Seal Bidding
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1) In your opinion, is the sealed-bid method better than the negotiation method? Give an example.
2) Provide an example of a case where you would want, as a bidder, to use the negotiation method. Explain your preference.
3) Speculate on the reasons for the concern addressed in the report.
4) Assess the recommendations in the report. Are they useful? Effective? Fair? Realistic? Explain your answers.
The attached PDA is for questions 3 and 4.
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Solution Summary
The expert determines whether the sealed-bid method is better than the negotiation methods.
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1) In your opinion, is the sealed-bid method better than the negotiation method? Give an example.
Yes, the sealed bid is better. The sealed bidding process allows for the best value because the lowest evaluated priced offer is selected. Also, there is no need to answer questions from the bidders because all of the requirements are outlined in the clear and complete list of requirements ('Sealed Bids FAR' n.d.). The sealed bid is a good option for the bidder that can provide services at the lowest price. Typically, the best bidders will be very large companies that can accept contracts at a smaller margin than other companies.
2) Provide an example of a case where you would want, as a bidder, to use the negotiation method. Explain your preference.
When bidding on U.S. military (Department of Defense) contracts, the negotiation method is the best option from perspective of bidder. In this case, the Department of Defense prefers to have a large number of qualified bidders. The bidder also has an opportunity to discuss the bid with the bid reviewers to clearly understand ...
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