In a session I attended at ConExpo, two economists gave different predictions on the effects of the economy for the construction industry. The first presenter gave a cautiously optimistic outlook that included a tentative prediction for homebuilding to pick up in early 2009. The second presenter shared a much more pessimistic outlook predicting that the economy would worsen through this year and bottom out in 2009.

The contrast in the tone of each presentation was striking. As I thought more about it later, I recognized the contrasts in the economy in my local area. As I drive to work every morning, I see the darkened storefronts of a former movie rental place, camera store and international goods market--all of which have gone out of business in the past few months. I also see the progress of new construction projects: a pharmacy for a senior citizen development, an office for medical suites and a Starbucks drive-through.

Of course, my observations are a very small part of a much larger picture. A range of economic factors--including everything from the price of oil to the number of home foreclosures--is affecting the construction industry at large. At the same time, many developers are seeking out new opportunities with confidence and the expectation for growth and profit. These are the opportunities in which contractors can benefit.

I noted during the first presentation that the optimistic economist promoted opportunities for contractors in the power, energy, hospital/medical, communications and higher education/institutional segments. Seeking out projects in these areas while adhering to smart business principles can potentially help you stay afloat--and may change the tone you take when discussing the economy.