Auction Based System for Electronic Commerce Transaction

Auctions provide efficient price discovery mechanism for sellers. Auctions are being used for sale of variety of objects. In last few years auction based protocols are widely used in electronic commerce. Auction based systems have been developed for electronic procurement. In this paper we propose system for electronic commerce transactions, which can support electronic procurement as well as help enterprises to sale items. We also consider assignment constraints those may be required in different commercial transactions. In this paper we consider forward and reverse auctions. We formulate the problem as mixed integer programming problem. Then we propose an algorithm to obtain optimum solution and compute pay-off.