What is a key characteristic of auctions where items are sold without reserve?

In auctions without reserve, the key characteristic is that items will sell regardless of price. This means that there is no minimum threshold that the bidding must reach for the item to be sold. If bidding starts low, and no higher bids are made, the item will still be sold to the highest bidder, even if that bid is much lower than the seller might ideally want. This encourages participation from bidders who may feel they can acquire items at a bargain price, knowing that they will ultimately have the opportunity to win the item without the risk of it being removed from the auction due to not meeting a specific minimum price.

Other options focus on different aspects of the auction process but do not capture the essence of a no-reserve auction in the same way. For instance, starting bids can often vary based on the auctioneer or the seller’s preference and do not intrinsically affect the function of a no-reserve auction. Similarly, while no minimum bid may be common in some auctions, the defining feature here is explicitly about the guarantee of sale regardless of the final bid amount.