New model predicts who, when, and how much in internet auctions.
The article presents a new model for predicting how people bid in online auctions. The model looks at whether an auction will get bids, who will bid, when they will bid, and how much they will bid. It uses a concept called consumer willingness to bid, which changes during the auction. The model assumes that bidders will bid more than the current highest bid. By studying notebook auctions in Korea, the researchers show that their model can predict bidding behavior accurately. This model can help auction sites understand which items will attract bids and who will bid on them.