Diffrent type of contracts and negotiation statergy

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Different types of contracts include fixed-price, cost-reimbursable, and time and materials. Negotiation strategies vary based on the type of contract.

Fixed-price contracts involve a set price for the deliverables, with little room for negotiation on price but potential for negotiation on scope.
Cost-reimbursable contracts allow for reimbursement of costs incurred by the supplier, with negotiation focusing on the percentage of profit added to costs.
Time and materials contracts involve payment based on the time spent and materials used, with negotiation typically focusing on hourly rates and material costs.
Negotiation strategies may include understanding the supplier's cost structure, setting clear objectives, and exploring win-win solutions.
Examples of negotiation strategies include bundling services for cost savings, conducting market research to leverage competition, and building long-term relationships for better terms.

Diffrent type of contracts and negotiation statergy

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