Learn in the textbookE-Commerce Trading Platforms and Services
DefinitionAn electronic auction (電子オークション) is a form of trade in which people who want an item listed online place bids (入札) against each other, and the one offering the highest price wins it (落札).
ExplanationUnlike a shop that sells at a price it has fixed in advance, the price here comes from buyers competing with one another. Sellers and buyers are often both individuals, so it has become a leading venue for trade between consumers.
AnalogyLike an art auction held online, with no one needing to gather in a hall.
Memory hookThe word auction comes from the Latin for “to increase”, which is just what the price does as the bids pile up.