The possibility to increase competitiveness of construction sector

It is proved that fueling factor of a vast speed of today´s world economic development is high technology and innovation. To speed up an economic development of Mongolia, it is necessary to bring competitiveness of the country into higher level through establishment and implementation of National Innovation System. World known scholars´ works such as George Bojadziev, Maria Bojadziev (2007), Alessi, L, Detken, C (2009), Frankel, J.A, Saravelos, G (2010), Gibbs, Bernard, Anderson (1994), GarriMarkovich (1952) have been studied. Theoretical background and analysis results of above scholars are reflected in this paper as methodological toolsofthe analysis of the development trend of both sector and general market. From the study it is concluded that construction sector should be organized in industrial clustersto enable an increase in competitiveness, R&D capacity and productivity level of construction companies.