Dutch auction

Examples of Dutch auction in the following topics:

• Repurchasing Shares

  • Dutch Auction Self-Tender Repurchase: The company announces a range of prices at which they are willing to repurchase.

• Value of Retailing

  • Like in French, the word retail in both Dutch and German (detailhandel and Einzelhandel, respectively) also refers to the sale of small quantities of items.
  • Auctions, estate sales, tag and garage sales are other forms of retailing that help to expose goods to potential buyers and even other retailers.
  • Even the second hand retail market has found its way to the Internet via popular auction and sale sites that commission all sales as their part of the retail supply chain.

• Categorical predictors with two levels

  • We'll consider Ebay auctions for a video game, Mario Kart for the Nintendo Wii, where both the total price of the auction and the condition of the game were recorded.
  • A plot of the auction data is shown in Figure 7.17.
  • Interpret the two parameters estimated in the model for the price of Mario Kart in eBay auctions.
  • For example, auctions with games in new condition also often came with more accessories.
  • Least squares regression summary for the final auction price against the condition of the game.

• Identifying variables in the model that may not be helpful

  • Table 8.6 provides a summary of the regression output for the full model for the auction data.
  • Is there strong evidence that using a stock photo is related to the total auction price?
  • After accounting for the other predictors, there is not strong evidence that using a stock photo in an auction is related to the total price of the auction.
  • 8.15: The p-value for the auction duration is 0.8882, which indicates that there is not statistically significant evidence that the duration is related to the total auction price when accounting for the other variables.
  • The p-value for the Wii wheels variable is about zero, indicating that this variable is associated with the total auction price.

• NYSE

  • Secondary markets can be further subdivided into auction or dealer markets, typified by the mode of transactions.
  • The NYSE is an auction market.
  • At the NYSE, traders gather around a specialist broker, who acts as an auctioneer in an open outcry auction market environment to bring buyers and sellers together and to manage the actual auction.
  • The auction market format aims to bring together the parties with mutually agreeing prices in an efficient manner.
  • The auction process moved toward automation in 1995 through the use of wireless hand held computers (HHC).

• The Dutch Empire

  • Dutch explorers originally reached America searching for the Indies, but quickly settled territories and named them New Netherland.
  • The loss of New Netherland led to the Second Anglo–Dutch War (1665–1667).
  • The Dutch government ruled Suriname until 1975.
  • Peter Stuyvesant (c.1612 – August 1672), served as the last Dutch Director-General of the colony of New Netherland.
  • New Amsterdam was a 17th-century Dutch colonial settlement that served as the capital of New Netherland.

• An Empire of Commerce

  • The government also fought smuggling, which, in the 18th century, was a common method used to circumvent the restrictions on trading with the French, Spanish or Dutch.
  • Reproduction of a handbill advertising a slave auction, in Charleston, South Carolina, 1769

• Introduction to multiple regression

  • We will consider Ebay auctions of a video game called Mario Kart for the Nintendo Wii.
  • The outcome variable of interest is the total price of an auction, which is the highest bid plus the shipping cost.
  • For instance, all other characteristics held constant, are longer auctions associated with higher or lower prices?
  • The data set mario_kart includes results from 141 auctions.
  • For instance, the cond new variable takes value 1 if the game up for auction is new and 0 if it is used.

• A single-variable model for the Mario Kart data

  • Let's fit a linear regression model with the game's condition as a predictor of auction price.
  • Summary of a linear model for predicting auction price based on game condition.
  • Scatterplot of the total auction price against the game's condition.

• Including and assessing many variables in a model

  • For instance, new games sold on Ebay tend to come with more Wii wheels, which may have led to higher prices for those auctions.
  • 8.6: It is the average difference in auction price for each additional Wii wheel included when holding the other variables constant.
  • 8.9: Three of the variables (cond new, stock photo, and wheels) do take value 0, but the auction duration is always one or more days.
  • If the auction is not up for any days, then no one can bid on it!
  • That means the total auction price would always be zero for such an auction; the interpretation of the intercept in this setting is not insightful.