circumstances under which competitive tendering might not be appropriate to goods works and services

Expert Solution

There are following circumstances under which competitive tendering might not be appropriate to goods works and services-

1. when highest level of quality standards are required in works and services, competitive tendering might not be appropriate. We know that a supplier forced to play the competitive tendering under pressure to keep costs down to ensure sufficient profit, which is possible only when he adjust some quality standards that leads to average quality of works and services instead of highest level of quality standards.

2. When speedy or immediate completion is required, competitive tendering might not be appropriate becase it can take longer time to choose a successful bidder as well as the result for product or service may be very late.

3. Where research and development is required in works and services,competitive tendering might not be appropriate as it can force a supplier to earn limited profit margin which is not possible for for supplier to spend on research and development.

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ekkarill92 answered 2 years ago

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