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Common deception tactics used by complete equipment manufacturers during the bidding process

2012-04-10View Original

Thread Content

I’m a newcomer who has just started working in the sales of distribution cabinets; I know absolutely nothing about electrical equipment, and my university major wasn’t in this field either. But some time ago, I participated in a bid for an electrical project; although I didn’t win it, I was able to pick up a few insights. I’d like to tell all my friends to be careful so that they don’t get scammed in the future. 1. Enterprises without the necessary qualifications or those with fake qualifications. The product being bid for is a low-voltage MNS cabinet; there is one company participating in the bidding, which is the third-sector unit of the electricity utility near us. For some reason, the tendering party actually allowed them to participate in the bidding. But when I checked their qualifications on the website of the China Quality Certification Center, I found that the current range specified in the 3C certificate for their MNS cabinets did not cover the current requirements of the products being bid for. For 3C certification, the current value specified at 2500–4000 must be maintained by the products manufactured; if it exceeds this range, the products will not have 3C certification. 2. Fake components. The products specified by the tenderer are those from Changshu. There is a manufacturer that indicates on the configuration list that Changshu products are being used, but the model number is CMM1—***; if one isn’t careful, it’s easy to be deceived by this. Changshu is CM1—***, the people there are RMM1—***, as for this CMM1—***, I have no idea what it refers to. There are also many components that are purely OEM products, which are outright fake and of poor quality; it’s impossible for anyone to verify this. The only thing that can be controlled is the sourcing channels of the manufacturers that produce these components, as well as the conscience of the companies involved. 3. High and low configurations. For products of the same model, there are different configurations; for example, in Changshu, the CM series comes in L, M, and H configurations, while the motor protectors produced by Shenzhen CEC come in configurations such as PMC-550M and PMC-550J. Even frequency converters come in heavy-load and light-load versions. In this regard, some complete set manufacturers go to great lengths. 4. Missing parts. There is one company that does this: it sets the prices very low, and only upon checking the specifications does one discover that several automatic transfer switches are not listed. Hehe, that’s a big one. 5. Not in accordance with the drawings. The drawings specify that the copper busbars should be of type TMY-100*10, but the manufacturers submitting bids use TMY-100*8; the same is true for all other components, with everything being specified at a lower grade. How can the price not be high in such a situation? It was the winning manufacturer that did this; to lose to such people is truly humiliating. 6. Most importantly, businesses also have inertia, just like objects. Since he did this time, he will do the same with that tendering party in the future, and that’s what’s most frightening. 7. Of course, some friends may ask how I know their configurations; it is indeed a question. Each has its own way, just as competition works that way. Only by knowing their tactics can we figure out how to deal with them; I’m just writing down their methods today for my friends to see. 8. Quality always goes hand in hand with price; this is absolutely true. Naturally, there are reasons for high prices. As for profits, in today’s component industry, with prices of components being so transparent, it’s easy to calculate the profits. Hehe, just chatting for a while – please forgive me, fellow sailors. I provide them as sets; those who are interested can get in touch. The contact information is in my profile. Of course, we will use the methods mentioned above, but we never do; otherwise I wouldn’t have gone a whole year without closing a single deal – it would be embarrassing. :'(
Reply #22012-04-11
It seems these aren’t the fundamental reasons why a bid might not be successful, unless the owner chooses to award the contract to the bidder with the lowest price. Most of the companies that win bids are those to whom the owner has a certain preference; otherwise, there would be no need to make any efforts before submitting bids!
Reply #32012-04-20
Hehe, the owners’ preferences are based on an appropriate price – after all, we’re all just workers. We follow a path of being good friends, avoiding excessive profits, and maintaining high quality. However, price is a very important factor here; the willingness of friends to help is also based on reasonable prices. If the price difference is too large, no one will be able to help you. Of course, price comparison is only possible for homogeneous products, and that’s why I wrote the above. My goal is to let all fellow sailors know how to prevent bid fraud, hehe. There are exceptions as well; if the work is done exceptionally well, a collusive bid can be arranged, allowing the price to be set quite high. But this comes with the risk of being killed by the boss and having one’s entire family punished as well; wealth is sought in the face of danger – let’s see if anyone has the courage. Hehe. :lol
Reply #42012-04-21
There’s probably no good way to change this! Recently, I observed several bidding sessions where the lowest bid won, and the payment terms weren’t very good either!
Reply #52012-04-27
It seems the poster didn’t do well in the aspect of having good friends. . Keep working hard. .
Reply #62012-04-28
You’re absolutely right; I need to keep working hard when it comes to having good friends.
Reply #72012-05-11
Thank you for sharing. In today’s society, interests come first; everything else doesn’t matter. Morality and conscience can wait for those who fail
Reply #82012-05-19
I disagree with the view above; a company that lacks conscience is doomed not to survive for long, just like those that produce leather shoes and yogurt. A few days ago, the cabinets manufactured by a factory in Shandong had their components replaced, and this was discovered by the client. The copper bars were replaced with aluminum bars, and the components were changed as well… The client imposed a fine of 100,000 yuan, deducted 100,000 yuan from the quality guarantee fund, and set a deadline for making the necessary corrections. This is retribution, haha
Reply #92012-05-21
Thank you for sharing. For those who are just starting out, any experience is very valuable
Reply #102012-05-21
Thank you to the original poster for sharing! Companies really need to have a conscience; otherwise they cannot continue operating. Deception and fraud are only temporary solutions, while high quality is the key to success in business!
Reply #112012-05-24
Hehe, I just saw this post today. It seems quite similar to my bidding situation, but I was very strict regarding the components used, and the winner of the bid wasn’t one of the third-sector companies affiliated with the electricity authority. The components are similar to mine; I simply had people from Changshu and Renmin come to inspect them for me after the supply was delivered. You won’t be able to trick me that easily; I warned the boss in Zhejiang before supplying the goods, saying that if I find any defective components, they won’t get a single penny. :lol

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