bidding strategy for entertainment ticket auctions - bhalchandra agashe
TRANSCRIPT
Bidding strategy for Entertainment Ticket Auctions
- Bhalchandra Agashe
Differentiating Characteristics of the Entertainment CDA
• Most Dynamic part of the TAC
• Scope for making substantial profit
How can the agent make profit ?
GivenValuation = V
Ask Price = Pa
Bid Price = Pb
Profit = Pa – V
Profit = V – Pb
Reference Profit (M)
• In order to make a buy/sell decision, the current profit has to be compared with some projected figure.
• How do we calculate this figure ?
Satisfactory Profit
• The profit that an agent is willing to settle for
• Why is this different from the reference profit ?
• Is it time dependent ?M(t) = M*w(t)
Satisfactory Profit
Seller’s strategy
Current profit = Pa – VSatisfactory profit = M(t)
When should the agent sell ?- Current profit >= satisfactory profit
Otherwise ?- Revise the ask price
Mertacor
“A long term profit seeking strategy”
• Two additional variables:– Target profit (Average profit to be made by the
end)– Mean (Average profit made so far)
Reference Profit = A*target + B*mean
Profit = Pa – 2*V
Mertacor
• Satisfactory Profit: M(t) = M * w(t)
How Mertacor fared at TAC 05 ?
Wrap up
Questions and/or Comments ?
Thank you!