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Bidding Price Foundation And Update

Author

Listed:
  • Vãduva Cecilia Elena

    („Constantin Brâncuºi” University from Târgu Jiu, Faculty of Economics and Business Administration)

Abstract
Setting the bidding price is made according to the settlement of profit margin and indirect tax volume and company trade markup. The manufacturer is interested in obtaining the product with the smallest cost and must use the analysis of design costs. In the market economy, the manufacturer is interested in obtaining the product with the lowest possible cost and for this he must use the analysis of design costs whose object is to eliminate the unreal costs. Setting the bidding price is concomitantly made with setting the profit margin and the indirect tax volume and the company trade markup. The profit remains a variable size which is defined in the bidding price depending on the strategy that the company promotes in the market. The other elements that characterize the product can be determined, starting from the total profit per company and the total costs afferent to the performed production.

Suggested Citation

  • Vãduva Cecilia Elena, 2014. "Bidding Price Foundation And Update," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(1), pages 543-546, May.
    • Handle: RePEc:ovi:oviste:v:xiv:y:2014:i:1:p:543-546
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    More about this item

    Keywords

    product; the price index; the profit; the inflation rate; the market mechanism;
    All these keywords.

    JEL classification:

    • D - Microeconomics
    • G - Financial Economics

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