by Anthony W. Hawks, Chief Legal Officer, e-LYNXX Corporation
AVS Technology is the basic procedural component of any automated solution for buying custom goods and services that must be defined by production or performance specifications at the time of purchase. It includes the following steps:
ENTER vendor attributes
ENTER project specifications
MATCH vendor attributes to project specifications to determine sub-set of qualified vendors
SEND project specifications to sub-set of qualified vendors
RECEIVE a bid response from at least one vendor
When these steps are applied using a computer-operated system, a unique competitive bidding environment can be established where vendors of custom goods and services are now willing to offer their lowest prices to fill idle production capacity. This strategy is called “contribution pricing”. When vendors bid work (even when bidding well below normal rates), any income obtained above out-of-pocket costs “contributes” to fixed costs and overhead and, when absorbed, to their bottom lines.
Ecommerce website development is a popular option for businesses, given their immense scope in facilitating sales and transactions online, safely and conveniently. Contrary to regular websites that merely provide information on a company’s products and services, e-commerce websites enable visitors to also purchase the products. These are then delivered at the customer’s doorstep within the stipulated time.
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