Answer to Question #98898 in Software Engineering for Aliasgar Ansari

Question

Define the "pricing to win" approach in software pricing.

Answer 1

The "Pricing to win" is the approach where a project costs whatever the customer has to spend on it.

its advantages:

Most likely you get the contract because the approach it looks co clear and simple.

Its disadvantages:

The probability that the software will meet all requirements is small. Not always prices accurately reflect the required work.

This method is useful when there are no detailed specification or information on the requirements. Also, this approach gives freedom to negotiate the lacking pieces.