Simplified Competitive Contracting Methods Simplified competitive contracting methods include: I Purchasing or procurement cards (P-cards): An organization's credit card commonly used to purchase low-price, offthe-shelf products and services. The degree of competition depends on the guidelines that the procurement organization provides to the individuals empowered to use the Pcard. Most companies set predetermined spending limits on employee usage and track purchases to ensure that purchases are for business purposes only. I Imprest funds or petty cash: A small amount of money used to pay for small purchases of common products or services. Source selection depends on the company's or organization's purchasing guidelines. I Auctioning and reverse auctions: A widely practiced head-to-head bidding method, typically done face-to-face or via teleconferences, that is used to increase direct competition and that can be applied to the purchase of any product or service. I Net marketplaces: Two-sided Internet-based exchange where buyers and sellers negotiate prices, usually with a bid-and-ask system, and where prices move both up and down. I Vertical exchanges: A form of net marketplace that is specific to a single industry. I Horizontal exchanges: A form of net marketplace that deals with goods and services that are not specific to one industry. I Web portal: A public exchange, which may be a vertical exchange or a horizontal exchange, in which a company or group of companies lists products and services for sale and/or shares other business information