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As long as it is an auction process, there is intense pressure on all involved to extract as much value as possible from every customer.

• anon808 15y ago
  Agreed, that's the incentive. Now, whats you're opinion of that incentive? Do you think its something you'd personally like to see more or less of?
  • AJ007 15y ago
    My opinion is that it sucks, and there is not much you can do about it if your business's marketplace pressures require extracting value rather than giving it away. Hypothetically, insurance is an extraction business -- pay out as little as possible so you have more money than your competitors to pay out commissions and advertise. Commodity product manufacturing works the opposite direction, make and price your product for as little as possible so companies purchase from you (and arguably, you are extracting that value instead from your employees in terms of pay and safety.)
• anamax 15y ago
  > As long as it is an auction process, there is intense pressure on all involved to extract as much value as possible from every customer. When I walk into a physical store, there's not a google ad in sight, yet they're trying to extract as much value from me as possible. That's why I doubt that advertisers would behave differently under a different ad pricing system.