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Abstract In order to explore the effective boundary of contract flexibility in the context of construction project, this study introduces the environmental uncertainty, contract clarity and fairness perception as the moderating variables, probes into the relationship between contract flexibility and contractor’s performance behaviors under moderating effects based on SEM. The results show that: 1) price flexibility can motivate the positive performance of contractors in the context of slight environmental uncertainty, but detailed clauses on adjustment of contract price and disputes are required to restrain the opportunistic behavior; 2) the control right flexibility requires to create an atmosphere of organizational justice during the contract implementation, and thus improves the fairness perception of contractors to motivate positive performance; 3) the re-negotiation flexibility plays an important role of motivation in the highly uncertain environment, but detailed clauses on re-negotiation shall be specified to restrain opportunism.
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Received: 28 August 2019
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