How do auctions work?

Auctions can be live, or they can be conducted on an online platform. The asset or service in question is sold to the party that places the highest bid in an open auction and usually to the highest bidder in a closed auction. In an open auction, parties come together at a physical venue or online exchange to bid on assets.

What is a Dutch auction?

A variant of the traditional auction is a dutch auction. Google (since renamed as Alphabet Inc.) used this process when it issued its initial public offering (IPO) in 2004. In this form of auction, prospective buyers submit bids including the number of shares desired and the amount they are willing to pay for those shares.

What does auction mean?

In an auction, goods or property are sold to the highest bidder. She bought the bed for a song at an auction. The stamps will be auctioned tomorrow. The family is auctioning (off) its art collection. The artwork is being auctioned to benefit UNICEF. sell sth at auction The painting was sold at auction for €12 million.