In the process of real estate development companies engaging in business activities, that is, land requisition, demolition, land development, land transfer, housing development, housing sale, leasing, subletting, real estate mortgage and real estate construction, a large number of services such as negotiation, coordination, planning and corresponding legal affairs will inevitably arise, which are the main contents of real estate development companies' business activities.
For real estate intermediary services and property management companies, their service characteristics are more obvious. Real estate agency is a series of consulting, planning, agency and service activities around real estate products, communicating all kinds of information related to real estate products, matching buyers and sellers, saving transaction costs of all parties and obtaining commissions from the saved costs. Therefore, intermediary companies provide various real estate services. In fact, a property management company is a company that manages real estate and its facilities and surrounding environment and provides various security, cleaning, repair and maintenance services. This feature determines that the service attitude and service quality of real estate companies are very important. Real estate companies need a lot of funds and talents in the process of operation and management, and every business project of real estate development company contains great value and needs a lot of capital operation, so it is a capital-intensive company. Such as the demolition compensation fee in the early stage of real estate development, the survey and design fee in the early stage, the feasibility study fee, the construction and installation engineering fee, the financial fee, the sales fee, etc. Real estate development companies that usually rely entirely on their own funds often rely on various financial tools and means. The close relationship between the real estate industry and the financial industry has brought two consequences:
On the one hand, real estate companies need a lot of money to provide an excellent investment channel for banks and other financial institutions;
On the other hand, the combination of the two makes the overall economy's ability to resist risks decline. Once the real estate price falls or the real estate company is not well managed, it may cause financial system turbulence, thus endangering the safety of the whole national economy.
The so-called talent-intensive means that a large number of professionals are needed in the process of real estate development, intermediary consulting, agency and property management, such as construction engineering, economic analysis and finance. Real estate development companies are involved in technical knowledge of construction and installation, as well as knowledge and skills in market research, project management and coordination in various professional fields. Often real estate development can only be completed with the cooperation of various professionals. For ordinary real estate demanders, consumers or companies that are not engaged in the real estate industry cannot master the professional knowledge related to real estate in a short time, and usually rely on the assistance of these professionals in the transaction process, thus providing business space for professional intermediary service companies. In the process of real estate company's business activities, industry characteristics have obvious influence on it, which is manifested in:
First, the large market scale of the industry has greatly promoted the development of the company.
Second, the competition scope of the industry is mainly the local market, which is region-oriented, and the national and global competition mainly comes from the flow of funds.
Third, there are many competitors in the real estate industry, but the number of companies with greater strength is small, the market competition is fierce, and the company faces strong uncertainty in the course of operation.
Fourth, there are a large number of real estate users, which is a relatively broad market. Real estate users mainly include ordinary housing consumers and other group buyers who need real estate products.
Fifth, the entry threshold of the real estate industry is relatively large. On the one hand, because entering the real estate industry requires large start-up funds, there are high barriers to entry; On the other hand, the fixity of real estate also determines that the transfer cost of quitting the real estate industry is also quite high.
Sixth, real estate companies will have a higher profit level because of their large capital investment, high risk and proper management. This higher profit level is the compensation for its high risk. This is also the main factor to attract funds from other industries to enter the real estate industry.