Consulting firms (CFs) sell services on a project basis to many clients and must therefore continuously tender for new contracts. One frequently used strategy by CFs is to visit the clients in connection to the tenders. The reason to the visits is either: 1) to influence the client in his decision-making in some sense; or 2) to source information about the project so that a better proposal can be submitted. Using a unique database on individual proposals, I examine empirically which of these two reasons is the most important. The estimations suggest that influencing the client dominates as explanation to the visits.
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Length: Date of creation: 2000 Date of revision: Handle: RePEc:fth:iniesr:531
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Find related papers by JEL classification: F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation L84 - Industrial Organization - - Industry Studies: Services - - - Personal, Professional, and Business Services M31 - Business Administration and Business Economics; Marketing; Accounting - - Marketing and Advertising - - - Marketing
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