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Advantage of fixed price is that it doesnt affect the awarded price even if there is a price escalation of goods and services being the provider.
Disadvantage is with the Service Provider, cause if the price of their service/goods being provided went up, they tend to ask for cancellation of the Contract.
The Risk of the fixed price and International economy prices.
If you buy for example gas ( LPG) at fixed priceUSD/MT for one year contract and then the platt's price going down to USD/MT that will cause a huge lose and bankruptcy for the company
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