Open-Bid Auctions Offer The Best Of Both Worlds

More business-to-consumer firms seek to boost their total revenues by selling the same or nearly identical products online using auctions (such as those offered on eBay) and fixed prices (posted on company Web sites) simultaneously. However, a new study by Ross School of Business professors suggests that sellers must make strategic decisions about the design and operation of these parallel selling channels in order to realize the highest gains.