Prices of services or items can be determined in various ways. Auctioning is one of the methods used in determining prices. In this method, bidding is done for the services or items offered for sale. After the participants have taken the bids, the items are sold to those with the highest bids. The most practiced auction nowadays is that of open ascending price. This is worth knowing about AZ live auction.
Potential buyers in this method are free to bid openly against one another. During the process, all subsequent bids must be higher than bids previously made. It is either the bidder or the auctioneer that shouts the offered bids. There are times where a delegate shouts the bids on behalf of a bidder. Auctions can now be carried out electronically thanks to technological advancement.
When auctions are conducted electronically, it is only the highest current bid that is publicly displayed. In such cases, bidders are required to submit their bids through electronic media. While most people may be familiar with the English auction or open ascending price auction, there are other primary types of auction existing around the world. These are vickrey, blind, and Dutch auctions.
Open descending price auction or the Dutch auction is the opposite of the English type of auctioneering. Typical Dutch auctioneering begins with the auctioneer asking for a high price for a certain quantity of items. This is then followed by subsequent lowering of the initial high asking price until a participant is willing to take the price quoted by the auctioneer. Sometimes the auctioneer has to stop at the price reserved by the owner of the item.
Still on descending price auctioneering, there is usually a certain quantity of an item being sold. By this it is meant that other bidders can still buy the item because the first bidder may not purchase the whole quantity. However, the bid order determines the items allocated to the bidder. This implies that the other bidders can only select items after the first bidders have selected what they need.
Another auctioning method is the blind or the first-price sealed-bid auctioning. This auctioneering method is the most interesting one since bidders usually bid blindly. Bidders in this case usually submit their sealed bids simultaneously. A bidder is not supposed to know what the other bidders have bided. Another unique feature about this method is that a bidder is only allowed to make a single bid.
Most people usually believe that auctions are only related with rare collectibles, paintings, expensive wines and antiques. This is always right but auctions can also be used to sell cars, livestock, fish, flowers, tobacco and houses. It is also important to note that every auctioneering method is applicable in specific situations. Before a certain type of auction is selected, organizers usually consider the situation and type of product being sold.
As already mentioned, auctions also have their shortcomings. The first shortcoming is collusion. Collusion erodes this price determination method such that the whole thing is manipulated. This normally happens when bidders have an arrangement in which they agree to bid against other bidders and not amongst themselves. Collusion is illegal in most countries.
Potential buyers in this method are free to bid openly against one another. During the process, all subsequent bids must be higher than bids previously made. It is either the bidder or the auctioneer that shouts the offered bids. There are times where a delegate shouts the bids on behalf of a bidder. Auctions can now be carried out electronically thanks to technological advancement.
When auctions are conducted electronically, it is only the highest current bid that is publicly displayed. In such cases, bidders are required to submit their bids through electronic media. While most people may be familiar with the English auction or open ascending price auction, there are other primary types of auction existing around the world. These are vickrey, blind, and Dutch auctions.
Open descending price auction or the Dutch auction is the opposite of the English type of auctioneering. Typical Dutch auctioneering begins with the auctioneer asking for a high price for a certain quantity of items. This is then followed by subsequent lowering of the initial high asking price until a participant is willing to take the price quoted by the auctioneer. Sometimes the auctioneer has to stop at the price reserved by the owner of the item.
Still on descending price auctioneering, there is usually a certain quantity of an item being sold. By this it is meant that other bidders can still buy the item because the first bidder may not purchase the whole quantity. However, the bid order determines the items allocated to the bidder. This implies that the other bidders can only select items after the first bidders have selected what they need.
Another auctioning method is the blind or the first-price sealed-bid auctioning. This auctioneering method is the most interesting one since bidders usually bid blindly. Bidders in this case usually submit their sealed bids simultaneously. A bidder is not supposed to know what the other bidders have bided. Another unique feature about this method is that a bidder is only allowed to make a single bid.
Most people usually believe that auctions are only related with rare collectibles, paintings, expensive wines and antiques. This is always right but auctions can also be used to sell cars, livestock, fish, flowers, tobacco and houses. It is also important to note that every auctioneering method is applicable in specific situations. Before a certain type of auction is selected, organizers usually consider the situation and type of product being sold.
As already mentioned, auctions also have their shortcomings. The first shortcoming is collusion. Collusion erodes this price determination method such that the whole thing is manipulated. This normally happens when bidders have an arrangement in which they agree to bid against other bidders and not amongst themselves. Collusion is illegal in most countries.
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The AZ live auction will be taking place very soon. To take part make sure you refer to the following website at http://www.brunksauction.com.