Here's a novel idea: how about getting rid of #2 totally. That would clear a lot up.
Originally posted by Sedo
There are a few different pricing options at Sedo.
1. Fixed price: There is a buy it now button, no room for negotiation.
2. A suggested price. The seller sets a non binding asking price. A bidder can offer less, that ammount or even more. The seller retains the rights to accept, counter or cancel the negotiation regardless of the offer. The seller is free to counter with any price.
3. Make offer. The seller lists his/her domain with no indication of what they are interested in. In this scenario a seller can counter with any offer or accept. The seller will only be able to cancel after coming back with one counter offer however. This counter offer can be of any price.
I definitely admit it's not very savvy to suggest a price and then counter with something higher. This almost never leads to a sale but it's a freedom some want.
Dealing with such negotiations can be frustrarting but we also provide the comment field where such obvious faux pas can be pointed out. Sometimes a bad negotiation tactic like this can be used as leverage to close a deal.
"I think there is a world market for maybe five computers." --Thomas Watson, Chairman of IBM, 1943