What term describes the process by which a government agency purchases goods and services through competitive bidding?

The term that accurately encapsulates the process by which a government agency acquires goods and services through competitive bidding is Public Procurement. This term refers broadly to the entire framework and set of practices governments use to select vendors and suppliers, ensuring that purchases are made efficiently and transparently while adhering to legal requirements. Public Procurement aims to secure the best possible terms and value for taxpayer money while promoting fair competition among bidders.

By implementing competitive bidding, governmental agencies can encourage multiple vendors to submit proposals, leading to improved pricing, quality of service, and innovation. It is a critical practice for maintaining accountability and minimizing the risk of favoritism or corruption in the procurement process.

In contrast, other terms such as Contracting Out focus specifically on outsourcing services to private entities, Government Auction implies a method of selling rather than purchasing, and Bid Solicitation is a component of the broader Public Procurement process, referring to the invitation for bids rather than the overarching concept.