when compared to more agile competitors.

Cost Structures: The industry grapples with rising costs associated with labor, materials, and compliance with safety regulations. These cost pressures can squeeze profit margins, necessitating careful management of pricing strategies and operational efficiencies.

Technology Gaps: While some companies are technologically advanced, others lag in adopting new construction technologies. This gap can result in lower productivity and higher operational costs, impacting overall competitiveness in the market.

Resource Limitations: The industry is vulnerable to fluctuations in the availability of key materials, particularly due to supply chain disruptions or regulatory changes. These resource limitations can disrupt project timelines and impact overall productivity.

Regulatory Compliance Issues: Navigating the complex landscape of construction regulations poses challenges for many companies. Compliance costs can be significant, and failure to meet regulatory standards can lead to penalties and reputational damage.

Market Access Barriers: Entering new markets can be challenging due to established competition and regulatory hurdles. Companies may face difficulties in gaining contracts or meeting local regulatory requirements, limiting growth opportunities.

Opportunities

Market Growth Potential: There is significant potential for market growth driven by increasing investments in infrastructure and urban development. The trend towards sustainable construction practices presents opportunities for companies to expand their offerings and capture new market segments.

Emerging Technologies: Advancements in construction technologies, such as automation and smart materials, offer opportunities for enhancing project efficiency and quality. These technologies can lead to increased productivity and reduced waste.

Economic Trends: Favorable economic conditions, including government spending on infrastructure and rising urbanization, support growth in the highway and parking improvement sectors. As cities expand, demand for improved transportation infrastructure is expected to rise.

Regulatory Changes: Potential regulatory changes aimed at promoting sustainable construction practices could benefit the industry. Companies that adapt to these changes by implementing green building practices may gain a competitive edge.

Consumer Behavior Shifts: Shifts in consumer preferences towards environmentally friendly and efficient transportation options create opportunities for growth. Companies that align their services with these trends can attract a broader customer base and enhance brand loyalty.

Threats

Competitive Pressures: Intense competition from both established firms and new entrants poses a significant threat to market share. Companies must continuously innovate and differentiate their services to maintain a competitive edge in a crowded marketplace.

Economic Uncertainties: Economic fluctuations, including inflation and changes in government spending, can impact demand for construction services. Companies must remain agile to adapt to these uncertainties and mitigate potential impacts on sales.

Regulatory Challenges: The potential for stricter regulations regarding construction practices and safety can pose challenges for the industry. Companies must invest in compliance measures to avoid penalties and ensure project safety.

Technological Disruption: Emerging technologies in construction, such as modular building and 3D printing, could disrupt traditional construction methods. Companies need to monitor these trends closely and innovate to stay relevant.

Environmental Concerns: Increasing scrutiny on environmental sustainability practices poses challenges for the industry. Companies must adopt sustainable practices to meet consumer expectations and regulatory requirements.

SWOT Summary

Strategic Position: The industry currently enjoys a strong market position, bolstered by robust demand for infrastructure improvements. However, challenges such as rising costs and competitive pressures necessitate strategic innovation and adaptation to maintain growth. The future trajectory appears promising, with opportunities for expansion into new markets and service offerings, provided that companies can navigate the complexities of regulatory compliance and supply chain management.

Key Interactions

  • The strong market position interacts with emerging technologies, as companies that leverage new construction techniques can enhance project efficiency and competitiveness. This interaction is critical for maintaining market share and driving growth.
  • Financial health and cost structures are interconnected, as improved financial performance can enable investments in technology that reduce operational costs. This relationship is vital for long-term sustainability.
  • Consumer behavior shifts towards sustainable construction create opportunities for market growth, influencing companies to innovate and diversify their service offerings. This interaction is high in strategic importance as it drives industry evolution.
  • Regulatory compliance issues can impact financial health, as non-compliance can lead to penalties that affect profitability. Companies must prioritize compliance to safeguard their financial stability.
  • Competitive pressures and market access barriers are interconnected, as strong competition can make it more challenging for new entrants to gain market share. This interaction highlights the need for strategic positioning and differentiation.
  • Supply chain advantages can mitigate resource limitations, as strong relationships with suppliers can ensure a steady flow of materials. This relationship is critical for maintaining operational efficiency.
  • Technological gaps can hinder market position, as companies that fail to innovate may lose competitive ground. Addressing these gaps is essential for sustaining industry relevance.

Growth Potential: The growth prospects for the industry are robust, driven by increasing government investments in infrastructure and urban development. Key growth drivers include the rising demand for sustainable construction practices, advancements in construction technologies, and favorable economic conditions. Market expansion opportunities exist in both domestic and international markets, particularly as cities seek to improve transportation infrastructure. However, challenges such as resource limitations and regulatory compliance must be addressed to fully realize this potential. The timeline for growth realization is projected over the next five to ten years, contingent on successful adaptation to market trends and consumer preferences.

Risk Assessment: The overall risk level for the industry is moderate, with key risk factors including economic uncertainties, competitive pressures, and supply chain vulnerabilities. Industry players must be vigilant in monitoring external threats, such as changes in consumer behavior and regulatory landscapes. Effective risk management strategies, including diversification of suppliers and investment in technology, can mitigate potential impacts. Long-term risk management approaches should focus on sustainability and adaptability to changing market conditions. The timeline for risk evolution is ongoing, necessitating proactive measures to safeguard against emerging threats.

Strategic Recommendations

  • Prioritize investment in advanced construction technologies to enhance efficiency and project quality. This recommendation is critical due to the potential for significant cost savings and improved market competitiveness. Implementation complexity is moderate, requiring capital investment and training. A timeline of 1-2 years is suggested for initial investments, with ongoing evaluations for further advancements.
  • Develop a comprehensive sustainability strategy to address environmental concerns and meet consumer expectations. This initiative is of high priority as it can enhance brand reputation and compliance with regulations. Implementation complexity is high, necessitating collaboration across the supply chain. A timeline of 2-3 years is recommended for full integration.
  • Expand service offerings to include sustainable construction practices in response to shifting consumer preferences. This recommendation is important for capturing new market segments and driving growth. Implementation complexity is moderate, involving market research and service development. A timeline of 1-2 years is suggested for initial service launches.
  • Enhance regulatory compliance measures to mitigate risks associated with non-compliance. This recommendation is crucial for maintaining financial health and avoiding penalties. Implementation complexity is manageable, requiring staff training and process adjustments. A timeline of 6-12 months is recommended for initial compliance audits.
  • Strengthen supply chain relationships to ensure stability in material availability. This recommendation is vital for mitigating risks related to resource limitations. Implementation complexity is low, focusing on communication and collaboration with suppliers. A timeline of 1 year is suggested for establishing stronger partnerships.

Geographic and Site Features Analysis for NAICS 237310-02

An exploration of how geographic and site-specific factors impact the operations of the Contractors-Parking/Highway Improvement industry in the US, focusing on location, topography, climate, vegetation, zoning, infrastructure, and cultural context.

Location: Operations in this industry thrive in urban and suburban areas where high traffic volumes necessitate the construction and maintenance of parking lots and highways. Regions with growing populations and expanding infrastructure, such as metropolitan areas, provide ample opportunities for projects. Proximity to major highways and thoroughfares enhances operational efficiency, allowing for quicker access to job sites and reduced transportation costs for materials and equipment.

Topography: Flat and level terrain is ideal for constructing parking lots and highways, as it simplifies the grading and paving processes. Areas with minimal elevation changes facilitate easier drainage and reduce the risk of flooding, which is crucial for maintaining the integrity of paved surfaces. Conversely, hilly or mountainous regions present challenges that may require additional engineering solutions to ensure safe and effective construction and maintenance.

Climate: The climate significantly impacts construction schedules and material performance. Regions with harsh winters may experience delays due to snow and ice, necessitating the use of weather-resistant materials. In contrast, warmer climates allow for year-round operations but may require considerations for heat-related material expansion. Seasonal variations also influence maintenance schedules, with increased wear and tear during extreme weather conditions necessitating more frequent repairs and resurfacing.

Vegetation: Vegetation management is essential in this industry to ensure compliance with environmental regulations and to minimize disruption to local ecosystems. Areas with dense vegetation may require clearing before construction, which can impact project timelines and costs. Additionally, maintaining vegetation around parking lots and highways is crucial for erosion control and aesthetic purposes, often involving the implementation of landscaping plans that promote native plant growth and biodiversity.

Zoning and Land Use: Zoning regulations play a critical role in determining where parking lots and highways can be constructed. Local governments often have specific zoning classifications that dictate land use, requiring permits for construction activities. Compliance with land use regulations is essential to avoid legal challenges and ensure that projects align with community planning goals. Variations in zoning laws across regions can affect project timelines and costs, necessitating thorough research and planning.

Infrastructure: Robust infrastructure is vital for the successful operation of this industry. Access to reliable transportation networks is crucial for the timely delivery of materials and equipment to job sites. Additionally, utilities such as water and electricity are necessary for construction activities, particularly for tasks that require heavy machinery. Communication infrastructure also plays a role in coordinating project activities and ensuring safety on job sites, especially in high-traffic areas.

Cultural and Historical: Community acceptance of construction projects can vary based on historical context and local attitudes toward development. In areas with a strong history of infrastructure development, there may be greater support for new projects, while regions with environmental concerns may exhibit resistance. Engaging with local communities through outreach and education can help mitigate opposition and foster positive relationships, ensuring that projects are viewed as beneficial to the community.

In-Depth Marketing Analysis

A detailed overview of the Contractors-Parking/Highway Improvement industry’s market dynamics, competitive landscape, and operational conditions, highlighting the unique factors influencing its day-to-day activities.

Market Overview

Market Size: Large

Description: This industry focuses on the construction and enhancement of parking lots and highways, encompassing activities such as site preparation, paving, and installation of drainage systems. Operations include both new construction and maintenance of existing infrastructure, ensuring compliance with safety and quality standards.

Market Stage: Growth. The industry is experiencing growth due to increasing urbanization and infrastructure investment, with projects expanding to accommodate rising vehicle usage and improve traffic flow. This growth is evidenced by rising contract awards and increased public and private sector funding.

Geographic Distribution: Regional. Contractors are typically concentrated in urban and suburban areas where infrastructure development is most needed, with operations often located near major highways and population centers to facilitate access to projects.

Characteristics

  • Diverse Project Scope: Contractors engage in a wide range of projects, from small parking lot renovations to large-scale highway expansions, requiring flexibility in project management and resource allocation.
  • Regulatory Compliance: Daily operations are heavily influenced by local, state, and federal regulations, necessitating adherence to safety standards, environmental considerations, and zoning laws throughout project execution.
  • Seasonal Work Patterns: Construction activities often peak in warmer months, leading to a workforce that is adjusted seasonally, with increased hiring during spring and summer to meet project demands.
  • Use of Specialized Equipment: Operations rely on heavy machinery such as asphalt pavers, rollers, and excavators, which are essential for efficient project completion and require skilled operators for safe and effective use.

Market Structure

Market Concentration: Fragmented. The industry consists of numerous small to medium-sized contractors, with a few larger firms dominating major projects. This fragmentation allows for competitive bidding and diverse service offerings.

Segments

  • Parking Lot Construction: This segment focuses on the design and construction of new parking facilities, requiring expertise in site layout, drainage solutions, and surface material selection to meet client specifications.
  • Highway Rehabilitation: Contractors in this segment specialize in the repair and upgrade of existing highways, involving resurfacing, widening, and the installation of safety features to enhance traffic flow and safety.
  • Infrastructure Maintenance: Ongoing maintenance services for both parking lots and highways, including pothole repairs, surface sealing, and striping, are critical for prolonging the lifespan of existing infrastructure.

Distribution Channels

  • Direct Contracts with Government Agencies: Many projects are awarded through competitive bidding processes directly to government entities, requiring contractors to navigate public procurement regulations and maintain compliance with contract specifications.
  • Private Sector Contracts: Contractors also engage with private developers and businesses for parking lot construction and maintenance, often involving negotiated contracts that allow for tailored project specifications.

Success Factors

  • Project Management Expertise: Successful contractors demonstrate strong project management capabilities, ensuring timely completion, budget adherence, and effective communication with stakeholders throughout the project lifecycle.
  • Quality Assurance Practices: Implementing rigorous quality control measures during construction ensures compliance with safety standards and enhances the durability of the finished infrastructure.
  • Strong Local Relationships: Building relationships with local governments and businesses can lead to repeat contracts and referrals, which are vital for sustaining operations in a competitive market.

Demand Analysis

  • Buyer Behavior

    Types: Primary buyers include government agencies at various levels, private developers, and commercial property owners, each with distinct project requirements and funding mechanisms.

    Preferences: Buyers prioritize contractors with proven track records, competitive pricing, and the ability to meet project deadlines while adhering to safety and quality standards.
  • Seasonality

    Level: High
    Construction activities are highly seasonal, with peak demand occurring in spring and summer months, leading to fluctuations in workforce levels and project scheduling.

Demand Drivers

  • Urban Development Initiatives: Increased urbanization drives demand for new parking facilities and improved highways, as cities expand and require infrastructure to support growing populations.
  • Government Infrastructure Spending: Public investment in infrastructure projects significantly influences demand, with federal and state funding allocated for highway improvements and maintenance projects.
  • Rising Vehicle Ownership: As vehicle ownership rates increase, the need for additional parking spaces and improved road conditions becomes more pressing, directly impacting contractor workloads.

Competitive Landscape

  • Competition

    Level: High
    The industry is characterized by intense competition among contractors, with many firms vying for the same projects, leading to competitive pricing and innovation in service delivery.

Entry Barriers

  • Capital Investment Requirements: New entrants face significant initial capital requirements for equipment and technology, which can be a barrier to entry for smaller firms.
  • Regulatory Compliance Challenges: Navigating the complex regulatory landscape can pose challenges for new operators, requiring knowledge of local, state, and federal regulations.
  • Established Relationships: Existing contractors often have established relationships with government agencies and private clients, making it difficult for new entrants to secure contracts.

Business Models

  • General Contractor Model: Many firms operate as general contractors, managing all aspects of construction projects from planning to execution, often subcontracting specialized tasks to other firms.
  • Specialized Subcontractor Model: Some companies focus on specific aspects of parking and highway construction, such as paving or drainage, allowing them to leverage expertise in niche areas.

Operating Environment

  • Regulatory

    Level: High
    Contractors must comply with numerous regulations, including safety standards set by OSHA, environmental regulations, and local zoning laws, which govern construction practices.
  • Technology

    Level: Moderate
    The industry utilizes various technologies, including project management software, GPS for equipment tracking, and advanced paving machinery, to enhance operational efficiency.
  • Capital

    Level: High
    Operations require substantial capital investment in heavy machinery, tools, and materials, with ongoing costs associated with maintenance and workforce management.

NAICS Code 237310-02 - Contractors-Parking/Highway Improvement

We now have complete information to process your request

Your dedicated data specialist is researching your target and will provide an industry report for your review shortly

What's Next?

1
Industry report based on your target will be sent to you by email (You're here)
2
Use this to review and refine your target
3
Free sample list will be provided to test drive the data
4
When ready for purchase, your complete list will be ready in minutes
Your data specialist

Your data specialist will assist you every step of the way

What Our Clients Say

I was able to supply NAICS/SIC codes to SICCODE.com, who provided a numerical total of their lists for each code. They provided also a sample list for me to judge the content and accuracy. Their Business Data Specialist sent then refined lists that allowed me to target my audience. They are professional and able to understand their products in great detail. I recommend them to anyone who wants to focus a targeted sales/marketing campaign.

SICCODE.com client

SICCODE.com client