The Meaning of GSA Pricing

by Steve Hayward; Updated September 26, 2017
The General Services Administration supports operations of other government agencies.

The General Services Administration -- an independent federal office mandated to support the operations of U.S. government agencies -- serves as a go-between for such agencies wanting to purchase goods and services from outside, commercial sources.

Operations

The GSA's operations focus on four areas, with it acting as landlord, property manager and office supplier, as well as an acquisitions specialist soliciting pricing from prospective suppliers.

Contracts

A GSA contract indicates a firm's status as an approved supplier and its agreement to establish government-wide prices and terms. A GSA schedule available to all agencies then includes the firm's items and services.

Purchasing

Other federal agencies can purchase items included in an approved firm’s GSA contract at previously determined prices, without the need to secure additional bids.

Pricing

The prices in a GSA contract generally reflect volume discount pricing that's typically at a level equal to the prices the firm offers its best customers.

About the Author

Steve Hayward is based in Phoenix, Ariz. and has been writing business, technical and how-to articles and manuals since 1992. He has written training guides for major US companies and has published a cookbook. Hayward holds a Master of Arts degree in psychology from the University of New Mexico.

Photo Credits

  • government center, boston, Massachusetts image by nextrecord from Fotolia.com
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