Bidding Behavior in Descending and Ascending Auctions

Published Online:https://doi.org/10.1287/mksc.1120.0730

References

  • Adaval R, Monroe KB. Automatic construction and use of contextual information for product and price evaluations. J. Consumer Res. (2002) 28(4):572–588CrossrefGoogle Scholar
  • Ariely D, Simonson I. Buying, bidding, playing or competing? Value assessment and decision dynamics in online auctions. J. Consumer Psych. (2003) 13(1/2):113–123CrossrefGoogle Scholar
  • Ariely D, Loewenstein G, Prelec D. “Coherent arbitrariness”: Stable demand curves without stable preferences. Quart. J. Econom. (2003) 118(1):73–105CrossrefGoogle Scholar
  • Arnold BC, Balakrishnan N, Nagaraja HN. A First Course in Order Statistics (1992) (John Wiley & Sons, New York) Google Scholar
  • Austin JT, Vancouver JB. Goal constructs in psychology: Structure, process and content. Psych. Bull. (1996) 120(3):338–375CrossrefGoogle Scholar
  • Banerjee AV. A simple model of herd behavior. Quart. J. Econom. (1992) 107(3):797–817CrossrefGoogle Scholar
  • Bargh JA, Chartrand TL. The unbearable automaticity of being. Amer. Psychologist (1999) 54(7):462–479CrossrefGoogle Scholar
  • Bargh JA, Chartrand TL, Ries HT, Judd CM. The mind in the middle: A practical guide to priming and automaticity research. Handbook of Research Methods in Social and Personality Psychology (2000) (Cambridge University Press, Cambridge, UK) 253–285Google Scholar
  • Baumgartner H, Pieters R, Haugtvedt C, Herr P, Kardes F. Goal directed consumer behavior. Handbook of Consumer Psychology (2008) (Taylor & Francis, New York) 367–392Google Scholar
  • Bazerman MH. Consumer research for consumers. J. Consumer Res. (2001a) 27(4):499–504CrossrefGoogle Scholar
  • Bazerman MH, Bazerman MH. The nonrational escalation of commitment. Judgment and Mangerial Decision Making (2001b) 5th ed.(John Wiley & Sons, New York) 75–85Google Scholar
  • Bearden WO, Netemeyer RG, Teel JE. Measurement of consumer susceptibility to interpersonal influence. J. Consumer Res. (1989) 15(4):473–481CrossrefGoogle Scholar
  • Bettman JR, Luce MF, Payne JW. Constructive consumer choice processes. J. Consumer Res. (1998) 25(3):187–217CrossrefGoogle Scholar
  • Carare O, Rothkopf MH. Slow Dutch auctions. Management Sci. (2005) 51(3):365–373LinkGoogle Scholar
  • Cassady R. Auctions and Auctioneering (1967) (University of California Press, Los Angeles) CrossrefGoogle Scholar
  • Chakravarti D, Greenleaf EA, Sinha AR, Cheema A, Cox JC, Friedman D, Ho TH, et al. Auctions: Research opportunities in marketing. Marketing Lett. (2002) 13(3):281–296CrossrefGoogle Scholar
  • Chandran S, Morwitz VG. Effect of participative pricing on consumers' cognitions and actions: A goal theoretic perspective. J. Consumer Res. (2005) 32(2):249–259CrossrefGoogle Scholar
  • Chapman GB, Johnson EJ, Gilovich T, Griffin D, Kahneman D. Incorporating the irrelevant: Anchors in judgments of belief and value. Heuristics and Biases: The Psychology of Intuitive Judgment (2002) (Cambridge University Press, Cambridge, UK) 120–138CrossrefGoogle Scholar
  • Cheema A, Popkowski-Leszczyc PTL, Bagchi R, Bagozzi RP, Cox JC, Dholakia UM, Greenleaf EA, et al. Economics, psychology, and social dynamics of consumer bidding in auctions. Marketing Lett. (2005) 16(3):401–413CrossrefGoogle Scholar
  • Christie's Register to bid. (2012) . Accessed July 29, 2012, http://www.christies.com/features/guides/buying/register-bid.aspxGoogle Scholar
  • Cox JC, Roberson B, Smith VL, Smith VL. Theory and behavior of single object auctions. Research in Experimental Economics (1982) 2(JAI Press, Greenwich, CT) 1–43Google Scholar
  • Cox JC, Smith VL, Walker JM. Theory and individual behavior of first-price auctions. J. Risk Uncertainty (1988) 1(1):61–99CrossrefGoogle Scholar
  • Cox JC, Smith VL, Walker JM. A test that discriminates between two models of Dutch-first auction nonisomorphism. Papers in Experimental Economics (1991) (Cambridge University Press, Cambridge, UK) 580–594CrossrefGoogle Scholar
  • Cox JC, Smith VL, Walker JM. Theory and misbehavior of first-price auctions: Comment. Amer. Econom. Rev. (1992) 82(5):1392–1412Google Scholar
  • Dholakia UM, Morwitz VG. The scope and persistence of mere-measurement effects: Evidence from a field study of customer satisfaction measurement. J. Consumer Res. (2002) 29(2):159–167CrossrefGoogle Scholar
  • Dholakia UM, Simonson I. The effects of explicit reference points on consumer choice and online bidding behavior. Marketing Sci. (2005) 24(2):206–217LinkGoogle Scholar
  • Dholakia UM, Basuroy S, Soltysinski K. Auction or agent (or both)? A study of moderators of the herding bias in digital auctions. Internat. J. Res. Marketing (2002) 19(2):115–130CrossrefGoogle Scholar
  • Dick AS, Chakravarti D, Biehal G. Memory-based inferences during consumer choice. J. Consumer Res. (1990) 17(1):82–93CrossrefGoogle Scholar
  • Ding M. An incentive-aligned mechanism for conjoint analysis. J. Marketing Res. (2007) 44(2):214–223CrossrefGoogle Scholar
  • eBay Buyers tips. (2012) . Accessed July 29, 2012, http://pages.ebay.com/help/buy/tips.htmlGoogle Scholar
  • eBay Inc. eBay reports strong fourth quarter and full 2011 results. (2012) . Press release, eBay, San Jose, CA. http://files.shareholder.com/downloads/ebay/1973258065x0x534815/b8840a22-ddfa-43c0-9d29-9cf11ea0bec0/EBAY_News_2012_1_18_Earnings.pdfGoogle Scholar
  • Elmaghraby W. The importance of ordering in sequential auctions. Management Sci. (2003) 49(5):673–682LinkGoogle Scholar
  • Feldman JM, Lynch JG. Self-generated validity and other effects of measurement on beliefs, attitude, intention, and behavior. J. Appl. Psych. (1988) 73(3):421–435CrossrefGoogle Scholar
  • Goeree JK, Holt CA. Quantal response equilibrium and overbidding in private value auctions. J. Econom. Theory (2002) 104(1):247–272CrossrefGoogle Scholar
  • Gollwitzer PM. Implementation intentions: Strong effects of simple plans. Amer. Psychologist (1999) 54(7):493–503CrossrefGoogle Scholar
  • Gutner T. Going, going,…click! Businessweek (2000) February 20). http://www.businessweek.com/stories/1000-02-20/going-going-dot-dot-dot-clickGoogle Scholar
  • Harrison GW. Theory and misbehavior of first-price auctions. Amer. Econom. Rev. (1989) 79(4):749–762Google Scholar
  • Herschlag M, Zwick R. Internet auctions: A popular and professional literature review. Quart. J. Electronic-Commerce (2000) 1(2):161–186Google Scholar
  • Higgins ET. Beyond pleasure and pain. Amer. Psychologist (1997) 52(12):1280–1300CrossrefGoogle Scholar
  • Hoffman E, Menkhaus DJ, Chakravarti D, Field RA, Whipple GD. Using laboratory experimental auctions in marketing research: A case study of new packaging for fresh beef. Marketing Sci. (1993) 12(13):318–338LinkGoogle Scholar
  • Kagel JH, Kagel JH, Roth AE. Auctions: A survey of experimental research. The Handbook of Experimental Economics (1995) (Princeton University Press, Princeton, NJ) 501–586CrossrefGoogle Scholar
  • Katok E, Kwasnica AM. Time is money: The effect of clock speed on seller's revenue in Dutch auctions. Experiment. Econom. (2008) 11(4):344–357CrossrefGoogle Scholar
  • Klemperer PD. Auction theory: A guide to the literature. J. Econom. Surveys (1999) 13(3):227–286CrossrefGoogle Scholar
  • Kunda Z. The case for motivated reasoning. Psych. Bull. (1990) 108(3):480–498CrossrefGoogle Scholar
  • Levin D, Kagel JH, Richard J-F, Kagel JH, Levin D. Revenue effects and information processing in English common value auctions. Common Value Auctions and the Winner's Curse (2002) (Princeton University Press, Princeton, NJ) 210–244Google Scholar
  • List JA, Lucking-Reiley D. Bidding behavior and decision costs in field experiments. Econom. Inquiry (2002) 40(4):611–619CrossrefGoogle Scholar
  • Lucking-Reiley D. Using field experiments to test equivalence between auction formats: Magic on the Internet. Amer. Econom. Rev. (1999) 89(5):1063–1080CrossrefGoogle Scholar
  • Lusk JL, Shogren JF. Experimental Auctions (2007) (Cambridge University Press, Cambridge, UK) CrossrefGoogle Scholar
  • Markman AB, Brendl CM, Kardes FR, Herr PM, Nantel J. Goals, policies, preferences, and actions. Applying Social Cognition to Consumer-Focused Strategy (2005) (Lawrence Erlbaum Associates, Mahwah, NJ) 183–199Google Scholar
  • McAfee RP, McMillan J. Auctions and bidding. J. Econom. Literature (1987) 25(2):699–738Google Scholar
  • McAfee RP, McMillan J. Competition and game theory. J. Marketing Res. (1996) 33(3):263–267CrossrefGoogle Scholar
  • McCabe K, Houser D, Ryan L, Smith V, Trouard T. A functional imaging study of cooperation in two-person reciprocal exchange. Proc. Natl. Acad. Sci. USA (2001) 98(20):11832–11835CrossrefGoogle Scholar
  • Milgrom PR, Weber RJ. A theory of auctions and competitive bidding. Econometrica (1982) 50(5):1089–1122CrossrefGoogle Scholar
  • Morwitz VG, Johnson E, Schmittlein D. Does measuring intent change behavior? J. Consumer Res. (1993) 20(1):46–61CrossrefGoogle Scholar
  • Myerson RB. Optimal auction design. Math. Oper. Res. (1981) 6(1):58–73LinkGoogle Scholar
  • Nickerson RS. Confirmation bias: A ubiquitous phenomenon in many guises. Rev. General Psych. (1998) 2(2):175–220CrossrefGoogle Scholar
  • Roth AE, Ockenfels A. Last-minute bidding and the rules for ending second-price auctions: Evidence from eBay and Amazon auctions on the Internet. Amer. Econom. Rev. (2002) 92(4):1093–2003CrossrefGoogle Scholar
  • Rothkopf MH. On auctions with withdrawable winning bids. Marketing Sci. (1991) 10(1):40–57LinkGoogle Scholar
  • Rothkopf MH, Harstad RM. On the role of discrete bid levels in oral auctions. Eur. J. Oper. Res. (1994) 74(3):572–581CrossrefGoogle Scholar
  • SAS The LIFEREG procedure. SAS/STAT® User's Guide, Version 8 (1999) (SAS Institute, Cary, NC) 1761–1796Google Scholar
  • SAS Online Documentation SAS/STAT changes and enhancements for release 8.2. (2003) . Accessed July 29, 2012, http://support.sas.com/rnd/app/da/new/802ce/stat/index.htmGoogle Scholar
  • Simonson I, Drolet A. Anchoring effects on consumers' willingness-to-pay and willingness-to-accept. J. Consumer Res. (2004) 31(3):681–690CrossrefGoogle Scholar
  • Sinha AR, Greenleaf EA. The impact of discrete bidding and bidder aggressiveness on sellers' strategies in open English auctions: Reserves and covert shilling. Marketing Sci. (2000) 19(3):244–265LinkGoogle Scholar
  • Smith CW, Swedberg R. Auctions: From Walras to the real world. Explorations in Economic Sociology (1993) (Sage Foundation, New York) 176–192Google Scholar
  • Smith K, Dickhaut J. Economics and emotion: Institutions matter. Games Econom. Behav. (2005) 52(2):316–335CrossrefGoogle Scholar
  • TG Daily Ebay hits Web TV and movies in new fall ad campaign. (2007) . Accessed January 18, 2012, www.tgdaily.com/business-and-law-features/33897-ebay-hits-web-tv-and-movies-in-new-fall-ad-campaignGoogle Scholar
  • Vickrey W. Counterspeculation, auctions and competitive sealed tenders. J. Finance (1961) 16(1):8–37CrossrefGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.