What is Auction.

What is Auction?

An auction is a type of public sale where multiple bidders compete against each other to buy products or services at the lowest price.

Auctions are used to sell a wide range of services, products, and goods, from cars and homes to works of art, commodities, raw materials, and even livestock. The highest bidder wins; if more than one person bids for an item, the item may be sold multiple times until it is sold to the highest bidder.

The most common types of auctions are:

• English auction, where the auctioneer starts with a high price and lowers it until someone bids.

• Dutch auction, where the price is reduced until someone bids, at which point the item is awarded at that price.

• First-come, first-served (FCFS), in which buyers submit their offers in the order they arrive; if multiple bidders submit offers for an item, it will be sold to the highest eligible bidder.