Webupon

Today, through the Internet medium you can buy almost anything. From water to the entire buildings. On the web servers sometimes appear curious and, I think also some unethical auctions like sale of his own body or the child; the sale of services – Freelancing – is just a normal thing. To place your bid, by casual auctions like eBay buyer put his highest bid, which is willing to pay for goods.The highest bidder at the close of the auction earns the right to purchase it at the agreed price. Usually one week or longer, during the auction lasting, the system increases the price according to the bids – and it is not something unnatural.

How does it works?

Ebay, along with some other popular auction sites, employs the use of proxy bidding.  This system helps good price for bidders and saves time. For example assume, somebody sells a chair. In our example there are only two interested bidders, althouwgh casually more people take part in. Our two bidders, Allan and Bob, discovered the auction on Monday.

First Allan places a bid for $10.00. Next day, Bob notices that someone else has already placed a bid and because is fully interested in purchasing the great chair, he entres his highest offer,  $25.36 instead of $10.25 – he knows that he won’t be able to monitor the auction since he is very busy. This regular bid, however, won’a appear at the site, only auction server will memory this amount – it isn’t revealed to Allan or anyone else. Bob is  declared as the higest bidder with a bid of $10.25 even though he bid much more. Server has placed the lowest bid possible.

Image by Wyscan via Flickr

As Allan checks the list again, he noticed that Bob had overbid him, so he placed a bid of $10.50, but suddenly he sees that the highest bidder is listed as Bob for $10.75! Ebay has placed a bid on Bob’s behalf – always the lowest price possible to remain the high bidder. Allan is disappointed and places new and new bids; it proceeds until Allan bids $18.00, which is his highest bid. Because no other bids are placed, Allan gave it up at lower amount that Bob, when the auction closes, Bob is listed as the winner for $18.25 even though he bid  $25.36 at the beginning.

I think you will agree with me that proxy bidding could save your money and time, too, and rapidly. It is great you can bid as much as you are willing to pay for an item maximally but you are only going to have to pay one-bid increment more than the highest opposing bidder if it’s lower. The only disadvatage from manual monitoing is that when somebody overbids you, you have lost and computer on its own doesn’t decide to bid a small bit more.