Pricing an item just like in auctions
Source link: http://www.inc.com/guides/price-your-products_pagen_2.html
As a seller, pricing your products for auctions correctly can be very valuable and profitable. However, knowing how to price during an auction is not the easiest thing since many external factors such as the bidders, and the value they hold for the item you are selling, play a decisive role in your decision. This article is very interesting to read as it brings more applicable advice on how to price your products in a business.
Although this article does not mention pricing items for auctions, I still believe it can be related to the theoretical and strategic ways of pricing and bidding in auctions seen in our Networks class. While we have learned that your pricing strategies depends on the value you carry for the item you sell, this article adds on knowledge about more substantial currency numbers representing your value for the item you are selling.
I believe the exercises done in class have taught me how to think strategically like both a bidder and a seller, but mostly looking at the exercise from the bidder’s point of view in an auctions setting. It is interesting to see how this article provides more detailed reasons to raise or lower your prices as a seller in general depending not only on your value, but also on the buyers’. This sounds comparable to an auction, eliminating the fact that the same item can be sold more than once, which reduces its value to lower amounts than auctions for some businesses.
Providing us with tips on how to become a profitable seller might help us understand the pricing strategies of other sellers when positioned as maybe not a regular customer, but as a bidder since auctions allow more important purchasing decision. The only disadvantage of this article is that it does not relate to different types of pricing strategies in situations similar to first and second price auctions, despite its focus on selling tangible objects as a business.
Wrs73