ABSTRACT
How to be profitable in a competitive market with limited opportunities where the contractors push for the lowest price and competitors' strategy is to win the deal, no matter what they need to do in terms of pricing. One need to define a strategy to get the deal with a sustainable margin using smart pricing. The usage of scope optimization and smart pricing could reduce the costs and prices significantly, depending on the case, and increase the commercial margin. Instead of giving discounts to the customers, one could optimize the initial scope, drop down the prices and keep the margins at a healthy level. As part of a pricing team one are normally not in Sales, Finance, Engineering or directly reporting to the structures. Be close to these groups; they will be crucial to one to define a good strategy and ensure the scope is optimized.
