What is a By-Bidder?
The by-bidder is an example of a bidding strategy that is considered to be unethical by many people, and is actually illegal in a number of locations around the world. Essentially, a by-bidder is an agent who chooses to bid in an auction with the express purpose of raising the price of the bids placed on a particular item. The activity results in motivating legitimate bidders to place higher bids that will surpass the offers submitted at part of the by-bidder approach in order to have a chance at winning the auction. The owner of the item that is to be auctioned generally engages by-bidders for the purpose of obtaining a price for the article that is more higher than what would have been obtained otherwise. The process that a by-bidder utilizes is very simple process to accomplish this. By placing bids at strategic points in the bidding process, it is possible for the by-bidder to create an illusion of more interest in the item than really exists. This perceived interest might cause ot
