MBA Program Office
MBA Course Auction: Frequently Asked Questions
Accessing the Auction
Where is the auction interface?
How do I get in to the auction interface
once I'm there?
Can I get to the auction from any computer?
The Auction Process
What is the Wharton MBA Auction?
What is a section? What is a seat?
What are rounds? When do the rounds open and close?
How do I find which courses are being
offered?
What is a bid? How much should I bid on a seat?
What is an ask? How much should I ask for a seat?
What is a zero ask? When should I place a zero
ask?
What does "one-round" and "standing" bid
or ask mean? How do I know which to use?
What is the clearing price?
What is an adjustment?
What is the "WAP" and how do I bid on a seat offered
at the WAP price?
Can I place more than one bid on the same
section?
If I own a seat in a section, can I place
another bid on that section?
I can't find the section I'm looking for. What
am I doing wrong?
Can I bid more points than I have?
I'm sure my ask on a section will be
successful. Why can't I bid those points?
My bid was the same as the closing price. Why
didn't I get a seat?
My bid was the same as my friend's. She got the
seat and I didn't. Why?
What happens if I own a seat in a section and
you announce changes (i.e., time, capacity, instructor)?
How will I know about changes to
the auction?
What is the DFI?
After the Auction
I just realized that I bought the wrong
seat in the auction? What can I do?
The auction's over, but I don't need a seat
that I bought? What do I do?
What happens if a seat opens up in a section
after the auction ends?
Error Messages
Why is there a "Duplicate Login Detected"
dialog box?
I get an "Invalid Bid Amount" dialog box when
I try to place a Bid
I get an "Invalid Ask Amount" dialog box when
I try to place an Ask.
Contact us
Who do I ask for help?
I have a suggestion . . .
Accessing the Auction
Where is the auction interface?
You can get to the interface through SPIKE or through the MBA Program
website (see the Auction link).
How do I get into the interface
once I'm there?
Use your Wharton username and password.
Can I get to the auction from any
computer?
You can use any computer with internet access.
The Auction Process
What is the Wharton MBA Auction?
The MBA Course Registration Auction is a system for purchasing seats
(places) in elective course sections using points that are loaned
to you by the Graduate Division. The auction also includes the registration
process that enrolls you in courses in which you own seats.
What is a section? What is a seat?
A section is a specific course offered at a specific time. For instance,
an elective may be offered at two different times. Each time slot
would be given a specific course number (e.g., FNCE725:001, FNCE725:002),
indicating the department, the course number and the section number.
Each section has a given number of available seats.
A seat is one (1) place within a given section. When you bid for a course, you are bidding for a specific section within a specific time slot. If your bid is successful, you own only that seat.
What are rounds? When do the rounds open
and close?
The auction is divided into 10 "rounds" or opportunities
to buy and sell seats. The first eight rounds of the auction include
three (spring) or four (fall) rounds that take place before classes begin and five (spring) or four (fall)
rounds that take place after courses begin (thus giving students
an opportunity to shop for courses). You may bid for all full and
half semester courses in the first eight rounds. The last two rounds
enable you to buy and sell courses in the second quarter (Q2 or
Q4) of the semester. The auction calendar can be found on the auction interface or on the MBA Program website under the Auction or Calendars link.
How do I find which courses are being
offered?
There are two ways to find out what courses are being offered:
1) Go to the Curriculum link of the MBA Program Office website and
click on "Course Lists>Term"
2) Click on the "my bids" section of the auction interface
3) See the full list (including changes) in the Quick Links box of the MBA Program website
What is a bid? How much should I bid on a
seat?
A bid is a request to buy a seat in a specific section for a specific
price using auction points and may be one-round or standing (see
below). You should bid the maximum number of points that you are
willing to spend. Note: A bid requires that you have the requisite
amount of points to fulfill this request. The process of placing
a bid reserves that number of points for the bid as long as the
bid is active. If there are adjustments to your account, you may
need to adjust your bids. To get an idea of what has been bid before
on a course, you can use the research icon of the interface. This
icon can be used to look at previous rounds of the current auction
or previous auctions. You will only be able to see the bids for
previous rounds in this or other auctions, since this is a "closed
bid" auction.
What is an ask? How much should I ask for
a seat?
An ask is an offer to sell a seat that you own, specifying the number
of points you are willing to accept in order to give up the seat.
The ask may be one-round or standing (see below). You should ask
for the minimum number of points that you are willing to accept.
To get an idea of what has been asked before on a course, you can
use the research icon of the interface. This function can be used to
look at previous rounds of the current auction or previous auctions.
You will only be able to see the asks for previous rounds in this
or other auctions, since this is a "closed ask" auction.
What is a zero ask? When should I place
a zero ask?
A zero ask is one in which you offer to sell a seat for nothing.
If there is sufficient interest in that round for that section,
your seat will sell for more than zero points. If not, then the
Graduate Division will place a corresponding bid of zero and will
buy the seat from you. This is equivalent to "dropping"
your seat in the section. It is the only way to guarantee to get
rid of the seat and avoid post-auction penalties. You will lose
the original points that you paid for the course.
What does "one-round" and "standing"
bid or ask mean? How do I know which to use?
A one-round bid means that the bid or ask is active only for the
duration of the round in which it was placed unless you withdraw
it or it is nullified by the auction administrator (due to bid ineligibility
or the withdrawal of the section). A standing bid means that the
bid or ask on the section remains valid for all rounds of the auction
in which the section is offered unless it is successful or withdrawn
by you or it is nullified by the auction administrator (due to bid
ineligibility or the withdrawal of the section). If you don't expect
to change a bid, then the standing bid avoids having to keep placing
bids in each round. If you think that you will need to modify the
bid in each round, then a one-round bid is best.
What is the clearing price?
The uniform clearing price is set as the higher of the intersection
between the first losing bid and the highest winning ask. For a
full explanation of the clearing price, see the "Auction
Description" available under the Auction link on the MBA
Program website.
What is an adjustment?
An adjustment is any penalty, replenishment or alteration of the
points in your auction account outside the process of buying and
selling seats. The "my account" icon of your auction interface
will reflect any adjustments to your auction account.
What is the "WAP" and how do I bid on a seat
offered at the WAP price?
When seats are added to a section, these new seats are offered by
the Graduate Division at the weighted average clearing price or
"WAP" of the course in preceding rounds (the weights being
the trading volume in rounds). When a course is offered at the weighted
average clearing price, all bids for the round in which the extra
seats are offered must be equal to or greater than the amount of
the WAP in order for the bids for these seats to be successful.
Check the research icon of the auction interface and click on "data";
the WAP is shown in the final column of the displayed table.
What is the "DFI"?
The DFI is the sum of the consumers' and the producers' surplus and provides a combined measure two things: (a) the strength of the demand and (b) the extent to which the demand is met. In the first round, the DFI is just the sum of the successful bids (i.e., it is the area under the demand curve up to the capacity limit). The DFI, and not the clearing price, is the right measure of the popularity of a course. The DFI for Round n is computed by the following recursive formula:
DFI(n) = DFI(n-1) + (sum of successful bids in Round n) - (sum of successful asks in Round n)
where DFI(0) = 0.
Can I place more than one bid on the
same section?
No. Once you have placed a bid or ask on a section, that section
is removed from the list of available sections in the "my bids"
or "my asks" dialog boxes of your auction interface.
If I own a seat in a section, can
I place another bid on that section?
No. This section will not appear in the list of sections available
for bidding.
I can't find the section I'm looking
for. What am I doing wrong?
There are several reasons that you might not see a section:
- You already own a seat
- The section is cross-listed under another department. See the "Course Lists" page under the Curriculum link of the MBA Program website for possible cross-lists
- The section may not be offered until a later round
- The section might not yet be available for bidding
- The section may no longer be in the auction, either because the section has been cancelled or is no longer available for bidding
- The sections might not be in alphabetical order
- Sometimes we just forget to add the section. If you let us know (see Contact us), we'll get it in the auction within a few minutes (with profuse apologies)
Can I bid more points than I have?
No. You may not incur a negative point balance.
I'm sure my ask on a section will
be successful. Why can't I bid those points?
Because these points don't yet belong to you - and let's face it,
your ask might not be as realistic as you think!
My bid was the same as the closing price.
Why didn't I get a seat?
This is the question we are asked most often. The closing price
in this case represents the amount of the first losing bid. For
instance, your bid was 231 . . .
| Seats |
Bid |
Ask |
| 1 |
543 |
100 |
| 2 |
432 |
100 |
| 3 |
231 |
as you can see the first two trades could go through because the bid was higher than the ask. The third bid was not, so the price (your bid of 231) was established as the higher of the first losing bid and the highest winning ask.
My bid was the same as my friend's. She got
the seat and I didn't. Why?
If several bids are the same amount and there are no more seats
that could be sold for that bid amount, then the computer will pick
one bid at random for the trade. The other bid becomes the first
losing bid (and the closing price). Yes, this is annoying, but there
is little we can do. Always chose non-multiples of ten to help avoid ties.
What happens if I own a seat in a section
and you announce changes (i.e., time, capacity, instructor)?
The change that you will see most often is an increase in capacity.
To soften the effect of this increase on those who already own a
seat, the Graduate Division will offer those seats at the weighted
average clearing price (WAP). The WAP price represents the average
of all seats sold over all rounds. You can find this number by using
the Research icon of the auction interface. Just click on the specific
section and the data tab. The WAP is the number on the far right
column of the resulting table. To bid on one of these seats, you
must bid at least the WAP amount or your bid will not be successful.
Occasionally, departments must cancel a section or change the time or instructor. When sections are cancelled, we notify the seat owners and refund the points paid for the course. We do not offer additional compensation. When the class time is modified, we will notify you if you own a seat. If you still wish to retain that seat, you may do so. If you do not want the seat, we will refund your auction points. Again, there is no additional compensation. If the instructor is changed, the auction proceeds as if there had been no change.
The issue of compensation for changes is an often thorny one. The Division, after a great deal of discussion, has decided that trying to find a level of compensation would be impossible (a minor problem for one student might be major for another; some changes might actually be beneficial, etc.). Therefore, we have determined that it is best to allow the market to again find an equilibrium without interference.
How will I know about changes
to the auction?
At the close of each round, the MBA Program Office will email all students with annoucements of changes. These are also listed on the "announcements" icon of the auction interface and on a spreadsheet displayed in the Quick Links box of the MBA Program website.
After the Auction
I just realized that I bought the wrong
seat in the auction? What can I do?
If the auction is still underway, the only way that you can
get right of the seat is to sell it in the current round of the
auction. If the auction has ended, see "Out
of Auction Course Changes" (also available under the Auction
link of our website). If your problem is that you have the
wrong section, you may be able to "swap" sections. However,
you will need signed permission from the instructor and there may
be penalties. See "Out of
Auction Course Changes" to assess the impact.
The auction's over, but I don't need
a seat that I bought? What do I do?
If the instructor is willing, you can drop the course. There
may be penalties, depending on whether or not the course had open
capacity in the last round in which it was offered. See "Out
of Auction Course Changes" to assess the impact. You will
need an "Out of Auction Registration Change" form available
on our webiste under the Forms/Surveys link or in 300 JMHH. If the
instructor permits this change, submit the signed form to the MBA
Program Office.
What happens if a seat opens up in a
section after the auction ends?
At the end of Round 8 (or Round 10) of the auction, the MBA Program
Office receives a list of unsuccessful last round bidders. If someone
drops a seat in a closed course in the first week after the auction
closes, we will offer that seat to the highest unsuccessful bidder
for the course at their bid price. If the offer is accepted, the
student is registered for the course and their auction account is
debited for the bid amount. There is no further cost for the seat
(i.e., no penalities for late adds) and the student will
receive replenishment for the course if completed.
Error Messages
Why is there a "Duplicate Login Detected" dialog box?
This is a dialog box that alerts
you to the fact that you are attempting to log in having not properly
logging out the previous time. Click the OK button or press the
Enter key.
I get an "Invalid Bid Amount" dialog box
when I try to place a Bid.
This happens when someone inadvertently tries to exceed their
available points or place a bid below the minimum amount. The dialog
box will indicate the correct minimum bid and your interface displays
your available point balance.
I get an "Invalid Ask Amount" dialog box
when I try to place an Ask.
The interface restricts the maximum amount for an ask to 10,000
points.
Contact us
Who do I ask for help? auction@wharton.upenn.edu
I have a suggestion . . .
Please help us improve the auction process with your participation.
Send an e-mail to the auction
team or the MBA
Program Office.