The Target retail store chain has become infatuated with a bidding procedure described as a reverse auction. It goes like this.
After defining the scope of work, the general contractor or construction manager on the project invites selected subs to participate. However, the GC/CM has no say over subcontractor pricing. Subcontracts get awarded solely on the basis of the low bid in a subsequent reverse auction. Here is how a Target project in the Phoenix area got bid via reverse auction using the Internet.