Typically, exchanges will take place in a vertical industry where raw materials, commodities, standardized goods or services, and financial instruments are traded at dynamic market prices. This includes all buyers, suppliers, and other registered service partners. Typical customers include Global 2000 corporations and large e-marketplaces. However, unplanned purchases of direct and indirect items and services often require dynamic sourcing from new and existing suppliers because of specific purchasing requirements such as availability, lot sizes, and pricing. Auction Services provides a mechanism to support this strategic sourcing.
Suppliers can also respond dynamically in a reverse auction-bidding event.
By managing the selection of possible suppliers, Commerce One.net establishes an actual market price for goods or services and supports the best possible match to the buyer's requirements. This cumbersome process involved many manual tasks and hand-offs. Auction Services can reduce the cost of sourcing goods, improve overall process efficiency, and establish true market prices for goods and services. Sellers maintain better control of the liquidation by defining the minimum price and terms. As part of the registration process, new trading partners are checked for company background and credit history to ensure low-risk trading relationships.