Determination On The Prices Of Production Factors And The Optimal Bidding Strategy

With the rapid development of economy, the construction industry has become one ofthe pillar industries of our country, and plays an important role in the national economic life.The project management of construction enterprises have gradually been widespreadconcerned. Project prices have a considerable impact on the income and expenditure ofconstruction enterprises. As part of the project management, price management becomesmore and more important. How to improve the price management level of constructionenterprises has become a hot topic, to explore suitable project prices under market conditionsis helpful to improve the overall management of construction enterprises and the internationalcompetitiveness, and it is also conducive to build a long-term development of the enterprises.This paper takes the tender prices of construction enterprises as the starting point, andwill mainly research construction enterprises how to determine the prices of productionfactors in the bidding phase. Only the factors of price production are analyzed, and in theexisting evaluation methods, discussed how to make the tender price become optimal.1) Summarized the research status in developed countries, and described the domesticpricing research. By comparison, identified the gap between China and foreign countries, andfound the current problems existing in the areas of price control.2) Though the analysis of the composition of the project price, defined the contents ofthe project cost. As a major component of the project cost, the price of labor, materials andmachinery is the main study object. Through the analysis, proposed how to determine the unitbid price of production factors, and gave the formulas.3) Summarized the market inquiry. And that market prices need to consider certain riskfactors. Analyzed the problems in the calculation of risk, and made reasonablerecommendations on risk handling. Improved the calculation method, and gave a convenientway to predict risk rate.4) In the composite evaluation method, the market prices of the production factors must be adjusted to use as the tender prices. By analyzing the current prevailing evaluationmethods, determined the theoretical foundation of optimal offer, and gave an empiricalanalysis on how to determine the optimal bidding for construction enterprises.Through the above analysis, make a detailed argument about the whole process thatfrom determining the source of the factors to the optimal bidding prices, and give the supportand advice of price management for construction enterprises.