Post by The Center on Sept 6, 2020 22:49:35 GMT
This is a guide to explain how bidding works for Government Orders. This is to be used along side the Government Order guide.
Government Orders come in different sizes.
Companies bid on these Government Orders (GO). The lowest bidder, wins the GO.
How do companies come up with bids?
Here is a smaller GO to start:
When entering the bids into the game they have to be in $50,000 increments. Using the Market Prices of the Planks and Clay we can come to a rough estimate of $9.685 million. Bidding would be $9,600,000 or $9,650,000. Realistically, companies are most likely not using Market Prices for their bidding process and are looking for contracts. This would reduce the bid price.
Let us assume there are only 3 Companies bidding on the City Zoo: New Enclosures GO.
Company 1 bids: $9.650 million
Company 2 bids: $9.700 million
Company 3 bids: $9.500 million
The company that bids the lowest would win the GO. In this example Company 3 would win.
Company 3 would then need to have the $1.1 million deposit. Then fulfill the GO with the required Planks and Clay and get paid their bid of $9.500 million and get their $1.1 million deposit back for completing the GO.
Let's take look at a larger GO.
This Government Order will receive $100.5 million (+/-) bids.
Government Orders come in different sizes.
Companies bid on these Government Orders (GO). The lowest bidder, wins the GO.
How do companies come up with bids?
Here is a smaller GO to start:
Product | Quality | Quantity | Market Price | Total |
Planks | 2+ | 500,000 | $ 9.10 | $ 4,550,000 |
Clay | 1+ | 6,500,000 | $ 0.79 | $ 5,135,000 |
Bid | $ 9,685,000 |
When entering the bids into the game they have to be in $50,000 increments. Using the Market Prices of the Planks and Clay we can come to a rough estimate of $9.685 million. Bidding would be $9,600,000 or $9,650,000. Realistically, companies are most likely not using Market Prices for their bidding process and are looking for contracts. This would reduce the bid price.
Let us assume there are only 3 Companies bidding on the City Zoo: New Enclosures GO.
Company 1 bids: $9.650 million
Company 2 bids: $9.700 million
Company 3 bids: $9.500 million
The company that bids the lowest would win the GO. In this example Company 3 would win.
Company 3 would then need to have the $1.1 million deposit. Then fulfill the GO with the required Planks and Clay and get paid their bid of $9.500 million and get their $1.1 million deposit back for completing the GO.
Let's take look at a larger GO.
Product | Quality | Quantity | Market Price | Total |
Luxury E-Car | 1+ | 2,500 | $ 6,325.00 | $ 15,812,500 |
Monitors | 2+ | 110,000 | $ 520.00 | $ 57,200,000 |
Fashion Research | 0+ | 122,000 | $ 112.00 | $ 13,664,000 |
Underwear | 0+ | 450,000 | $ 4.40 | $ 1,980,000 |
Dress | 0+ | 400,000 | $ 17.40 | $ 6,960,000 |
Stiletto Heel | 0+ | 250,000 | $ 19.50 | $ 4,875,000 |
Bid | $ 100,491,500 |
This Government Order will receive $100.5 million (+/-) bids.