Communication and reputation in procurement auctions - Some empirical evidence

This paper studies communication and reputation in market interactions using data from online procurement auctions. Positive reputation ratings and engaging in communication increase a bidder's probability of winning. Messages are primarily used to reduce the asymmetric information associated with transactions.

► This paper studies the role of communication and reputation in online procurement auctions. ► Gaining positive reputation ratings and sending messages increase a bidder's probability of winning. ► Messages are primarily used to reduce the asymmetric information associated with transactions.