How should the engineering cost rate be calculated?
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How should the engineering cost rate be calculated? Rates related to project costs, such as organization measures fees, regulatory fees, enterprise management fees, and profits, vary by province depending on the different categories of projects. However, for each category, a certain range of fluctuations is allowed. If the price is not determined through market competition, then it seems that only a value within this range can be chosen; the size of this value has significant implications for various interests. Some suggest choosing the median value, but it’s difficult to determine whether this is indeed a reasonable choice. How should one select a value in a fair and reasonable manner? I would appreciate any guidance from those with more experience in this area. This post was last edited by zf001 on 2008-1-20 12:32.]
This is the result of competition. A certain range is set as well for competitive purposes; if construction is efficient and management is good, it is possible to opt for a lower price
What if, under special circumstances, there is only one construction company, with no more than three companies competing?
It depends on the relationship between your company and the construction team, especially the relationship between the bosses, as it is the bosses who ultimately make the decisions; negotiations are possible. Otherwise, you’ll be at the mercy of others, as there is only one construction company, and it’s you who has to ask them to carry out the work.