Benefits. Limitations and Strategic Uses of E-Auctions Benefits of e-auctions Benefits to sellers Increased revenues Optimal price setting Removal of expensive intermediaries Better customer relationships liqUidation Lower transaction costs Lower administrative costs Electronic Commerc Prentice Hall 2006Electronic Commerce Prentice Hall © 2006 12 Benefits, Limitations, and Strategic Uses of E-Auctions • Benefits of E-Auctions – Benefits to Sellers • Increased revenues • Optimal price setting • Removal of expensive intermediaries • Better customer relationships • Liquidation • Lower transaction costs • Lower administrative costs