Abstract:We design a twostage mechanism for more efficient and practical procurement operations,which implements first multiattributes auction then bargaining. Main novelty of the mechanism is that we focus on three characteristics of practical procurement: both bidding and bargaining for price and qualities,both buyer and seller’s information revelation problem,and time cost problem with corresponding strategies construction. We show that,the auction stage holds MBR(Myopic Best Response) incentive compatible for buyer and sellers. Also,allocation outcome on equilibrium path and its relationship with buyer and seller’s real valuation is presented. Bargaining stage improves the efficiency of auction stage,especially; we show there exist Nash-Bayesian equilibrium strategies and corresponding beliefs for both players in the mechanism.