The fast development of communication technology caused the millions of auction listings in thousands of categories on auction websites, for example eBay, Yahoo and uBid (Yen and Lu, 2008). Online auctions conducted over the Internet provide substantial sales growth chances for the intermediaries and substantial unit cost reduction for purchaser of chosen commodities (Emiliani, 2000). Recently, online auctions activities have increased rapidly, leading to a transaction revolution that is online consumer-to-consumer (C2C) auction (Yen and Lu, 2008). Emiliani (2000) mentioned that most of the companies will experiment with downward price online auctions because they change the nature of competition. Parente (2004) added that online auctions decrease the transaction costs for the suppliers and buyers and also bring a significant impact for profitability for the buying and selling companies.
Educational institutions such as college and universities require connections within their respective districts, campuses and remote location (Abdul Hamid, 2003). It is not excluded the University Utara Malaysia have the internet connection that is the wireless network (hotspot) installations in UUM campus (Lim, 2004) and also wireless local area network (WLAN) at Residential college for example Bukit Kachi (Mohd, 2005). However, there is no online auction to be developed in order to utilize the university’s facilities. Students do not obtain the advantages and unable to realize the utilization or advantage from such facilities. With the increasing number of UUM students who have their own laptop or computer and together with the wireless network, provide the potential of online auction to UUM students. Thus, this online auction that cope with the accessible wireless network is needed in order to fully utilize the facilities.
Hence, the online auctions are adopted in this study in order to provide the alternative approach of auction the products. Thus, online auction products system is developed by web-based technologies to auction the products for UUM’s students especially International students, faced problems when they want to dispose their belongings simultaneously students can auction the products which interested and favoured at anytime and anywhere
1. Problem statement
UUM’s students, especially international students, faced problems when they want to dispose their belongings. They have no appropriate a venue to sell their belongings. Some of them were very expensive when they bought that item. However, they have to sell them cheap because they do not have buyer for their belongings. UUM provides online advertisement service in shoutbox to all UUM’s residents, however the shoutbox does not help much because there is no mechanism of fixing/achieving a good price for the items. Thus, this problem can be overcame by an auction as mentioned in the study of Wenyan and Bolivar (2008), that an auction is a selling mechanism where a plurality of goods or services is open to bids and then transferred to the winning bidder or bidders. Economic theory considers the auction formats as efficient pricing mechanisms.
Some of the International students from Libyan country are interviewed and claimed that they faced the problem for dispose their belongings because they still new in this environment and second point, they do not have much networking to know who want to dispose their belongings. In addition, the shoutbox is not a productive medium to sell things online. That is the purpose of why International students always trying to find other alternative way to dispose their belongigs. Thus, the productive medium to sell things is stated by Quaddus et al. (2005) that online auction can bring advantages for both sellers and buyers of on-line auction, the dominant ones are reduction in transaction costs, increase in potential customers, and improvement in search-and-find capabilities...