Dutch auctions in the construction industry - Revision history

Editor at 15:50, 23 September 2021

2021-09-23T15:50:01Z

← Older revision		Revision as of 15:50, 23 September 2021
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	* Bid strategies.		* Bid strategies.
	* Bidding for renovation works.		* Bidding for renovation works.
		+	* Electronic auctions under the Single Procurement Document (Scotland).
	* E-sourcing.		* E-sourcing.
	* Open tendering.		* Open tendering.
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	* Tender.		* Tender.

−	~~[[Category:Articles_needing_more_work]]~~ [[Category:DCN_Definition]] [[Category:Definitions]] [[Category:Procurement]]	+	[[Category:DCN_Definition]] [[Category:Definitions]] [[Category:Procurement]]

Editor at 21:13, 12 November 2020

2020-11-12T21:13:30Z

← Older revision		Revision as of 21:13, 12 November 2020
Line 21:		Line 21:
	* Bid strategies.		* Bid strategies.
	* Bidding for renovation works.		* Bidding for renovation works.
		+	* E-sourcing.
	* Open tendering.		* Open tendering.
	* Procurement route.		* Procurement route.
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	* Tender.		* Tender.

−	[[Category:Articles_needing_more_work]] [[Category:~~Definitions~~]] [[Category:~~DCN_Definition~~]] [[Category:Procurement]]	+	[[Category:Articles_needing_more_work]] [[Category:DCN_Definition]] [[Category:Definitions]] [[Category:Procurement]]

Designing Buildings: moved Dutch auction to Dutch auctions in the construction industry

2020-09-14T10:11:03Z

moved Dutch auction to Dutch auctions in the construction industry

← Older revision

Revision as of 10:11, 14 September 2020

Designing Buildings at 15:05, 23 April 2020

2020-04-23T15:05:50Z

← Older revision		Revision as of 15:05, 23 April 2020
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	= Introduction =		= Introduction =

−	A Dutch auction is also known as an open descending bid. ~~This~~ is a procurement method ~~where~~ an inflated price is set at the start of the process and is progressively lowered until a bidder is prepared to make an offer. This purchasing approach can be used to procure construction services.	+	A Dutch auction is also known as an open descending bid. It is a procurement method in which an inflated price is set at the start of the process and is then progressively lowered until a bidder is prepared to make an offer. This purchasing approach can be used to procure construction services.

	= History =		= History =

−	~~There are mentions of this~~ procurement method that ~~go back to ancient times~~. In the 17th century, the method became associated with estate and painting sales in Holland. ~~Note that in~~ the Netherlands, Dutch auctions are referred to as Chinese auctions.	+	This is a procurement method that has been throughout the history of commerce. In the 17th century, the method became associated with estate and painting sales in Holland. In the Netherlands, Dutch auctions are referred to as Chinese auctions.

−	Dutch auctions came to England in the 18th century, although at the time, they were referred to as ~~‘mineing’~~ auctions. This was due to the fact the auction continued until the price dropped and a bidder shouted out the word, ‘Mine’!	+	Dutch auctions came to England in the 18th century, although at the time, they were referred to as ‘mineing auctions'. This was due to the fact the auction continued until the price dropped and a bidder shouted out the word, ‘Mine’.

	= Strategy =		= Strategy =
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	For bidders, it is essential to have an accurate sense of the value of the service that is being auctioned. This is sometimes referred to as rational bidding. A rational bid of this kind may factor in hidden costs known only to the bidder which will project that amount onto the value of the service.		For bidders, it is essential to have an accurate sense of the value of the service that is being auctioned. This is sometimes referred to as rational bidding. A rational bid of this kind may factor in hidden costs known only to the bidder which will project that amount onto the value of the service.

−	Dutch auctions are generally considered to be an efficient procurement method, although they are not frequently used ~~with~~ construction projects. The method is primarily used when new companies make initial public stock offerings.	+	Dutch auctions are generally considered to be an efficient procurement method, although they are not frequently used on construction projects. The method is primarily used when new companies make initial public stock offerings.

	Dutch auctions are also referred to as multiple item auctions (since they allow services to be bundled together) or clock auctions. While Dutch auctions are similar to reverse auctions, there is a specific Reverse Dutch Auction where the price of the items starts low and then increases in set intervals.		Dutch auctions are also referred to as multiple item auctions (since they allow services to be bundled together) or clock auctions. While Dutch auctions are similar to reverse auctions, there is a specific Reverse Dutch Auction where the price of the items starts low and then increases in set intervals.
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	* Tender.		* Tender.

−	[[Category:Articles_needing_more_work]] [[Category:Definitions]] [[Category:Procurement]]	+	[[Category:Articles_needing_more_work]] [[Category:Definitions]] [[Category:DCN_Definition]] [[Category:Procurement]]

Editor: Created page with "= Introduction = A Dutch auction is also known as an open descending bid. This is a procurement method where an inflated price is set at the start of the process and is progress..."

2020-04-22T17:04:54Z

Created page with "= Introduction = A Dutch auction is also known as an open descending bid. This is a procurement method where an inflated price is set at the start of the process and is progress..."

New page

= Introduction =

A Dutch auction is also known as an open descending bid. This is a procurement method where an inflated price is set at the start of the process and is progressively lowered until a bidder is prepared to make an offer. This purchasing approach can be used to procure construction services.

= History =

There are mentions of this procurement method that go back to ancient times. In the 17th century, the method became associated with estate and painting sales in Holland. Note that in the Netherlands, Dutch auctions are referred to as Chinese auctions.

Dutch auctions came to England in the 18th century, although at the time, they were referred to as ‘mineing’ auctions. This was due to the fact the auction continued until the price dropped and a bidder shouted out the word, ‘Mine’!

= Strategy =

For bidders, it is essential to have an accurate sense of the value of the service that is being auctioned. This is sometimes referred to as rational bidding. A rational bid of this kind may factor in hidden costs known only to the bidder which will project that amount onto the value of the service.

Dutch auctions are generally considered to be an efficient procurement method, although they are not frequently used with construction projects. The method is primarily used when new companies make initial public stock offerings.

Dutch auctions are also referred to as multiple item auctions (since they allow services to be bundled together) or clock auctions. While Dutch auctions are similar to reverse auctions, there is a specific Reverse Dutch Auction where the price of the items starts low and then increases in set intervals.

= Related articles on Designing Buildings Wiki =

* Bid strategies.
* Bidding for renovation works.
* Open tendering.
* Procurement route.
* Reverse auction.
* Tender.

[[Category:Articles_needing_more_work]] [[Category:Definitions]] [[Category:Procurement]]