What is an auction?
Sometimes rare items, objects of art and collectibles (for example, coins, badges or stamps) can be purchased not only in antique or art shops, but also at auctions.
The word "auction" is of Latin origin and is derived from the word, which literally means "to increase."
What is auction: definition
An auction is a public sale of things, the acquisition of which goes to someone who can pay a high price for them. In addition to antiques, it can also be products of special properties and qualities. For example, these are vegetables and fruits, furs and fur goods. Horses can also be auctioned. Also there are auctions for used cars. This is not the whole list of goods that can be sold at auction. But, speaking about auctions, one should not forget the non-material sphere, which can be represented by various kinds of assets. For example, it could be stocks, bonds, etc.
Meaning of the auction
The main essence of auctions is the convenience of their conduct for both buyers and sellers.It is expressed in the fact that there is no need to search for active bidders - sellers and buyers. At the auction here and now in online mode, the price and demand for a particular product. And this price is usually the most profitable.
Rules of the auction
The auction, as noted, is the place where the auction. Thus, an auction is a tool for making a transaction. And this procedure should be clearly spelled out and organized according to certain rules. These rules fix the order of the auction (its stages) and the behavior at each stage. In the generally accepted classification of stages, there are 4 steps of any auction: preparation, inspection of goods, auction bargaining, execution of an auction transaction. A special place in the whole procedure is occupied by the third stage - directly bargaining, where, by increasing the price, auctioneers seek to sell the goods.
Types of auctions
There are many reasons for the division of all auctions into groups. Thus, it is possible to distinguish types of auctions only for the goods represented on them. But classification uses broader categories, for example, industries.And in this case, talking about industry auctions, among which are the following: currency, forest, gold, deposit and others. All types of auctions can be divided into the following types:
- On the initiative - forced and voluntary. Forced auctions are most often carried out with the withdrawal of values from the owner, and voluntary - with personal desire.
- By the number of participants - open and closed. Whether the auction will be open or closed is due to the fact that all those who wish are present at the auction, or conditionally limited circle of persons.
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