Which document do sellers use when deliverables are commodities and price is the main factor?

In situations where deliverables are commodities and price is the primary concern, sellers typically utilize a Request for Bid (RFB). This document is specifically designed to solicit competitive bids from various suppliers for goods and services, primarily focusing on the price and the fundamental specifications required. The RFB provides a structured format for sellers to present their offers, allowing the buyer to easily compare different bids based on cost.

Focusing primarily on the cost aspect, Request for Bid documents streamline the procurement process by laying out clear expectations and requirements. This ensures that sellers provide competitive pricing, as they are aware that buyers will be assessing multiple offers primarily on their monetary value.

In contrast, other options such as Request for Quote (RFQ) and Request for Proposal (RFP) may involve more detailed evaluations beyond just pricing, including considerations for quality, delivery timelines, or additional services. A Request for Information (RFI) is generally utilized in earlier stages of procurement for gathering information rather than soliciting formal bids, making it less applicable for scenarios heavily focused on price. Hence, the use of an RFB is essential when the driving factor in supplier selection is price competitiveness for commodity-like deliverables.