Selling Online Versus Live
- Tags:
- Finance,
- Investment,
- Stanford Knowledgebase,
- Tradeoff,
- Valuation
- Source:
- Stanford Knowledgebase
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Overview: This article focuses on online selling and live selling which is one of the effective selling channels. A seller choosing between auctioning online and live faces a tradeoff: lower transaction costs online against more rents left with the bidders. This article models this tradeoff, and apply the theory to auctions of art. The crucial parameter for whether the seller does better online than live is not the expected price but the valuation uncertainty.
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Format: PDF | Size: 566KB | Date: Jan 2003 | Pages: 34





