Qantas Airways has announced a new scheme for frequent flyers to upgrade to business class seats. Under the previous system, passengers with a specified amount of frequent flyer points were allowed to upgrade to available business class seats. Now, frequent flyers can also bid a mix of frequent flyer points and cash for upgrades. A minimum dollar amount of cash will be required, and Qantas will give guidelines on the likelihood that a proposed bid will be successful.

1. Could Qantas' new scheme be considered as an auction?
2. Why would Qantas believe that its profits will be increased by the new scheme?
3. Why would Qantas give a guide to whether the cash bid made by a passenger for an upgrade will be successful?