Marketing Analysis Essay Example | Topics and Well Written Essays - 1250 words - 1

Marketing Analysis - Essay Example Depending on the levels of planning and intensity of auctioning process, the auction can last for a few days or even months. This paper analyses the process of spectrum auctioning and the relevant terms used in the marketing and transfer of the spectrum rights. The paper presents an exploration of the practicality involved in auctioning process to the economy of any nation that involves itself in the process. Spectrum auctions involve the sale of several interrelated spectrum licenses at a single moment in the market. There is no specified theory that guides the process of spectrum auctioning. The procedures of designing the auction involve utilization of scientific skills rather than merely economic theories and approaches. However, in the designing of the auction, there is a need that the developers attach more economic value to the amount of revenues collected against the expenses of running the auction (Maarten, 96). This strategy means that the efficiency of the spectrum auction depends on the amounts of revenues, which governments target at the end of the procedures. The levels of efficiency are specifically important because auctions are a relatively more stable source of revenues for the governments, similar to taxation. There are arguments that relate to the aspects, with some of them proposing that there is no need for the governments to attach much efficiency to the process of spectrum auctioning. However, as economists, there is a need that costs of factors of production be compensated in the amounts of revenues collected. This is the reason for making this topic an area of relevance to the economists. According to Mike (93), open bids give a chance for the bidders to get valuable information from the market as it concerns the valuations. The accessed information helps to enhance effective assignment of