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Lowest Price, Technically Acceptable (LPTA) Evaluation Criteria

When the evaluation criteria emphasizes price, that’s when strategy is most important.

Circumstance
The RFP will be awarded to the lowest priced, technically acceptable offer.  This means that if an offer is compliant and meets the specifications, it will win if it has the lowest price.  Better quality offers will lose if their price is not the lowest.  Best value is not considered.

Approaches

See also:
Pricing

When the standard is LPTA, you have no incentive to exceed the requirements if it is going to cost more. 
In fact, the incentive is to keep your costs as low as possible, even if it means barely scraping by when it comes to meeting the specifications. LPTA also changes your bid strategies in other ways. You won’t get extra points by going beyond the requirements. You get the most points by being credible.


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