The PostPricing patent will be auctioned on April 2, 2008. Please visit the auction site for more information and to register.
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| How can the system induce fair behavior? |
PostPricing makes fairness pragmatic by using a sophisticated reputation system that provides the greatest rewards to those that maintain good reputations. |
| How will the reputation system work? |
Information about previous transactions will be compiled into reputation profiles of all buyers and sellers. This information will be made public, enabling users to identify valuable transaction partners. Buyers will be able to filter undesirable sellers/products from their searches, and sellers can make PostPricing unavailable to undesirable buyers. Click here details on reputation profiles and filtering. |
| How will a good reputation lead to value? |
A greater volume of quality transaction opportunities will be available to individuals with good reputations. As mentioned earlier, buyers and sellers will filter out transaction opportunities that they feel are risky or offer a low return. Since they won't often be filtered out, individuals with good reputations will have the greatest volume of transacting opportunities. Moreover, high-quality buyers and sellers are likely to have the most stringent filtering requirements, so only individuals with good reputations will have access to the best opportunities. |
| How does this lead to fair decisions? |
Since the volume and quality of transacting opportunities are positively correlated with reputation, there is lost value associated with a poor reputation. In decision-making such as when the buyer sets the price, s/he must weigh the benefit of setting an unfairly low price versus the cost this behavior incurs through a diminished reputation. The specifics of the system can be arranged (and rearranged for different markets) in a way that induces fair decisions which result in the PostPricing marketplace providing greater consumer surplus and producer profit than traditional marketplaces. |
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| To explore business partnerships, email Tom Murcko or call (703) 865-7218. |
