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Courses/From opportunity to contract/Chapter 9

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.
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Practical exercise

Build a cost breakdown and test a delayed-payment or rising-cost scenario.