Deepen the understanding of the joint venture bidding, strengthen weaknesses and prevent risks

Release time:

2018-04-28

With the further refinement of the social division of labor, the further improvement of the degree of economic globalization, the complexity of the bidding projects and the continuous expansion of the scale of government procurement, especially the expansion of the scale of the government procurement projects, the demands of the tenderers to the bidder's strength, professional standards and service ability have been continuously improved. It is common to form consortium and participate in government procurement tendering under the name of consortium.
The so-called "consortium bidding" refers to the behavior that two or more legal persons or other organizations form a consortium and jointly bid as a bidder.
First, the advantages of the Union
1. The use of consortium bids can make up for the resource and technical gap of the bidding enterprise, and it is beneficial to the bidder to participate in some unqualified or lack of competitive advantages, that is to say, the joint body can participate in the project bidding without the participation of the other parties so long as one party meets the specific conditions. The competitiveness of enterprises has dispersed and reduced the operational risks of enterprises.
2. According to the division of division of the Consortium Agreement, the consortium will undertake the work according to the license scope of the class of qualification. It can improve the performance of the winning bidder, and can effectively prevent the winning bidder from the interests of the purchaser because of the poor performance of the contract and the procrastination of the performance.
3, the project which uses the consortium bidding is usually a mass project with large scale, so that a few suppliers can easily form a monopoly in the government procurement project, and make up the form of the consortium through the suppliers, moderately disperse the business opportunities, make more enterprises benefit, and realize the support for small and medium-sized enterprises in the intangible.
4. The use of consortium bidding is beneficial to the tenderer to use bids, reduce the manual amount of tenders and simplify the process of signing the tenderers. There is no need to subdivide the demands of the tenders in the process of bidding, and there is no need to determine the interface and interface of the various parts, so as to save the cost of the tenderers.
Two. The shortcoming of the Federation
1. When the Federation bid, because of the profit of capital, the parties of the Federation all want to ensure the maximum profit of their own part, then the final offer of the Federation will lose the competitive advantage and the probability of winning the bid will be greatly reduced.
2. The aptitude and specialty of the consortium are different. It is unavoidable to have friction in the process of contract performance. When the interfaces and interfaces of each part are not clear, the disputes will come into being.
3. When disputes arise between the parties of the Federation, the tenderer needs to be coordinated, leading to the time and effort of the tenders, becoming an endless coordination in the course of the performance, and whether the success of the coordination will directly affect the economic interests of the tenderers.
4. When the joint body is bidding, the joint body is liable to be punished at the same time when it is not standardized and illegal. The joint body is liable to be punished by the members of the Federation, and the members of the Federation are required to undertake the "liability joint" of the administrative penalty. Although the section is controversial, it often appears in the actual case.
Therefore, as the construction unit, we should correctly recognize the characteristics of the consortium bidding, deepen the understanding of the consortium bidding, avoid the risk, and make use of the form of the consortium bidding. Once the consortium is chosen, it is necessary to conscientiously do a good job of regulating the standard of the members of the Federation and supervising the members of the Federation; carefully formulating the joint tendering agreement of the parties of the United States, clearly defining the work and responsibility to be undertaken by the parties; formulating the project management measures and operating plans for the winning bid; and making clear the rights and obligations of the parties to the Federation, Internal and external liability for breach of contract or tort and its sharing. (Gong Jianhua)

2018 "Kai an Cup" Su Hu elite go invitational tournament successfully held.

Remember the 2018 Qingming Festival for the heroes

Recommended news

2026-04-13

The Group Company Has Been Awarded Honors Such as “Top 100 Enterprises” in the Provincial Installation Industry

On April 9, the Fourth Session of the 11th Membership Congress of the Jiangsu Provincial Installation Industry Association was held in Nanjing, with Ma Jinshan, Deputy General Manager of the Group and Head of the Nanjing Region, in attendance.

2026-04-13

Groundbreaking Ceremony Held for the Kunshan Oupai Packaging Project Undertaken by the Group

On April 10, the groundbreaking ceremony was held for the Kunshan Oupai Packaging Materials and Equipment Production Project, which is being undertaken by the Group. Shi Saishai, the company’s vice president and head of the Suzhou region, attended the event.

2026-04-09

The Group Has Successfully Won the Bid for the Phase IV Renovation Project of the Pan-Semiconductor Industrial Park in the Zhangjiagang Bonded Zone (Jordan)

Recently, following several rounds of intense competition, the Group successfully won the bid for Phase IV Renovation Project of the Pan-Semiconductor Industrial Park in the Bonded Zone of Jotun Coatings (Zhangjiagang) Co., Ltd., with a contract value exceeding RMB 60 million.

2026-03-29

The Group’s Corporate Management Department, Human Resources Department, and other departments conducted briefings on the spirit of the shareholders’ meeting.

On the afternoon of March 27, the Group’s Corporate Management Department and Human Resources Department jointly organized a special study session to thoroughly study the Chairman’s work report delivered at the Eighth Shareholders’ Meeting of the Third Session.

2026-03-30

The Group Dispatches Representatives to Attend the Provincial Industry Association Annual Conference and the Inaugural Construction Industry Supply Chain Supply-Demand Matching Conference

On March 27, the Jiangsu Provincial Construction Industry Association held its 2025 Annual Conference and the inaugural Jiangsu Province Construction Industry Supply Chain Supply–Demand Matching Conference at the Pullman Suzhou. On this occasion, our group was recognized as a “Benchmark Enterprise for Digital Procurement in Jiangsu’s Construction Industry.”

2026-03-30

The Group Company Dispatches Representatives to Attend a Special Symposium Hosted by the Qidong People’s Court and Industry Associations

On March 28, the “Judges Explain the Law, Experts Explain Practice” two-way empowerment and interactive exchange symposium, jointly organized by the Qidong People’s Court and the Qidong Construction Industry Association, was held in the 13th-floor conference room of the Qidong People’s Court, with representatives from the Group attending.