New auction mechanism revolutionizes procurement process, maximizing seller incentives and buyer satisfaction.
The article discusses a new type of auction called multi-attribute auctions, where buyers can negotiate on various aspects of a product, not just the price. The researchers analyzed how sellers bid on price and other attributes, and found that the optimal auction mechanism is designed independently of the price and sellers' beliefs. They also developed a scoring rule for evaluating bids and implemented it in different types of auctions.