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Effects of Seller Reputation on Success at Online Auctions: An Empirical Study
Beginning of article
In online auctions, success for sellers typically means making sales and getting the price they want at the auction. To test the effectiveness of such auctions, as defined by the degree to which sellers achieve these twin results for themselves in auctions, we examined 8250 on-line auctions conducted by the giant mobile phone company Nokia from September 21 to November 18 in 2003 in Yahoo!. Two step estimations were used to simultaneously examine the probability of auction success and transaction prices. Empirical findings support that the view that the seller's reputation positively affects the probability of auction success, whereas it does not affect the transaction …
