During service procurement for a strategic project, only one bidder submitted a proposal and its price is very large. The sponsor doubts the ROI can be achieved. How should the project manager handle this?

The correct answer is to revisit the project charter and explore other alternatives. The project charter defines the project's objectives, high-level requirements, and success criteria, including expected ROI. A single, high-priced bid that threatens the ROI indicates a fundamental problem with the current procurement strategy or project scope. Re-evaluating the charter allows the project manager to assess if the project's original goals are still achievable under current conditions, explore alternative solutions (e.g., modifying scope, seeking new vendors, or reconsidering the project's viability), and potentially redefine the approach to ensure a positive ROI. Analyzing negotiation boundaries is premature without first understanding if the current approach is viable. Speaking with the CEO to approve an unviable proposal bypasses due diligence and risks project failure. Proceeding with an unviable proposal is irresponsible and jeopardizes project success and organizational resources.