A sealed bid is a competitive bidding process where participants submit their offers in a confidential manner. Each bidder prepares a written proposal, which is then placed in a sealed envelope. This method ensures that all bids are submitted without knowledge of the others, promoting fairness and encouraging honest pricing. Once the submission deadline passes, the sealed bids are opened simultaneously, allowing the organization or individual requesting the bids to evaluate them. This process is commonly used in government contracts, real estate transactions, and procurement, ensuring transparency and the best value for the buyer.