KIEAE Journal

Noise is unwanted sound [2]. Noise levels are measured on a decibel scale (dB), which matches the ears sensitivity to sound. Noise was generated due to rapid development of urbanization, urban construction, great or small construction development. In particular, construction noise is one of the most frequent complains in a urban area [3].

At the beginning, noise control in the construction site was investigated to standardize noise levels and control of construction noise [4]. Gill [4] tested the standard of regulation with statistics of noise index. Manatakis [5] stated that workshop machines generated noise and vibration that could be harmful in working environments and workers' physiological and psychological conditions. In this case, the other workers in the same working area were also disturbed and then the working efficiency became lower [5]. Fernández [6] explained that as a contaminant agent, the vicious of noise effect may not be noticed instantaneously. It would accumulate to the destruction of physical, mental and social health. Also, the noise in the construction site is big danger to the auditory health of the site workers and people around the site. Workers and people made complaints that they could not hear as well as they used to.

The Environmental Protection Department in Hong Kong was established in 1986 and the Noise Control Ordinance (NCO), the Chapter 400 of the Laws of Hong Kong was enacted in 1988, which is the first comprehensive legislation in order to control the environment noise. With the administrative and statutory arrangements, the environmental noise is sought to minimize and resolve through various approaches including participation in the planning and policy making processes, establishment of measurement and enforcement by Noise Control Ordinance. Before the NCO was enacted, noise in construction sites was severe and harmed people such as continuous piling work. In 1989, the government established a new policy that each construction site can only run the pile driver for 3-5 hours per day.

Despite the effort and establishment of legislation, violation of the Noise Contraol Ordinance was reported that 47 companies were enforced five or more times from 1997 to 1999, which influenced around 100,000 people per year [7]. Because the violation bill of breaking the ordinance is lower than the late-completion cost, construction companies would rather flout the law than pay the liquidated damages.

Brand image is a mental picture of the production by customers [8]. When the specific attributes of the production are impressive, customers will associate them with the brand image together, as symbolic meaning [9]. Thus, brand image will influence the market sales [8]. Brand image is also a perception which consumers form, after the association with the brand reflection [10]. Thus, real estate developers should consider the important role of brand image. Making a brand image into those who are prospective buyers of their housing should be pivotal.

Additionally, the brand loyalty should be developed within the customers. When developing the brand loyalty, the brand trust is a critical factor [11]. Because developing the brand loyalty is articulated after continuous, repeated buying of a production or a service, the mouth advocacy is significant [12]. Thus, people's cognition and perception of brand affects the brand loyalty and may help survive the brand in the market competition.

The theory of core competency is a management concept how a company achieves its competitiveness in the market [13]. Three main elements are comprised in developing core competency of a company: It should be difficult for competitors to mimic; It can be widely adopted for various markets and products; It must enhance the consumer’s benefits of service or products [13]. If developer's strategy of improving the quality of living such as noise control is adopted, residents will appreciate the developers for their effort. The core competitiveness can be acknowledged. Thus, the developer's brand can achieve the brand loyalty.

Although noise should be controlled under the regulations of the Environmental Protection Department, there are still complaints raised about noise. According to the Hong Kong local media, such as Apple Daily, Oriental Daily and Sing Pao, people's complaints to construction noise are common, and from 2003 to 2012 more than 1000 news were reported about their dissatisfaction to developers about the construction noise. People were difficult to sleep, organized protest against noise from construction sites. Table 1 illustrates representative news in Hong Kong between 2005 to 2011, concerning about the construction noise control and the disturbed people's perceptions.

The decibel acoustic test was conducted by an acoustic application in Android operating system. The application program can test the sound level in the neighborhood area. The test was conducted near a construction site in Sham Shui Po, Hong Kong. The testing time was afternoon, which was the busiest time in a day. Based on the test done in site, the acceptable level of noise is under 85dB. Typical noise-generating devices like pile driver, excavator, blender and tower crane are the testing subjects and the tests are conducted in different distance separately. However, the testing result might be higher than the actual sound level since the sound is the mixture sound of all the devices.

In Table 2, the pile driver generates 106-115 dB of noise in the construction site, which is the highest among the noise of different devices. Usually during the construction process of foundation, the noise created by pile driver consists 13%-50% of the noise although it depends on the total number of working machines and the type and manufacture of the pile driver. Trucks, tower cranes and excavators come after the pile driver, which are the second noise maker in the construction site. As a major material transportation method, trucks and tower cranes are normally on the working process. Bulldozers, paver rock brokers and concrete mix/pumpers are all necessary working devices throughout whole construction stages, which together consist about 20% to 29% of the noise. Thus, in order to effectively control noise in a construction site, developers should consider refining machines, adopting technology and employing specialties in noise control. The decibel test can be a reference for developers on the refining work. In this paper.

In this study, the customer value method [14, 15] was adopted and refined. The customer value was transformed into developer’s trade-off. By focusing on the relationship between the noise control and the building of customer loyalty, a new market strategy is advocated in terms of the trade-off situation of developers in Figure 1, which is based on the theory of customer value method [14, 15].

Fig. 1.  
Trade-Off Model

Based on the findings of public media and on-site decibel test, a refined strategy is articulated adopting the theory of core competency. In Figure 1, this strategy uses P+, R, and M+ effects. P+ work is to make a symbol of the propaganda work of the silent site strategy. P stands for propaganda and + stands for the positive effect to enhance the brand image. R is used to illustrate a model that developers will adopt for a strategy of machine refining. M+ effect stands for positive market influence. The propaganda work is not a deviation form the original intention of the caring attitude of developers to the residents, but developers will not investment a new project without return, that is the reason of making the propaganda work.

H1a (with R effect or Refining work effect): This step is the key point in the whole model. The realization of the strategy starts with the investment to making a silent site. Greater returns would come in the following paths of H2a, H3a, H4a and H5a.

H2a (with P+ effect): This link is the relationship between making of silent site and brand image. It is suggested that making a silent construction site positively affect the brand image. When making a silent site plan, the developer can let layperons to identify the developer's efforts on the silent construction site through the propaganda. This process is in accordance with the analysis of public media, which is symbolized as P+ effect (propaganda work with positive effect).

H3a: This link is the relationship between making of silent site and company reputation. The whole path is the same to H2a. Although making a silent site might not directly influence the company reputation, the propaganda work of the construction developer’s brand can help enhance the reputation.

H4a: The brand image positively enhances the customer loyalty. Once the brand image is successfully established in the market, the customer loyalty can be sustained. This relationship is a positive effect, plus sign in the model. If a company achieve good reputation in the market, it usually attract customers' trustworthy and credibility. The company with a poor reputation will definitely hurt its reputation of quality [16].

H5a: The company reputation positively influence the customer loyalty. As stated in the pass of H4a, the theory of Chen and Dubinsky [16] illustrates how the reputation of a company influence its market and brand. In particular, because in the real estate market the selling production is a long-term, nonconsumable production, once the customer loyalty generated by brand image is established, it is uneasy to be changed. Thus, the customer loyalty is built at the same time and the link is positive.

H6a (with M+ effect): The link between customer loyalty and sales market is positive. In other words, the sales market will increase once the customer loyalty is established. It illustrates that the establishment of consumers loyalty leads to the increase of market sales. This path is related to the effect of core competency symbolized as M+ effect.

H7a: This link stands for the only standard which developers use to measure the success of the market strategy. In this model the length of the link can make clear illustration of the promotional effect of the market strategy. The extended link is a joint effect of making a silent cite, and establishing customer loyalty and brand image. This joint effect will help increase the market sales.

H8a and H9a: They are a direct impact of brand image and company reputation on the market sales. Real estate markets affect the market sales regarding their image of brand and company. Thus, H9a is positive and is expressed as active line in the model. H8a is a dotted line with a mutual effect expressed as zero. When projects are directly related to the developer company's name, the company reputation will affect the sales market. However the condition whether projects are directly related to the company's name depends on the characteristics of projects. The relationship is illustrated with a dotted line and zero. At the end, no matter that the company name is directly related to the project name, the brand image and company reputation eventually become positive on market sales.

In Figure 2, a model of conventional strategy is made with simple paths to illustrate the trade-off situation of developers in terms of a conventional value. This model illustrates the situation of the conventional value system, which is oriented for construction projects.

Fig. 2.  
A Conventional Model

H1b: Regarding the conventional value of developers, the investment in noise control is uneconomic in the short term, but beneficial in the long run. Thus, H1b link shows neutral growth However, the developers with conventional values hardly compete the developers with the new marketing strategy.

H7b: This link is the normal situation between the developer trade-off and the market sales. The market sale with the conventional strategy makes no increase and remains in the normal position, not as much as in the new strategy. Because H7b in the conventional trade-off situation loses positive effects like H4a, H5a and M+ effect, the market sales would not be as positive as the new strategy does.

H8b: A normal site of noise will hardly have positive influence on the market sales. H8b is a dotted line since it lost M+ effect, company reputation, customer loyalty and brand image in the market.

With comparison of the two key lines linking developers’s trade-off and market sales, H7a and H7b, the investment to noise control is a smart choice, and will pay back in coming projects because of the brand loyalty.