The balance of supply and demand, and the number and strength of competitors in any market, continue to influence pricing although it is uncertain as to how pricing will be affected. A possible scenario may occur where the number of competitors in the market is large, leading to low tender prices. Once the contract is awarded, the contractor may try to recoup his expenditure through claims, resulting in high capital expenditure optimism bias. Some of the optimism bias may be reduced through contractual arrangements. On the other hand, if the number of competitors in the market is small, high tender prices may have to be accepted due to the lack of competition. Therefore, market size and concentration is a possible source of optimism bias at the contract award stage. This includes concentration in the number of developers and contractors, the supply and demand of private finance and the number of major projects in progress.