Discover a world of bidding frenzies, art masterpieces, and big money art investments as we venture into the great art sale houses of the world in this divulging documentary series.
Runtime: 30 minutes
Auction - Reverse auction - Netflix
A reverse auction is a type of auction in which the roles of buyer and seller are reversed. In an ordinary auction (also known as a 'forward auction'), buyers compete to obtain goods or services by offering increasingly higher prices. In a reverse auction, the sellers compete to obtain business from the buyer and prices will typically decrease as the sellers underbid each other. A reverse auction is similar to a unique bid auction as the basic principle remains the same; however, a unique bid auction follows the traditional auction format more closely as each bid is kept confidential and one clear winner is defined after the auction finishes. For business auctions, the term refers to a specific type of auction process (also called procurement auction, e-auction, sourcing event, e-sourcing or eRA, eRFP, e-RFO, e-procurement, B2B Auction) commonly used in government procurement and the private sector . For consumer auctions, the term is often used to refer to a sales processes that shares some characteristics with auctions, but are not necessarily auctions in the traditional sense.
Auction - Japanese Reverse Auctions - Netflix
Although the history of the Japanese Reverse Auction is unknown, they are widely used in the world of Business to Business (B2B) Procurement as a form of cost negotiation. A Japanese Auction is where the Host of the auction states an opening price and participants have to accept that price level or withdraw from the auction. Acceptance indicates that the participant is prepared to supply at the stated price. When all participants reply to a certain price, the software lowers the price level by a pre-determined amount and again asks participants to accept or decline at the new price level. A Japanese Auction stops as the second last bidder declines. The remaining bidder wins the auction. This mechanism is truthful in the sense that the optimal strategy for a bidder is to accept down to its true cost. However, in some (but not all) B2B applications, the term “Japanese Auction” has been used for a different mechanism, where bidding continues even if there is only one active bidder. In contrast to a Japanese Auction, this mechanism is not truthful.
Auction - References - Netflix