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Bidding

About: Bidding is a research topic. Over the lifetime, 15371 publications have been published within this topic receiving 294233 citations. The topic is also known as: competitive bidding.


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Proceedings ArticleDOI
01 Dec 2013
TL;DR: This paper investigates applying autonomous vehicle auctions at traditional intersections using stop signs and traffic signals, as well as to autonomous reservation protocols, and addresses the issue of fairness by having a benevolent system agent bid to maintain a reasonable travel time for drivers with low budgets.
Abstract: Autonomous vehicles present new opportunities for addressing traffic congestion through flexible traffic control schemes. This paper explores the possibility that auctions could be run at each intersection to determine the order in which drivers perform conflicting movements. While such a scheme would be infeasible for human drivers, autonomous vehicles are capable of quickly and seamlessly bidding on behalf of human passengers. Specifically, this paper investigates applying autonomous vehicle auctions at traditional intersections using stop signs and traffic signals, as well as to autonomous reservation protocols. This paper also addresses the issue of fairness by having a benevolent system agent bid to maintain a reasonable travel time for drivers with low budgets. An implementation of the mechanism in a microscopic simulator is presented, and experiments on city-scale maps are performed.

228 citations

Journal ArticleDOI
TL;DR: In this paper, the authors studied the dynamics of one instance of dynamic pricing -group-buying discounts - used by MobShop.com, whose products' selling prices drop as more buyers place their orders.
Abstract: Dynamic pricing mechanisms occur on the Internet when buyers and sellers negotiate the final transaction price for the exchange of goods or services. These mechanisms are used in online auctions (e.g., eBay.com, uBid.com) and name-your-own-price (Priceline.com) formats, for example. The current research studies the dynamics of one instance of dynamic pricing - group-buying discounts - used by MobShop.com, whose products' selling prices drop as more buyers place their orders. We collect and analyze changes in the number of orders for MobShop-listed products over various periods of time, using an econometric model that reflects our understanding of bidder behavior in the presence of dynamic pricing and different levels of bidder participation. We find that the number of existing orders has a significant positive effect on new orders placed during each three-hour period, indicating the presence of a positive participation externality effect. We also find evidence for expectations of falling prices, a price drop effect. This occurs when the number of orders approaches the next price drop level and the price level for transacting will fall in the near future. The results also reveal a significant ending effect, as more orders were placed during the last three-hour period of the auction cycles. We also assess the efficacy of group-buying business models to shed light on the recent failures of many group-buying Web sites.

228 citations

Journal ArticleDOI
TL;DR: In this article, the effect of ambiguity on individual decisions and the resulting market price in market settings was evaluated. But the authors did not examine whether ambiguity effects persist in the face of market incentives and feedback.
Abstract: Prior studies have shown that individuals are averse to ambiguity in probability. Many decisions are, however, made in market settings where an individual's decision is influenced by decisions of others participating in the market. In this paper, we extend the previous research to evaluate the effect of ambiguity on individual decisions and the resulting market price in market settings. We therefore examine an important issue: whether ambiguity effects persist in the face of market incentives and feedback. Two different market organizations, the sealed bid auction and the double oral auction, were employed. The subjects in the experiments were graduate business students and bank executives. Our results show that the individual bids and market prices for lotteries with ambiguous probabilities are consistently lower than the corresponding bids and market prices for equivalent lotteries with well-defined probabilities. The aversion to ambiguity therefore does not vanish in market settings. Our results provide insights into what a manager can expect in bidding situations where the object of the sale oil leases, mineral rights involves ambiguity in probability due to, for example, lack of information or prior experience. The results may also be useful in understanding some phenomena in insurance and equity markets.

227 citations

Journal ArticleDOI
TL;DR: In this article, a linear programming model is presented for the simultaneous determination of the number of suppliers to utilize and the purchase quantity allocations among suppliers in a multiple sourcing system, which can be used to make rational multiple sourcing decisions.
Abstract: Allocation of Order Quantity Among Suppliers This article presents a linear programming model that can be used in the simultaneous determination of the number of suppliers to utilize and the purchase quantity allocations among suppliers in a multiple sourcing system. The model is simple and powerful. It can be used to make rational multiple sourcing decisions. INTRODUCTION In 1973, the U.S. supply of crude oil was cut by 15 percent due to the O.P.E.C. oil embargo. Refineries that had contractual agreements with a single foreign supplier found themselves without raw crude oil and had to make "spot purchases" at $40 per barrel, 20 percent higher than many buyers with several suppliers were paying. Recently, the U.S. Under Secretary of Defense for Acquisition, Mr. Robert Costello, has noted that he will demand more competitive bidding on contracts to streamline cost and improve quality.[1] These examples make it clear that a multiple sourcing policy for certain types of purchases is still recognized as a useful approach to ensure the reliability of a manufacturer's supply stream. Notwithstanding the current emphasis on supplier base reduction, if done properly multiple sourcing can also reduce costs and improve quality in many cases. In a multiple sourcing operation, a buyer purchases the same item from more than one vendor. These suppliers can be employed alternately or concurrently. In the case of large volume purchases, requirements are split among several vendors. Most purchasing authorities agree that when buyers use more than one supplier for critical materials, the buying firm generally will be protected more fully in times of shortage as a result of its alternate sources.[2] Although multiple sourcing has been used for years, a simple reliable approach has never been developed for making decisions about the number of suppliers to use and the optimal volume of business to allocate among them. In this article, a linear programming model is proposed for use in the simultaneous determination of the optimal number of suppliers and order quantity allocations among them. The article is divided into three parts: (1) an overview of the model, (2) an illustrative example, and (3) a conclusion. ALLOCATION OF ORDER QUANTITY AMONG SUPPLIERS The buying firm, before implementing a multiple sourcing policy, has to specify the number of suppliers to employ. The buyer then needs to determine the distribution of order quantities among vendors. Some authorities, for example, have suggested that two suppliers be used for a material category that has an annual dollar volume higher than a given predetermined level. The order quantity may be split between suppliers on something other than a 50-50 basis to promote competition between suppliers and to improve purchasing performance.[3] Supplier performance is usually measured in terms of the delivered cost, product quality, delivery, and service.[4] The purchasing performance of a multiple sourcing system is a weighted average of performances of all suppliers, with each supplier's weight being equal to the percentage of the order quantity it receives. In order to ensure that the system is optimal, a model is needed for decisions on the number of vendors to use and the allocation of order quantities among them. These problems can be solved simultaneously by a linear programming model. To illustrate, assume a buyer wishes to minimize aggregate purchasing price subject to the constraints that quality, delivery, and service performances of the system are higher than some predetermined levels. This relationship can be represented by the linear program as follows: Minimize: Aggregate Price Subject to: Aggregate Quality: [is greater than or equal] Q Aggregate Lead Time: [is less than or equal] L Aggregate Service: [is greater than or equal] S Q, L, and S are the predetermined levels of quality, delivery, and service. …

225 citations

Journal ArticleDOI
TL;DR: In this paper, the authors examine the termination fee clauses in merger agreements between 1989 and 1998 and conclude that target-payable fees serve as an efficient contracting device, rather than a means by which to deter competitive bidding.

225 citations


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Performance
Metrics
No. of papers in the topic in previous years
YearPapers
20241
2023566
20221,134
2021637
2020708
2019830