Research Of Price Adjustment Formula FIDIC Contract In The International Contracting Projects

As the international construction market, further development, domestic contractors in the international engineering contracting companies on the market size and share continue to grow. However, my contractor to enter the international market after the economic benefits achieved with the U.S. to pay are not commensurate. Apart from the macro level strategies and measures are not complementary, another major factor is that as a contractor on the three pillars of income - claims, engineering changes, adjust the contract price of the study and grasp is not enough.Under normal circumstances, international engineering projects due to global and regional political and economic impact, resulting in the project during construction materials prices are often highly uncertain and unstable, especially in the serious inflation instability in currency exchange and other developing countries and regions. Price fluctuation would directly affect the level of the project cost, thereby affecting the operational effectiveness of the contractor. How to manage this difficult to predict, but inflation can not be ignored are the implementation of international projects in the process of one of the major tasksIn this paper, "FIDIC Conditions of Contract for Civil Engineering Construction" in terms of price adjustment, based on price adjustments based on relevant theory and domestic research results, combined with practical experience in foreign projects, the price adjustment in the price adjustment formula for the theoretical study and practical applications.First of all, the theory of price adjustment are discussed, and then studied the price adjustment formula for practical application, including the application of price adjustment formula for flow studies, the price adjustment formula for price adjustments in the project, the basic prices of non-adjustment factor, price index, the weighted coefficient of determination as well as the price adjustment formula for the exchange rate risk analysis studies.Article focused on a price adjustment formula for the accuracy of analysis and study, through the price adjustment formula for the sensitivity and precision of analysis, based on the assumption that the premise of the model of single and multi-factor formula for the price adjustment formula for precision analysis, respectively, set up a mathematical model.Finally through the article on the domestic price adjustments in the project the general provisions of departure to explore the domestic projects, the introduction of price adjustment formula for the feasibility and necessity.How to claim the appropriate price adjustment provisions applied to domestic and foreign contractors in the project cost control and narrow the international engineering and project management level of the domestic gap between, closer to the international popular project management model, in management make good use of the terms relating to price adjustment, either the contractor or the owner will benefit from it.