Social facilitation
Contributing factors

Business can also use social facilitation to their advantage, specifically in online auctions, which takes into the account the emergence of instant messaging and communication availability technologies. The interaction between buyers and sellers in traditional, face-to-face markets creates phenomena such as social facilitation, where the presence of others impacts behaviour and performance. In the study involving Java-based Internet Dutch auction, the findings indicated that social facilitation does indeed occur and participants improve their results and stay longer in the auction under conditions of higher virtual presence. Participants also indicate a preference for auction arrangements with higher degrees of virtual presence.
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