One of the things that I thought about JV's was that often they sometimes involved companies which are normally rivals, in merging such companies you don't have them bidding against each other and so you're likely to get a less competitive quote. If you let smaller contracts, you may have the same companies doing the same elements, but Blogs and co will be quoting in competition with Fred and sons.
Yes there a chance that they wouldn't tender for everything or they would think of a number and double it for a bit of the work they didn't really wish to do.
However you also give access to more mid sized companies if you make some of the contacts small enough. Whilst that means more project management for the client, it does mean that you're not paying someone else to do it for you. For example a lot of the actual construction will be done by subcontractors, so if you can get some of the contacts to be of a size that those sub contractors become the contractor you've cut out the middle man.
That's not to say that you wouldn't still have sub contractors, it's just that it's more likely to be more of the work is done by the staff of the main contractor.
Yes there a chance that they wouldn't tender for everything or they would think of a number and double it for a bit of the work they didn't really wish to do.
However you also give access to more mid sized companies if you make some of the contacts small enough. Whilst that means more project management for the client, it does mean that you're not paying someone else to do it for you. For example a lot of the actual construction will be done by subcontractors, so if you can get some of the contacts to be of a size that those sub contractors become the contractor you've cut out the middle man.
That's not to say that you wouldn't still have sub contractors, it's just that it's more likely to be more of the work is done by the staff of the main contractor.