PSA: You don’t have to honor bids from 3 years ago

I was pleasantly surprised to have my chimney rebuilt for the price my mason quoted in 2020.

When we went to Argentina in 2010 my dad told me one of his economist jokes about hyper inflation:
Q: Why do people ride busses instead of taxi’s in Argentina?
A: Because on the bus you pay when you get on and in a taxi you pay at the end of the ride.

This has implications for “evergreen” contracts where the price remains in effect unless changed.

In high-tech with very fast product life-cycles where the value is likely falling relative to newly released alternatives, honoring pricing negotiated a while back isn’t a big risk for the supplier/distributor.

In today’s tight labor market it was quite surprising that the mason was willing to honor a bid that was so old. It’s almost guaranteed that their margins are lower for performing this work now than they would have been at the time of the proposal.

That said:
1) I’ve used this company 4 times in the past so I could be getting special treatment
2) they were able to do the work right away, suggesting they had idle capacity

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