Dictionary of Procurement Terms

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Search Results: 101-110 of 248 results for “P”
  • Preventive Maintenance (PM)

    Planned activities undertaken to retain equipment or material in a serviceable condition; includes scheduled inspection, testing, servicing, classification as to serviceability, repairs, rebuilding, and reclamation.
  • Price

    1. A value placed on an object or service provided by a seller to a buyer. 2. The money value of a unit of a good, service, or resource. 3. The total amount, in money or other consideration, to be paid or charged for a commodity; normally includes all costs (direct labor, overhead, materials) and profit or fee.
  • Price Adjustment Clause

    A clause in a contract allowing for adjustment in price in accordance with circumstances arising during the term of the contract. A provision that must be included in contracts requiring contractor certification of cost and pricing data stating that price, including profit or fee, shall be adjusted to exclude any significant sums by which the jurisdiction finds the price was increased because the contractor-furnished cost or pricing data was inaccurate, incomplete, or not current.
  • Price Agreement

    A contractual agreement in which a purchaser contracts with a supplier to provide the purchaser’s requirements at a predetermined price.
  • Price Analysis

    Evaluation of readily available information in the marketplace. The process of examining and evaluating a prospective price without performing a cost analysis; that is, without evaluating the separate cost elements and profit of the offeror included in that price. The end result of price analysis is to ensure fair and reasonable pricing of a product or service. Price analysis may include a variety of techniques such as comparing proposed prices with prices of same or similar items obtained through market research. (Nash, Schooner, & O’Brien, 1998)
  • Price At Time of Delivery

    A term used in sales contracts when market prices are so volatile that the supplier will not give a firm price or use an escalator clause, but will only agree to charge the same price to all customers for similar purchases on the day of shipment or delivery of goods.
  • Price Ceiling

    Upper limit imposed on the price of a good. The highest price that a buyer is willing to pay. (Business, 2002)
  • Price Competition

    Selection of a contractor, from two or more suppliers, based either solely on prices submitted, or on the final prices resulting from a negotiation with all contractors within a competitive range.
  • Price Control

    The fixing or restricting of prices, especially by a government agency. (Business, 2002)
  • Price Differentiation

    A pricing strategy in which a company sells the same product at different prices in different markets. (Business, 2002)