A critical analysis of bid pricing models and support tool

This paper presents the characteristics of widely known bidding strategy models. The main characteristic of such models is that they over-simplify the bidding situation and therefore are difficult to use to model real life bidding. A new model (ServPrice) is proposed to overcome the disadvantages of the current bidding models. The analysis of all these models is based on a number of criteria which have been selected from both a large literature review on bidding models, as well as from the author´s field experience in bid pricing. The comparison of these models has been made using a real life case provided by the telecommunication industry: bidding for carrier services