What are the advantages and disadvantages of low bids?

Low bid, as the name suggests, is the bidding price is relatively low, which is more popular with the bidder. But there is a problem is that the purpose of the low bid is to want to improve the winning rate, in the price to form an advantage, the disadvantage is only applicable to simple and standardized products; the lowest price, but the service and quality is difficult to guarantee.

Low price winning bid method has been widely used in engineering construction bidding and tendering, it is not only conducive to saving investment, to ensure the efficiency of investment, but also conducive to the structural adjustment of the construction industry. But the use of this bid evaluation method is there are certain drawbacks, the following small make-up of the guaranteed bidding network to specify what are the disadvantages of bidding low bid.

Disadvantages of bidding low bid

1. Prior preparation requirements are relatively high, especially the key technical and commercial indicators, the need to mark "*" careful consideration, as long as there is a failure to meet the standard can be judged "unqualified", can not enter the next round.

2. Higher requirements for the jury, the need for careful evaluation and calculation, spend a long time;

3. Although to avoid the problem of the "highest bidder", but for some of the use of *** have the funds, and competitive, the need for international bidding to introduce the project, it is difficult to accurately delineate the technical indicators and price conversion Technical indicators and the price of the discount relationship, the performance of the "cost-effective" meaning, resulting in even if there is a reason to have funds, it is difficult to introduce a higher level of price is also slightly higher level of equipment and technology.

Hazards of bidding low bid

1. Project quality and safety is difficult to ensure

Reasonable project cost is the basic conditions for construction enterprises to make a living, and lower than the cost of winning the bid is difficult to make a profit or even a loss, naturally a series of problems, such as irregularities in the operation of the material to reduce the selection of low-priced low-quality products, the use of cheap labor, undoubtedly will be to the project quality and safety of hidden dangers. Project quality and safety buried hidden dangers.

2. Impact on the progress of the schedule

Construction companies in the economic interests can not be guaranteed, wages can not be paid normally, it is difficult to mobilize the enthusiasm of employees, affecting the progress of the entire work period, and even produce a variety of contradictions, the work period will only be delayed more and more time.

3. so that the owner to increase the input

While in the bidding stage at a low price can make the input savings, but the follow-up quality is difficult to ensure that leaves all kinds of hidden problems, will only pay a greater price, the owner in the business period of the cost of input increases, not only no savings but increased costs.

4. Construction market integrity corrosive construction

Some construction companies in order to win the bid and make the project does not lose money, take improper means and bidders allied, or with intermediary design and other units collusion, low bid and then change the design, through supplementary agreements and visas to increase the number of projects, improve the design standards, thereby increasing the cost of the social ill winds contribute to the.

5. lead to peer participation in competitive enthusiasm

Below the cost of winning the bid, the most likely to digest the price difference is to reduce the reasonable income of the staff, this abnormal digestion method, will inevitably lead to a lot of short-term behavior, a serious impact on the sustainable development of enterprises.

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