Factors affecting price setting in online auctions

Chun Qiu, Popkowski Leszczyc, Yongfu He

Research output: Contribution to journalArticleResearchpeer-review

3 Citations (Scopus)


This article studies the effects of product class and seller reputation on price-setting in online auctions. Sellers may offer price information to potential bidders through buy-now prices (BNPs) and starting prices (SPs). In two experiments, the authors show that for products with values that are difficult to assess, such price information affects bidders perception and willingness to pay. In addition, the authors model sellers decision making in setting the SP and BNP as a two-stage process, using data collected from eBay auctions. Results show that reputable sellers are more likely to set a BNP for their high-end products.
Original languageEnglish
Pages (from-to)289 - 302
Number of pages14
JournalJournal of Revenue and Pricing Management
Issue number3
Publication statusPublished - 2012

Cite this