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Kharylien
Gallente Masked Rider Project
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Posted - 2010.12.24 00:28:00 -
[1]
Okay. I have Production Efficiency V, and well-researched BPOs. I was a small-time manufacturer a couple of months ago, took a break from active play, now I'm looking at the markets to decide what to produce again.
As far as I can tell, I should be selling off my mineral stockpile instead.
Pretty much every ship I've been looking at in the frigate-cruiser range appears, right now, to be selling below its build cost in minerals.
Am I missing something, or is T1 small ship production just not working sanely right now?
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Harunhh
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Posted - 2010.12.24 00:40:00 -
[2]
It's possible that a lot of people built a lot of ships. Now there's a massive glut of those ships. Supply is outstripping demand and people are panic selling...
If you are 100% sure of your math then it could be viable to buy up all the ships you make, reprocess them and sell the minerals at a profit....
PS. How are your trade skills? ie. How are you sourcing/selling your inputs/outputs? That might be where you are losing profit margin
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Buck Futz
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Posted - 2010.12.24 00:41:00 -
[3]
When CCP gets rid of T2 BPO's that will solve most of these problems.
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Kharylien
Gallente Masked Rider Project
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Posted - 2010.12.24 00:50:00 -
[4]
This is factoring prices off buy order prices (minerals) and sell order prices (ships) around Metropolis, particularly Hek.
I'm seriously considering doing some buying and reprocessing, yeah. There's a couple of modules I have decent BPOs for that look like they'll sell for solid profit.
Looking more closely at the numbers, the problem really seems to be a massive increase in the price of Nocxium since last I was manufacturing. Nocx isn't really native to Minmatar space - I'm also thinking it might be an idea to shop around for some cheaper sources of that.
@Buck Futz: I'm just going to be ignoring you over here, because I hear a dead hobbyhorse being beaten. I really don't see how T2 BPOs can affect T1 ship prices in any significant fashion.
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Samantha Dhal
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Posted - 2010.12.24 07:12:00 -
[5]
What you are missing is that ship production is something many new players hop into and for better of for worse many of them don't ascribe to the idea of opportunity cost so their in there world the Trint and often the Pyrite is free.
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Snutter Flunk
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Posted - 2010.12.24 11:40:00 -
[6]
this can maybe help you.
http://ore.cerlestes.de/index.html#site:ore
need to check diffrent regions for prices, buy cheep and sell hi!
its that easy!
PS hek is only 2 jump from a other region. lots of nice and short trade rutes around there!
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Achnaton
S'Erum
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Posted - 2010.12.24 15:13:00 -
[7]
Originally by: Buck Futz When CCP gets rid of T2 BPO's that will solve most of these problems.
How so?
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Maia Demoncast
New Eden Renegades
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Posted - 2010.12.24 17:46:00 -
[8]
You are right. Profits dropped significantly from where they were this summer I believe. Could be because people were not as active in the summer and many producers were on vacation. Some cruisers are still not very bad if you have researched BPO. Frigates were never profitable afaik.
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Kiyirari
All Star Shipyards
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Posted - 2010.12.24 22:15:00 -
[9]
Don't bother with tier 1 ship production ya be lucky to make 5% PROFIT, really a waste of time...
Pretty much the same on T2 ship production also except ya may get 10% profit on select ships.
don't waste ya time on this trash
Revenge is my god and my guns are her angels |
Petyr Baelich
Valar Morghulis. Get Off My Lawn
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Posted - 2010.12.25 02:30:00 -
[10]
Gillette made a fortune by giving away razors and selling people blades.
Valar Morghulis is recruiting. |
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Comor Dunathis
TerraNovae Workers Trade Federation
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Posted - 2010.12.26 09:40:00 -
[11]
Wait, I'm confused.
When was making widely-available, easy-to-produce T1 frigs and cruisers ever profitable? I can buy a frig for 7k, or make it for 20k at 300 ME/PE. This is why you buy the frigs, melt them down, and sell the zydrine for more than you bought the thing for.
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Compliance
The Greater Goon Clockwork Pineapple
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Posted - 2010.12.26 11:16:00 -
[12]
You have to sell the ships where you can make a profit. Thanks to rampant macro mining, plexes, etc, it's never profitable to sell in a major hub. If you sell your ships in low sec, perhaps in a faction warfare area, you can make big profits on T1 ships and modules.
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Petyr Baelich
Valar Morghulis. Get Off My Lawn
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Posted - 2010.12.26 23:08:00 -
[13]
Originally by: Comor Dunathis Wait, I'm confused.
When was making widely-available, easy-to-produce T1 frigs and cruisers ever profitable? I can buy a frig for 7k, or make it for 20k at 300 ME/PE. This is why you buy the frigs, melt them down, and sell the zydrine for more than you bought the thing for.
When you're buying a new ship in empire what do you do? Check prices, right? If there are ships being sold a few jumps out of a hub for regional lows, (right at mineral value, say) it's probably worth it to you to leave the hub/mission area/etc. Now you buy your cheap ship and search the market for modules for it. Hmm, the modules are a little more expensive here. Not a whole lot, mind you, maybe 10-20% each; ah well, it's probably not worth flying back to the hub to save a few million on mods.
Ships create markets the way modules do not. You could sell your ships at a small loss or at the break even point so that you can sell your modules for a greater profit than you would normally selling in a hub. Or to have less competition than selling in a hub.
Now is the Gillette loss leader reference making more sense?
Valar Morghulis is recruiting. |
Comor Dunathis
BLACK LIGHTNING MINING CREW Vanguard.
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Posted - 2010.12.28 06:59:00 -
[14]
Originally by: Petyr Baelich
Originally by: Comor Dunathis Wait, I'm confused.
When was making widely-available, easy-to-produce T1 frigs and cruisers ever profitable? I can buy a frig for 7k, or make it for 20k at 300 ME/PE. This is why you buy the frigs, melt them down, and sell the zydrine for more than you bought the thing for.
When you're buying a new ship in empire what do you do? Check prices, right? If there are ships being sold a few jumps out of a hub for regional lows, (right at mineral value, say) it's probably worth it to you to leave the hub/mission area/etc. Now you buy your cheap ship and search the market for modules for it. Hmm, the modules are a little more expensive here. Not a whole lot, mind you, maybe 10-20% each; ah well, it's probably not worth flying back to the hub to save a few million on mods.
Ships create markets the way modules do not. You could sell your ships at a small loss or at the break even point so that you can sell your modules for a greater profit than you would normally selling in a hub. Or to have less competition than selling in a hub.
Now is the Gillette loss leader reference making more sense?
Having been in the business of melting down those 7k frigs and turning them into modules for almost 8 months, I can safely say that I avoid systems such as Amarr and Jita due to rampant price gouging. 6 systems from the hubs, I can get my melty stuff for much less than the trade hubs.
Saving a few million on mods has nothing to do with this when I am producing and easily selling my mods for 2-3 times the price of Jita "averages".
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