Illegal collusion between auction bidders usually aims at influencing the auction outcome to the advantage of the bidders. In auctions in procurement markets, manipulation of bidding procedures can trigger highly inflated prices.
EE&MC has effective statistical methods to disclose illegal bid rigging. The methods are individually tailored to the needs of our clients. In bid rigging cases, EE&MC clients benefit from the experience of Professor Hildebrand, whose research and in-depth market knowledge can uncover rigged auctions.
EE&MC's customised models consist of various regressions and other statistical methods that form an important basis for conducting screens and testing structural breaks in bidder behaviour. The econometric techniques are computationally complex and are individually programmed for the client by EE&MC using statistical programmes.
Our specialists have already successfully uncovered bid rigging at clients through software programmes. By directly integrating the EE&MC programming codes into the client's SAP system, an internal warning system for collusive bidding behaviour can be created.