Directions: You may use two (2) quotes in your report, each no more than one sentence in length. Ensure your report meets all of the following criteria: A minimum of 700 words– your name, class number/title, date, etc. and references do not count in determining word count Double-spaced Times New Roman, 12 pt font size Upload your report as a Word document or rtf file Situation 3 Warren Keating is an artist in Los Angeles who was an early seller on eBay, following the pattern of many artists who believe that auctioning their work is the way art should be sold. He has concluded that his market is made up of collectors, who would not want to see the value of what they are buying decline due to price cutting. Keating leans toward full retail pricing, and when he sells on eBay, it’s through the “Buy It Now” listing or the more negotiable “Buy It Now or Make Offer.” He thinks the biggest mistake an artist can make is inconsistent pricing that causes the buyer to lose confidence in the product’s value. According to Keating, you should act with “courage and conviction.” Sources: www.warrenkeating.com, accessed April 7, 2015; and Warren Keating, “Sell More Art Online with New Pricing Strategies,” http://youcansellartonline.blogspot.com/2011/01/ sell-more-art-online-with-new-pricing.html, accessed April 7, 2015. Question 1 What do you think makes selling works of art different from selling other kinds of products? What makes it the same? Question 2 Have you bought anything on eBay? If so, did you receive good value for the price you paid? If not, ask someone who has shopped successfully on eBay for advice on how to shop on that site, and report on what that person tells you. Question 3 How would you price a work of art? What do you think the advantages and disadvantages of using an auction would be?

 

Small Business Management: Warren Keating

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Small Business Management: Warren Keating

Selling Art Works

Selling works of art is different from selling other types of products in that they are mostly made by putting personal creativity, experience, and love into the art. Moreover, according to (Keating, 2015), the selling of art products by a business is different from selling other types of products because the pieces of art are made by the artist with a degree of authenticity. Selling an artwork is trying to impact the feelings as well as trying to influence the buyer through sharing a message through art. However, apart from impacting the buyer, the similarities between selling works of art and selling another product is that both have the common intention of making money and achieving the appreciation of the products or items.

How to Shop on eBay

I have never bought anything from eBay but I have been hearing both positive and negative feedback from my friends and relatives who have transacted with on the site. I have been harboring this desire to shop on the site and I had to seek advice from friends and relatives who had positive reviews concerning how to shop on the site. The first advice given was to identify the perfect item I desired to purchase through checking on the suggestions and the specific categories. This option will provide an opportunity to filter several applicable fields. I was also advised to shop around so that I find the right deal which can be cheaper, taking lesser time to be delivered and in a better condition. I also ought to be a smart shopper by identifying items which could be underpriced and avoiding them.

The seller’s feedback number and percentage on the site could be helpful in determining if the transaction on the site will be smooth. The different types of listing styles such as buy it now, best offer or auctions will impact how the item should be bought. I can pay in full for items for the listed prices or use the best offer button for the seller to accept or reject my offers or use the auction method where I strategically place the highest bid to win (Keating, 2015). Also, I learned that eBay offers the buyers a money back guarantee in case of an uncooperative seller and unpleasant experience. In addition, I can transact on the site using PayPal which makes buying safer and easier.

Pricing Artwork

When pricing works of art the most important thing to consider is the market and the forces operating in the market. The market forces are the main determinants of the worth of items in the market (Longenecker, Petty, Palich, & Hoy, 2016). Therefore, understanding the market, how it works, how the arts available for sale fit into the market and how they are to be sold will better prepare an individual to appropriately price and sell their artwork. Hence, the artworks will be priced in accordance with certain art criteria which is based on what is happening in the market rather than the artist in person.

The art criterion is all about how the people concerned with art globally place value of dollars on artwork (Longenecker, Petty, Palich, & Hoy, 2016). Such people include the dealers, publishers, agents, appraisers, auction houses, collectors, and buyers.  While the owner of the artwork knows the worth of the art, the market also must be having an idea of the worth of the same art. Hence, the market and the owner of the artwork must work together to form a common price structure which makes sense (Longenecker, Petty, Palich, & Hoy, 2016). The prices must make sense, be fair, reasonable and should be justified with regards to the art criteria including the sales history, characteristics of the market and how experienced I am in the market.

 

Auction selling is advantageous because it gives a seller an opportunity to sell uncommon items with uncertain value (Keating, 2015). Hence, an auction will give the opportunity for the interested parties to bid on the likely price of the item to the maximum price. This will eventually lead the owner to ascertain the market value of the item. However, the disadvantage could be that the market price or offer could be extremely low as the auction had no competition and because the person who won did not see the real value of the artwork.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

References

Keating, W. (2015, April 7). Sell More Art Online with New Pricing Strategies. Retrieved April 29, 2018, from Warren Keating.com: http://youcansellartonline.blogspot.com/2011/01/ sell-more-art-online-with-new-pricing.html

Longenecker, J. G., Petty, J. W., Palich, L. E., & Hoy, F. (2016). Small Business Management: Launching & Growing Entrepreneurial Ventures. Boston: Cengage Learning.