I have said before that I can't completely feel sorry for someone that gets their bid maximized by a shill bidder, because noone made them bid that high. By the fact they entered that bid, they showed they were willing to pay that much to get the item. A shill bidder couldn't get me to pay $400 for a sealed satan cross 4-pack if he tried, he would instead win his own auction. But that doesn't excuse the shill bidder.
To a certain extent, I agree that it's not always a healthy practice to
drastically change how you value an item based on what others are willing to pay...but to a varying degrees, that's what we do all the time. It's basic human nature to want what others want. If someone else values an item, then it's got to have some value. MUSCLES would be worth practically nothing if no one else placed any value on them (and that's exactly how it was for some time). The main reason one piece of plastic is valued more highly than another piece of plastic, is because other people are competing for it and are willing to to pay more. Shill bidding gives the buyer a false picture of that competition. The buyer thinks that he's got to step it up if he wants the item bad enough, or he has to decide to walk away. Either the shiller bumps the buyer up just enough to be happy, or he overbids and offers a second chance buy. Either way, your top bid was only what you were willing to pay
under the most competitive circumstances. You probably weren't willing to pay that much unless there was competition. And if this is tolerated to any extent, then all it does is set a precedent for the next auction. Prices get inflated, and in the end, everyone is screwed except the sellers.
Even the sellers who also buy get screwed. Just look at arforbes. It's been mentioned by others, but he was probably caught up in his own tornado of inflation. The more he wanted those rare items, the more he paid, and the more he had to get for his sales in order to support the purchases. He took a dark path pretty early on (with Yapiel at least), so it's not even remotely excusable, but you can at least understand it. He was the force behind much of the increasing prices for rares and other figures alike. So, if you care about this staying an affordable hobby, you have to come down hard on that type of inflation.
Do/should owners of retail stores get arrested for "manipulating" the prices of the items that they have in stock?
The comparison is just way off. A seller advertising a price is not manipulating it. When you advertise retail, you either sell, or you don't, at the price you named. Because people have other retail options. When you get into price collusion and monopolies, then you go back to that illegal/unfair area where the price of an item is no longer linked to reality---what actual people in real competition are willing to pay for it---its just linked to whatever the seller wants to receive.
And Soupie, I agree 100% with that fair trading thread idea. I think it could go a long way toward repairing this situation and preventing future problems.
Edited by hunterrose2000, 04 June 2008 - 01:34 PM.