<P> A bid price is the highest price that a buyer (i.e., bidder) is willing to pay for a good . It is usually referred to simply as the "bid". </P> <P> In bid and ask, the bid price stands in contrast to the ask price or "offer", and the difference between the two is called the bid--ask spread . </P> <P> An unsolicited bid or purchase offer is when a person or company receives a bid even though they are not looking to sell . </P> <P> A bidding war is said to occur when a large number of bids are placed in rapid succession by two or more entities, especially when the price paid is much greater than the ask price, or greater than the first bid in the case of unsolicited bidding . </P>

What is difference between bid and offer price