Author(s)

Feifan Li, Jingyi Liang, Lyu Ke

Corresponding Author

Feifan Li

ABSTRACT

An online auction is a common transaction that allows multiple buyers to bid on one or more items offered by the seller. Assuming that sellers aim to maximize profits, how do they sell the item at the most profitable price in the auction process? Because of the obvious differences between auctions, sellers should take specific approaches depends on the situation. This paper introduces some basic theories and characteristics of auction, focusing on the discussion and analysis of the English auction and the Dutch auction. Sorted out relevant materials and data, and made a comparison of strategies to maximize sellers’ profit from the two most typical auctions: the English auction and the Dutch auction. By organizing relevant literature in recent years, comparing and modifying known theoretical knowledge to obtain more appropriate auction strategies for different types, which will help sellers in online auction better maintain their profits and development in the market.

KEYWORDS

Sellers’ profit, online auctions, marketing strategies