Game Theory and Auction Design
Game theory deals with situations in which the success of the individual depends not only on his own decision-making behaviour but also on that of others. The aim is to derive and therefore predict rational decision-making behaviour on the basis of methods to be defined and the corresponding mathematical models.
Our auction designs are always modelled in such a way that, on the one hand, your possible specific requirements are met by the bidder and, on the other hand, their bids reach the lowest possible price.
Examples of basic designs developed by Feldwerk and successfully applied internationally are the "Sequential Call Auction (SCA)" and the "Parallel Call Auction (PCA)" and the "Multiple Parallel Call Auction (MPCA)".
The Sequential Call Auction is a single-stage auction that maximises the probability of success of the deal with the existing supplier while at the same time ensuring that the empirically lowest price is achieved and that the competition is intense.
The Parallel Call Auction is a two-stage auction with identical chances of success for all participating bidders while ensuring that the factually lowest possible market price is achieved.
The Multiple Parallel Call Auction a three-stage auction with identical chances of success for all participating bidders while ensuring that the de facto lowest possible market price is achieved.