| Pages: [1] :: one page |
| Author |
Thread Statistics | Show CCP posts - 0 post(s) |
wallenbergaren
   |
Posted - 2009.03.02 14:44:00 -
[1]
Why do people jump in and start selling more than a day's worth of item x at a 50% lower price margin? Do they think they can get away with it? Well, they can't
It just lowers everyone's profits
|
Cinta Verick
Amarr
4th Dimension Investments
|
Posted - 2009.03.02 14:49:00 -
[2]
Would you like some cheese?
|
Axxul
Void Engineers
Black Sun Alliance
|
Posted - 2009.03.02 14:50:00 -
[3]
wallenbergaren,
I have wondered the same thing myself. There are a number of threads asking this same question. Some reasons that come to mind: push competitors out of that market, The seller is of the "I mined it so its free" train of thought, and/or They have worked out a way to produce it significantly cheaper.
Sorry if I stated the obvious.
-Axxul.
|
Akita T
Caldari Navy Volunteer Task Force
|
Posted - 2009.03.02 14:51:00 -
[4]
There are many reasons to do that that will eventually lead to that guy making a profit in the long run.
Like, say, for instance, WANTING to artificially kill price levels so that he can eventually rebuy everything and relist ath the "proper" price... or he actually does make a good enough profit even like that, who knows ? Of course, you COULD be looking at somebody just trying to get rid of his stock and in a desperate need for ISK.
Either way, your post is too non-descript to make an informed guess from us possible... or you are just too short-sighted.
_
Create a character || Fit a ship || Get some ISK |
Yseulte Sunskimmer
|
Posted - 2009.03.05 08:57:00 -
[5]
Edited by: Yseulte Sunskimmer on 05/03/2009 08:57:09
 Originally by: wallenbergaren
Why do people jump in and start selling more than a day's worth of item x at a 50% lower price margin? Do they think they can get away with it? Well, they can't
It just lowers everyone's profits
Buy it up. Relist it at a better price. Simple.
|
Shar Tegral
|
Posted - 2009.03.05 09:20:00 -
[6]
1 - Depress market 2 - buy everyone out 3 - force market up. 4 - ProfitDamn I forget the question market stage!
My old mercenary(PVP) corp is recruiting again. Would you believe I'm giving them my signature block for free? |
Martosh Toma
Gallente
Fraction Investment
|
Posted - 2009.03.05 09:42:00 -
[7]
In general:
- Controling the market
- Culling the competition
- Long term strategy
- Psygological wafare
- Collecting your tears and whines.
|
|
Chribba
Otherworld Enterprises
Otherworld Empire
|
Posted - 2009.03.05 11:22:00 -
[8]
tbh I find OP's name the most interesting part of the post - for those who know who the Wallenberg family is 
Secure 3rd party service |
|
Kylar Renpurs
Dusk Blade
|
Posted - 2009.03.05 11:32:00 -
[9]
Tears,, nom! Keep em coming please.
|
Kazzac Elentria
|
Posted - 2009.03.05 13:06:00 -
[10]
Originally by: Shar Tegral
1 - Depress market 2 - buy everyone out 3 - force market up. 4 - ProfitDamn I forget the question market stage!
I approve of this plan |
SencneS
Amarr
Rebellion Against big Irreversible Dinks
|
Posted - 2009.03.05 18:02:00 -
[11]
Originally by: wallenbergaren
Why do people jump in and start selling more than a day's worth of item x at a 50% lower price margin? Do they think they can get away with it? Well, they can't
It just lowers everyone's profits
"Everyone's" You may want to reconsider that.
If the seller wasn't making any sales, then bombing the market for everyone, at the same time selling the items for even a 0.0001% profit is giving him a profit and preventing everyone else from getting any profit from it at all.
Never assume what someone does is stupid or irrational, there is always a reason. Especially if it's done with large numbers.
My corp mates recently started a campaign in which we said "Nothing over 25% margin of cost" some items we placed where over 300% BELOW regional average. It was an experiment for the most part and one we found it quiet profitable. As the first week we only managed about 100mil profit, the second week after we had market PVP with the price gougers and they finally caved, we made about 250mil profit. For the last two weeks we've rolled 500mil profit, and targeted to make 700mil this week. Why, even though 70% of the products we're selling at least 50% cheaper then everyone else?
Because people where actually buying from the local market. The term "Pricing yourself out of business" comes to mind, while the thousands of local visitors and regional occupants where use to price gouging and only purchased local in a pitch. They where either making items themselves or going 3-4 jumps to a new region and buying items 50%-300% cheaper. Now they don't have to.
While at the very cheap markup some people believe they would buy out our stuff and re list at a higher price, we had that in mind and already had replacement items in stock with the ability to remake all the items very quickly.
With complete market dominance and reasonable prices we've even picked up local contract to supply large quantity of items at 30% margin over cost. Local residences don't travel out of region to get their stuff. And we've received both love and hate mail because of it. Love because locals said "THANK YOU for taking over, I was sick of trying to keep the price down." Some people do take it on themselves to keep the price down from gougers. From the looks of the market at least 80% of the competition has either given up or stopped because they no longer needed to keep prices level and away from gougers.
There is always a reason even if it appears to be irrational or counter-productive.
Amarr for Life |
zombeee
Caldari
State War Academy
|
Posted - 2009.03.05 18:46:00 -
[12]
It's because they're idiots. Is this what you wanted to hear? Now pack up and go sell somewhere else. Oh wait, that's exactly what they want.
And "this." to all what SencneS has written above.
Originally by: Artemis Rose
This is EVE, if you don't have overkill, you aren't doing it right.
|
Mithrasith
|
Posted - 2009.03.05 20:00:00 -
[13]
Edited by: Mithrasith on 05/03/2009 20:00:23
you know, it does really dissapointment me that there isnt nearly enough smack talking going on in Market PVP.
For instance, when you get punked in ship to ship combat pvp, some people say gf, others bust out the smack talk. I really feel that there isnt enough smack talk going on in local or on the market boards.
Please increase your market smack talk by 60% if you've been successful.
Because, there's really nothing quite as satisfying as bankrupting someone.
|
ZeusOnRoids
Amarr
|
Posted - 2009.03.05 20:53:00 -
[14]
market war is a silent war
-------------------------------------
you canŠt hit it? you CAN |
Absimi Liard
Gallente
Vertical Industrial Partners Limited
|
Posted - 2009.03.05 21:07:00 -
[15]
Originally by: Mithrasith
Please increase your market smack talk by 60% if you've been successful.
Because, there's really nothing quite as satisfying as bankrupting someone.
I so feel like I should smack-talk you right now! *grin*
I'm in the cut their profit margins off at the legs with my 15% markup products line of business myself. So I would dearly love some nasty smacktalk from folks I've hurt. But so far no hate-mail.
*deep sigh*
How am supposed to stop being a carebear if no one is crying tears over my damaging their profits? How?
Why does Market PvP have to be quiet???
KHAAAAAANNNNNNNNN!!!!!!!!
*obligatory Kirk-pose*
|
| |
|
| Pages: [1] :: one page |
| First page | Previous page | Next page | Last page |