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http://dx.doi.org/10.6106/KJCEM.2018.19.3.052

Estimation Method of the Competitive Bid-price in Bid-rigging of Public Construction  

Jeong, Kichang (Korea Institute of Construction Management)
Kim, Wooram (Korea Institute of Construction Management)
Kim, Namjoon (Korea Institute of Construction Management)
Lee, Jaeseob (Division of Architectural Engineering, Dongguk University)
Publication Information
Korean Journal of Construction Engineering and Management / v.19, no.3, 2018 , pp. 52-60 More about this Journal
Abstract
Korea's public construction projects are under construction through bidding, however, due to the nature of the bidding, collusion between participants can occur. The collusion of bids accordingly damages the client. So, it is necessary to calculate the appropriate fictitious competition price to compensate for this. In this regard, econometrics methods are generally used, but there are limitations and issues arising from the nature of construction, especially design-build bid. Therefore, this study proposes a method to estimate reasonable competitive bid-price in design-build bid. It derives the lowest bid-price from the design submitted by the proponent and estimates the competitive bid-price by examining the factors according to the penetration rate according to the technical level of the tester, the skill level of the competitor, and the type of tester. Based on the method proposed in this study, a reasonable price can be derived that reflects the characteristics of the design and construction bidding bidder selection method and also it can be used as a reference material in the actual bidding process as well as calculating the damage due to the answer.
Keywords
Bid-rigging; Competitive Bid-price; Turnkey; Lowest Bid-price; Decision Making; EMV;
Citations & Related Records
Times Cited By KSCI : 2  (Citation Analysis)
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