Case Study 1 Auctions 1

Question Description

Case Study 1: Auctions

Due Week 7 Worth 250 pts

The following video describes auctions as price discovery mechanisms https://www.youtube.com/watch?v=4kWuxfVbIaU

Usethe video on auctions and at least 3 academic and/or high-qualitybusiness publications, see definitions below, to answer the followingquestions in 5-7 pages:

1.There are many types of auctions each with strengths and weakness atuncovering the real price/value of an item. Compare and contrast:

a) the English and Dutch auctions; and,

b) the sealed bid first price auction and the Vickery Auction.

2.After many months of offers and counter offers for Sky PLC, the UK’sThe Takeover Panel (http://www.thetakeoverpanel.org.uk/) required thatSky PLC be acquired via an auction. What type of auction was the Skyauction, who were the bidders and who won? Given that there had beenmultiple public offers revealed by the bidders, was the auction typeselected the best type of auction for the Sky acquisition?

3.Auctions are widely used in finance, e-commerce and in e-games.Identify 3 applications of auctions used in finance, e-commerce and/ore-games. Explain the:

a) need for an auction in the product/service; and

b) what type of auction is used and why that type of auction is appropriate for the product/service.

4.Auctions are also widely used to generate revenue for not-for-profitorganizations. What are the advantages/disadvantages of auctions asrevenue generators for not-for-profit organizations?

5.Suggest ways in which the company you work for, or the company whichyou aspire to work for, can use auctions to better uncover value andincrease revenue.

Your assignment must follow these formatting requirements:

Betyped, double spaced, using Times New Roman font (size 12) withone-inch margins on all sides; citations and references must follow APAformat. Check with your professor for any additional instructions.

Includea cover page containing the title of the assignment, the student’sname, the professor’s name, the course title and the date. The coverpage and the reference page are not included in the required assignmentlength.

Acceptable Types of Publications

Thedefinition of a high-quality professional business publication is onewhich is primarily a publication directed to reporting and/or analysisof the workings of business. Examples are: Wall Street Journal,Bloomberg, Reuters…etc. Avoid general news publications such as USAToday, Washington Post, NY Times.

PLEASE DO NOT RELY ON WIKIPEDIA, INVESTOPEDIA OR ANY OTHER PEDIA AS A REFERENCE AT ANYTIME IN THIS COURSE.