Chapter 09 / 12
Price the contract sustainably
Prepare a competitive price that covers delivery costs, risks and cash needs.
Available lessons
Chapter curriculum
Same for all countries
- Cost labor, materials, overhead and risk; distinguish price from lifecycle cost.
- Model cash flow, lots and options; test assumptions and protect margin.
Country specific
- Taxes, currency, pricing structures, price adjustments and wage obligations.
- Bid and performance securities, unusually low prices, payment and retention rules.
Planned practical exercise
Build a cost breakdown and test a delayed-payment or rising-cost scenario.