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Price Fixing


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I need to purchase a specific type of computer hardware. In building this hardware system my COTR reached out to a vendor to help him configure and design the system (get correct part numbers, find all necessary software etc.) After posting this requirement on a GWAC I started to get feedback from vendors with whom I work with on a regular basis saying that they would not bid because the large company that manufactures these products offers select pricing to the vendor that works with them to design the system. I was told that this manufacturer offers two categories of pricing, gold at a 40% reduction and silver at a 20% reduction, and allows only ONE reseller gold pricing essentially pre-selecting who would win this RFQ.

I encouraged some of the small businesses that I usually work with to ask for pricing and submit a quote as socio-economic status will also be a part of the decision process. After a few days each vendor came to me saying that the larger manufacturer will not return their phone calls even after they tried multiple times through multiple people.

I received ONE quote. Which I assume is also inflated in price. I requested price reductions and the company said that this was their best and final (I am assuming they know just like every other vendor that no one else can quote for this).

How do I proceed? Although I submitted an RFQ on a system that allows for adequate competition and I know has no protest up to 10 million, I still feel swindled by this larger company. Is there any remedy for this?

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So are you saying the manufacturer offers "gold" 40% discounting to the vendor that worked with them to design the specific system for the customer? If so, I see nothing wrong with that. The vendor had to do work that other vendors didn't do.

If you don't like that, issue another solicitation with high level functional objectives and let other manufacturers offer their products. Of course you'll need a lot more lead time and may not get any responses if the requirement isn't large enough for companies to make the investment.

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