The main aim of any business whether it is on large scale or on small scale depends on the profit received by a businessman
. Thus ultimate aim of a business is to gain maximum profit at minimum cost. Hence price analysis can be helpful in this process. Price analysis is an analysis and investigation of the price quoted by the vendors for a good or service. Price quotation is given by the vendors in the beginning that means they give a written document describing the sale, purchase and the cost of good or service they are offering. On the basis of these quotations the price analysis is done. In order to analyse the price, the comparison between the price quoted for the particular product is done with the price quotations of similar products with the help of exchange rates. Price analysis ultimately helps you determining the profit and how much quantity of product is needed in the market. It helps in doing the analysis of the proposal and this should be used in the selection of the proposal by the contractors. While doing price analysis the prices of different contractors should be compared carefully and also the previous prices for the products and services should be kept in mind and analysed . This can be done by keeping stock trading system as base. Then further the technical analysis has to be done for getting the break even point.
Decision about the bidder does not done only depend on the cost comparison done but also depends on the fact that whether they are able to provide services which fulfil the basic requirement that the project needs. Thus it is proved that price analysis is an important aspect which aims at fair results. Hence continuous researches are done for its improvement.