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blankseplocked Why do we loose isk manufactuing higher quality goods?! - PI NEEDS FIX
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Jack Reman
Posted - 2011.01.11 13:20:00 - [1]

Planetary Interaction Economy Needs Fixing

I originally petitioned this, and a GM asked me to post it here, so here is:

Dear CCP & Players:

With the PI goods, things such as the Nano-Factory's are being sold for much less then the components used to produce them sell for. In shipping Superconductors and Synthetic Oil in and creating Ukomi Super Conductors I loose money, and then turning the Ukomi Super Conductors and Industrial Explosives into Nano Factories I also loose money.

This is like a Ketchup company paying $1 for tomatos, $1 for sugar, and $0.50 for the bottle. Where I come from they would sell the Ketchup in the store for $3.00... BUT FOR SOME REASON IN EVE IT IS SELLING FOR $1

What is going on here? Where should I invest my time an isk?

Are the prices of the "ketchup" level goods going to skyrocket soon? or are the prices of "tomatos and bottles" going to fall out?

I hope your economist has looked at this, this is how great depressions start..

I've studied economics at the Center for Advanced Studies and I understand there was a large stockpiling of assets before Tyrannis, but I would think those who have the higher level goods would want to sell them for at least the price of the components. The current market situation makes no sense to me.

Please help!
Jack Reman

Posted - 2011.01.11 13:32:00 - [2]

I think the goods are a stepping stone into something larger.

Imagine you invented the wheel. Just a wheel won't do you much good, and before the chariot was invented the wheel wasn't in big demand (For the record, yes there were earlier carts with the wheel, but I'm trying to get a point across)

I think, while those PI goods you name aren't in big demand now, there will eventually be something tied into it. A few examples could be T3 frigates and T3 modules. Once they hit the market, you'll be rolling in the dough.

Rek Seven
Zandathorn Industries
Posted - 2011.01.11 13:32:00 - [3]

Agree, it doesn't make much sence but the market is like that because people haven't taken the time to research how much more you could make if you sold the tier 2 or 3 products instead of the tier 4 products, after tax.

For now, I'm making 5 times the amount isk at half the effort. Cool

Glyken Touchon
Independent Alchemists
Posted - 2011.01.11 13:46:00 - [4]

Edited by: Glyken Touchon on 11/01/2011 13:48:49
you really want market discussion forum for this.

could be: there is a surplus of supply for the parts to manufacture POS for the demand.

or: people stockpiled the stuff when it was really cheap from NPCs so even selling it at current prices makes them a profit. just wait for the stockpiles to run out when the prices will start to rise.

The people in MD will give better explanations than I can.

edit: @Rek: poeople will produce to a higher tier because of the volume reduction meaning that they haul less frequently, especially with lowsec planets.

Zenko Incorporated
Posted - 2011.01.11 14:04:00 - [5]

Exactly like people have noted... if the materials sell for more than the product, then sell the materials instead and don't bother with the product. If someone needs the product, then the price will go up once supply and demand reach an equilibrium. Do note that this applies only to the free market part, some corps (or even individuals with alts) might be handling the whole chain from raw materials or first tier products to POS mods or other final products.

I would assume that there are several situations like that in EVE, where there's supply without real demand, or that supply is greater than demand. A fine example would be the pre-insurance nerf price control of people buying cheap ships, insuring them, and then self-destructing (or, if through with the process, letting a corpmate shoot the ship and then salvage the wreck). As insurance gain was greater than ship value, this was profitable - essentially, the ship builder was converting more valuable materials into a less valuable ship and selling the ship on a saturated market. Another example would be some low meta level modules which no one uses, but there's almost always someone buying at an ISK or two per - the modules sold will most likely end up to be refined for their minerals.


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