means a competitor who never had a meaningful opportunity to win a contract. A "stalking horse" differs from the losing competitor because the customer intended only to use the "stalking horse" to generate competitive price quotations, to challenge the preferred provider (who ultimately wins the bidding) and is not compensated for this function. Service providers caught in this role will not succeed in business if they continue to be just losing bidders in the role of a stalking horse.
A stalking horse is someone or something whose role is to become the focal point for, or the initiator of, a debate or challenge. In reality, however, their leadership role may be an illusion, and the stalking horse is really working to promote a challenge or debate that will benefit a third party whose identity remains a secret.