auction


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Auction

1. A way to sell an item in which a moderator takes bids from a number of persons for a period of time and ultimately sells to the highest bidder. For example, the moderator (called an auctioneer) may set the opening bid at $5 and, once someone offers to pay $5, may incrementally increase the requested bids until they stop. Variations on an auction may involve any number of things; for example, a person with more than one job offer may request higher salaries in turn and then finally take the highest paying position. See also: Bidding war.

2. See: Auction market.

auction

a means of selling goods and services to the highest bidder among a number of potential customers. Auctions can take several forms. One form is an open auction – increasing bid – competition in which the bids of all parties are observable and bidders drop out as the price increases until only the highest bidder remains. Another form is an open auction -decreasing price – auction in which the auctioneer starts off from a very high price that is then slowly decreased until one bidder agrees to buy at the last announced price. This form of auction is often called ‘Dutch auction’. Yet another form is a sealed-bid, closed auction in which all bidders have to submit their bids in sealed envelopes at the same time. In open auctions, bidders can gain some information about the private valuations that other bidders place upon the goods to be sold, while in sealed-bid auctions the private valuations of bidders remain unobservable.

The principles of auctions apply to situations where firms seek TENDER to supply products.

auction

a means of selling goods and services to the highest bidder among a number of potential customers. Auctions can take several forms. One form is an open auction, increasing bid, competition in which the bids of all parties are observable and bidders drop out as the price increases until only the highest bidder remains. Another form is an open auction, decreasing price, auction in which the auctioneer starts off from a very high price that is then slowly decreased until one bidder agrees to buy at the last announced price. This form of auction is often called a ‘Dutch auction’. Yet another form is a sealed-bid, closed auction in which all bidders have to submit their bids in sealed envelopes at the same time. In open auctions, bidders can gain some information about the private valuations that other bidders place upon the goods to be sold, while in sealed-bid auctions the private valuations of bidders remain unobservable. The principles of auctions apply to situations where firms seek tenders to supply products.

auction

A sales technique in which real or personal property is offered for sale and bidders make oral offers in varying amounts until one is accepted. Frequently used for involuntary transfers of real estate, such as foreclosures and tax sales. In some states, foreclosure auctioneers must be licensed.Where property is offered by the owner voluntarily for auction sale,the fine print in the auction terms usually contains a provision for a buyer's premium. The amount of the winning bid is automatically increased by the stated amount, and that percentage is used to pay the auctioneer's fees.

References in periodicals archive ?
them" mentality between auction firms and traditional brokerages as both sides have had positive experiences when joining forces to sell a property.
To avoid confusion, this article will use explicit, if somewhat unwieldy, names for each auction.
Schrader/Westchester, as a team, pioneered the multi-parcel auction process since adopted by most of today's auction companies.
The auction method for the sales of real estate in the United States really only started to grow substantially in the early 1990's.
A few years ago, just the novelty of a residential auction was enough to attract buyers.
com (AMEX:AAC) announced today that it will host JM Wood's "Gigantic" four day heavy machinery auction running March 7, 2007 to March 10, 2007 through its subsidiary NAALive.
For the second consecutive year, a record number of properties were sold by auction, indicating the growing popularity of auctions as the marketing method of choice for home builders, multi-family residential developers, the commercial real estate community and financial institutions.
Greg Harelson, auctioneer at Deiro and Associates, states "Every seller should consider a live auction, and bring their auction to a worldwide audience.
The days prior to and following the auction are often more critical than the actual auction itself, said Kosa, who recently managed a successful auction of medical-office condominiums, called Health Care Place, in Rego Park, Queens.
Live Auction Coverage Enables Fans to Watch and Bid in Real-Time for a Piece of Rock History Once Owned By Elvis, the Beatles, Dylan, Springsteen, Madonna and Many More