# Evaluation of Hidden Cost Risk of Prefabricated Construction Based on SEM-MEECM
## 2 Literature Review and Hypothesis Development  
The analysis of existing literature plays a crucial role in the development of hypotheses for any study. In this study, we identified seven stages of prefabricated construction projects, namely, investment and decision-making, design, production and transportation, construction, completion acceptance, operation and maintenance, and demolition and recycling. Several studies have been conducted to understand the impact of each stage on the hidden cost risk in prefabricated construction. In the investment and decision-making stage, [PERSON] and [PERSON] (2018) analyzed the obstacles to the promotion of prefabricated construction in mainland China and concluded that the future focus is to provide policy-oriented financial support [14]. [PERSON] et al. (2020) quantitatively evaluated the investment risk factors in prefabricated construction and found that economy, technology, market, management, and policy had the highest impact on investment risk [15]. [PERSON] et al. (2022) proposed an investment estimation model that helps with investment decision-making in prefabricated construction projects [16]. Based on these findings, the following hypothesis is proposed:  
**H1:**_The investment and decision-making stage significantly impacts the hidden cost risk in prefabricated construction._  
In the design stage, [PERSON] and [PERSON] (2014) found that the reasonable splitting of prefabricated components greatly influenced the design cost [17]. Additionally, the support of relevant government departments, the perfection of design specifications and policies, and the choice of project mode by construction units directly affected the formulation of technical schemes and the determination of prefabrication rate, thus impacting the construction cost [18; 19; 20]. Based on these viewpoints, the following hypothesis is proposed:  
**H2:**_The design stage significantly impacts the hidden cost risk in prefabricated construction._  
In the production and transportation stage, [PERSON] and [PERSON] (2021) emphasized the impact of logistics on the cost of prefabricated construction [21]. [PERSON] et al. (2016) discussed the cost risk factors in the transportation stage and constructed an optimization model of a transportation loading plan [22]. [PERSON] et al. (2012) analyzed the cost savings brought by digital technologies to all parties [23]. Based on these findings, the following hypothesis is proposed:  
**H3:**_The production and transportation stage significantly impacts the hidden cost risk in prefabricated construction._  
The construction stage is an important stage of the whole project in which many participants are involved and interact with each other [24]. Solving conflicts during the construction process is necessary to control the construction cost [25]. Therefore, the following hypothesis is made:  
**H4:**_The construction stage significantly impacts the hidden cost risk in prefabricated construction._  
In the completion acceptance stage, [PERSON] and [PERSON] (2022) used the entropy weight-TOPSIS method to construct an evaluation model for the strategic partner selection of prefabricated construction enterprises [26]. [PERSON] et al. (2022) explored the impact of sustainable PC interface management performance from the perspective of stakeholders [27]. Quality problems during the completion acceptance stage will affect the goodwill of enterprises and further affect customer relationships. This leads to hidden costs such as the costs of customer relationship maintenance and redevelopment. Therefore, the following hypothesis is made:  
**H5:**_The completion acceptance stage significantly impacts the hidden cost risk in prefabricated construction._In the operation and maintenance stage, [PERSON] et al. (2018) pointed out that prefabricated construction has high maintenance costs [28].