Auction Site Popularity

"We are completing a review of websites which feature buy and sell, the eBay type, and we note that most are auction type. Why are auction systems used? Can't they post a price for sale and leave it at that?" -- Joe Gallant, Aqua Pac Ltd.

Online auctions are immensely popular since people they think they can find a great deal -- and often can. eBay shoppers are bargain hunters. But eBay also caters to buyers who just want to get a hard-to-find product at a decent price, so they allow merchants to list a "Buy It Now" price.