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					Title:
Auctions

Word Count:
590

Summary:
Auctions are part of many of the business, and companion for businessmen.
After reading this article you will get to know the different aspect of
auction like; the rule of auction, the difference between offline and
online auction and techniques of auctioning.


Keywords:
auction, online auction, auction site, online auction, offline auction


Article Body:
The rules of an auction
      Whether online or offline, auctions are quite popular and have been
a major attraction for businessmen as well as common folks and it existed
as far as one can trace back in history. Auctions have existed since the
dawn of time, and they simply continued evolving alongside its society.
In case you are new to auctioning or if you want to skim through the
basic rules, here are the basic steps that can be seen at a regular
auction.

1)    Person X wants to sell an object.
There is an object in which you wish to sell, but do not know how much it
could go for; in that case, it may be better to have it shown to
everyone. (It is also quite possible that you know the value of the
object, but simply want to fetch the highest price possible.)

2)    Person X brings the object to an auctioneer
After setting a base price for your object, it is then given to an
auctioneer. This so-called auctioneer can either be a real person or a
website that acts as a virtual mediator.

3)    The auction opens; war rages on
The auction is shown to the public (which does not apply to a silent
auction) people then bid on the object; if Person A bets $5, then any
other individual wishing to acquire the object must bid $5 plus an
increment.

4)    The auction ends
The auction will end under at least three circumstance: if the auctioneer
deems the current bid so impressive that he closes the auction, if the
time allotted for the object has finished and finally, if one person bid
and no other person decided to outbid him.

Offline versus Online
      When the digital age came, it brought with it some very important
auction-like websites that specialize in having items presented and sold
exactly like offline auctions. Evidently, offline auctions end much
quicker than online ones, since the later can actually last for days with
bids flying left and right. As well, it is normally easier to navigate
and get information about items up for auction on a nicely organized
website. Where the offline auctions get the higher hand is when it is
time to finalize the transaction with the exchange of good and money. In
an online auction, you need to place trust in the seller to actually send
you the item as they will normally wait until they received the money
before sending the object to you; such problem does not occur in offline
auctions

Techniques
      Being Patient
      Being patient is a key strategy in both type of auctions, but is
probably more prominent in offline auctions, as everyone came with a set
amount of money. It is quite possible that inexperienced buyers will be
eager to participate in bid wars; waiting is actually quite a good
option, if you are patient, you may see a clearer picture.
      Sniping
Sniping is a legitimate and quite popular technique used in online
auctions. Since online auctions are timed, an eager buyer will be
constantly watching over the item. If you bid an amount of money an hour
before it ends, the eager buyer will definitely notice and bid higher.
Sniping consists of bidding as close to the end as possible; although
very frustrating, this technique allows you to bid higher than other
buyers and blocks them from outbidding you as by the time the higher bid
is noticed, the auction will have ended. Obviously if you are out-
snipped, then you will have learned the risks of sniping.

				
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posted:1/25/2011
language:English
pages:2
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