Research On Bidding Decision-Making Of Highway Engineering Projects In International Emerging Markets

Highway engineering is characterized by high cost, large investment, high quality requirements, long construction period, constrained by natural and social conditions, lots of uncontrollable factors in outdoor working environment and some other features, so, there would be full of uncertainties during construction of the highway engineering. We need to make a full analysis of these uncertainties in order to make judgments as accurately as possible for the bidding decision before undertaking the highway engineering.Compared with domestic and foreign mature market, international emerging market is full of more unknown risks. At the present stage, leaders of domestic highway engineering companies often make the decision of whether to participate in the bidding based on similar experience, which lack of scientific and reasonable methods. Plus, the employer and contractor are not in a real sense of equality, in order to win the bid, the contractor may accept a lot of unequal clauses. They may make bidding decision in haste, and try to get profit through claim during later construction phase. That's why it's extremely easy to create a out of control situation in the process of bidding to contract signing.The key focus and questions to be solved in this article is to investigate, research, predict and identify the risks faced by a company when entering new international market, as well as to reduce or avoid the loss brought about by the mistakes in bidding decision-making process.This article on the basis of a large number of literature and the results from previous studies. Firstly, this article make it clear that the collecting methods of the factors during the bidding decision-making when a company entering a new inter- national highway engineering market, moreover,identify and analyze each of them. Analysis and evaluation conclusions could be using to make qualitative induction from ease of identification and effect of importance, which can provide basis for index weight. Afterwards, use analytic judgment and conclusion for every element from difficulty of identification and the importance of affection to sum up, which to furnish the evidence of target weight. And then use analysis hierarchy process to let every element hierarchy and the advantage of quantitative analysis to establish a bidding decision-making system, and final from establish Judgment matrix Hierarchical single ranking and its test and Hierarchical total ranking consistence to confirm target weight by steps. With the features that Fuzzy comprehensive evaluation method can transfer fuzzy questions to detail data, from establish Hierarchical single element Fuzzy evaluation relation matrix, Fuzzy comprehensive evaluation result vector calculation, and Comprehensive result judgment steps to make the conclusion of the final bid judgment. The model combined by analysis hierarchy process and Fuzzy comprehensive evaluation method, can achieve to make Subjective and objective affected elements transfer data and with the data to get final purpose, and make the conclusion specific and form. Decision-making index system will then be built based on the results of analyzing.At last, by combining with the problems arising from the bidding decision-making process of a highway engineering project in Papua New Guinea, the application feasibility of the method built in this article, which is based on analytic hierarchy process(AHP) and fuzzy comprehensive evaluation(FCE) method, to be used in the field of highway engineering bidding decision-making in international new markets will be tested. The purpose of this article is to provide beneficial reference for future bidding decision-makings in international highway engineering market.