Despite the rapid growth of technology and Internet-based markets, many of
the current systems limit themselves to price as the single dimension varia
ble and offer, if at all, only minimal negotiation support to the consumer.
In the real world, commercial transactions take into account many other pa
rameters both quantitative and qualitative such as product quality, speed,
reputation, after sales service, etc. This paper discusses how these multip
le attributes can be captured to augment standard negotiation processes in
order to support electronic market transactions. Using a combination of uti
lity theory and multicriteria decision-making, we propose heuristic algorit
hms to discover potential trades. In addition, the approach is included wit
hin a larger framework that incorporates market-signaling mechanisms. This
not only allows for the systematic evolution of negotiation positions among
buyers and sellers but can ultimately lead towards improving both market t
ransparency and efficiency. To illustrate the multiple criteria model coupl
ed with the dynamic market signaling framework, we report in this paper the
implementation of a Web-based clearinghouse that serves the real estate ma
rket.