The Comparison And Analysis Between Domestic And Overseas Engineering Cost Model

While China is a member of WTO, in the space of working for buildingconstruction cost, the biggest impact raises from the model of cost calculation.Although, the ministry of construction's new code of bill of quantity (BOQ) forbuilding and construction has gone into effective in 2003.7.1, most of domesticcorporation sill use traditional ration model. Obviously, building companies still feelconfuse on the BOQ model and their limitation on technology and managementforces this situation. The article researches the reason why the government advocatesBOQ model: the model which is used now cannot reflect the true price of buildingconstruction and low or high, it limits the competition among companies. The BOQmodel which depicts the cost of building construction clearly can direct fullcompetition on building construction in domestic market. As BOQ model has beenused widely in western countries, the article introduces BOQ model and its usage inBritish, U.S.A and Australia firstly, and then, it analyses the new BOQ code of Chinaand its specialty.By comparing the BOQ model and ration cost model, the article stands out themerit of the BOQ model. The article researches the effect brought by the BOQ model.After that, the article discusses how to optimize the BOQ model within constitutionsof the BOQ, company's cost base and contract management with the BOQ.In the finality, the problems requiring further studies are discussed.