Answer :
Final answer:
A selected tender involves pre-selected contractors being asked to bid, often based on their reputation or past work, while an invited tender is open to a wider range of bidders, aiming to prevent favoritism and ensure competitive pricing.
Explanation:
The difference between a selected tender and an invited tender lies in the process employed by entities, such as municipalities or businesses, to choose a contractor for a specific project. With a selected tender, certain potential contractors are specifically chosen and invited to submit their bid or proposal for the project. This selection may be based on previous work, reputation, or other factors that the entity deems important. In contrast, an invited tender, also known as an open tender, extends the opportunity to bid on a project to a broader range of contractors without pre-selection, ensuring a wide array of potential bids and minimizing the risk of favoritism and corruption.
Both tender types require submission of a document that outlines the bidder’s plan to execute the project, including cost estimates. The contract is typically awarded to the contractor who can provide the best plan at the lowest price, considering also the bidder’s reputation. Also, the bidding process may take the form of a sealed-bid auction, where all bids are opened simultaneously, and the lowest bid usually secures the project provided that it meets the specified criteria and constraints listed in the tender notice.
