Acquiring a Contract with the Navy Assignment Example | Topics and Well Written Essays - 1500 words

Acquiring a Contract with the Navy - Assignment Example This has raised the importance of negotiation in order to win the bidding on a contract with Navy (Dilger, 2013). In United States, most of the jobs are created in small business as a result of which initiative for growth and development of the concerned sector has been taken into account through the implementation of federal contracts. The Small Business Act (1953), states the importance of federal contract for the development of concerned sector. The Act further states that equal opportunity is provided to small sectors to ensure participation in the federal contracts. In the context of small business, HUBZone set-asides for small business that restrict some contracts associated with the same. Lester has developed the business across the regions and has been creating a huge amount of impact on the overall area and developing the effectiveness of the system. Therefore, it can be considered that with respect to the policies of the Act LesterMyers is qualified for gaining the bid cont act of Navy. In addition Lester has the proposed financial capacity that helps in developing as well as supporting it to meet with the needs of specifications of HUBZone (Dilger, 2013). The multi-year contract signifies continuous purchase of products and services from the same supplier for the period between one to five years at maximum. In case of multi-year contract, it becomes essential to maintain the performance according to terms of contact because it may lead to cancellation of payment to the concerned contractor. A multi-year contact is likely to be beneficial for Navy because it reduces the problem associated with seeking to identify the potential supplier of services. The changing rate of inflation as well as other market factors is likely to affect the price associated with the service (Jensen, 2006). In such case, multi-year contact is beneficial for navy as it ensures that change in prices does not affects the overall value of contact. A multi-year