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AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
91
|
Posted - 2015.05.29 22:16:19 -
[1] - Quote
Before the industry overhaul my highsec industry alt actually managed to turn a profit (after a long isk sinking career). With a small collection of fully researched blueprints ranging from modules to ships, I was able to go into a small-scale T2 production setup. Margins were not awesome, but enough to keep me interested. After the changes, I eventually gave up entirely - I was not able to match the new selling prices for most of my items.
I keeps bugging me though - hence my question: Do you guys n girls think there's still a chance with the current system for a solo highsec industry venture to be worth the effort - and if so, would you care to share a bit on how you manage it? |

Paranoid Loyd
5451
|
Posted - 2015.05.29 23:33:32 -
[2] - Quote
You can't make a profit because of the stockpiles of things built before the changes, those won't last forever...
In the meantime, I have been hauling things to places where people pay stupid markups for them.
"Gankers are just other players, not supernatural monsters who will get you if you don't follow some arbitrary superstition. Haul responsibly and without irrational fear." Masao Kurata
Fix the Prospect!!!
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Grime89
Jovetec Industries
0
|
Posted - 2015.05.30 00:50:37 -
[3] - Quote
solo industry can be profitable but you have to do your homework and source you materials carefully. Many t2 items will have 25-40% margins depending on how you get materials and where you sell the final product.
Keep in mind that margins arent everything and whatever you are making has to have sales volumes to actually see a return in a reasonable amount of time.
Also keep in mind if you want to see large amounts of profit you will have to have large amounts of overhead. Currently have to carry about a billion worth of overhead to make 200 million profit per week.
Hope this helps,
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Kiddoomer
ScrewWork Inc.
49
|
Posted - 2015.05.30 09:46:16 -
[4] - Quote
I'v been doing solo casual industry for the past months, building T1 cruisers and sometimes T2 cruisers. Until now I was mining every minerals I needed by myself, but I think my mind recently broke with all the pyerite and tritanium needed to build just a dozen of cruisers. So I decided to train for and build a freighter to buy these two minerals and stick to mining everything else. My margins are not huge but I noticed some things like fighters/bombers have a very good margin, don't know why though, maybe the capital building skill needed for that.
Another thing if you like T2 building, I buy my moon advanced material in Providence, prices are better than trade hub and because I solo play, a blockade runner is enough to haul safely the stuff back to highsec.
A survey scanner tweak and new mining methods: interactive mining
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Do Little
Pator Tech School Minmatar Republic
8
|
Posted - 2015.05.31 17:17:38 -
[5] - Quote
I've done very well making T2 modules. Bear in mind that the markets are cyclical. Once the price drops to a certain point, people stop listing new product. The old inventory sells and the the price will snap back - often dramatically. I have a "floor" price below which I will not compete - I simply wait for the market to come to me. Sometimes it takes several weeks - you can get a feel for the range and duration of the cycle for a market and product you are considering by using the price history tab in the market tool. |

AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
91
|
Posted - 2015.06.01 07:42:08 -
[6] - Quote
Thanks for all the insights, folks - much appreciated.
I think one of the things I will concentrate on is the supply of raw materials to start with - as Kiddoomer mentioned, fetching them below hub value. That, and learn patience when, as Do Little said, the market prices cycle.
I think I'll dust off my industry toolset once more and give it a new spin. Thanks :) |

Robert Caldera
Caldera Trading and Investment
982
|
Posted - 2015.06.01 08:49:23 -
[7] - Quote
Grime89 wrote:solo industry can be profitable but you have to do your homework and source you materials carefully. Many t2 items will have 25-40% margins depending on how you get materials and where you sell the final product.
actually it doesnt matter how you get your materials, you should always do calculation with jita sell prices. Everything else is profit from trading not from industry. You could as well sell raw materials/components for same profit or buy cheap stuff in jita and sell somewhere else with markup. |

AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
92
|
Posted - 2015.06.01 10:58:48 -
[8] - Quote
Robert Caldera wrote:Grime89 wrote:solo industry can be profitable but you have to do your homework and source you materials carefully. Many t2 items will have 25-40% margins depending on how you get materials and where you sell the final product. actually it doesnt matter how you get your materials, you should always do calculation with jita sell prices. Everything else is profit from trading not from industry. You could as well sell raw materials/components for same profit or buy cheap stuff in jita and sell somewhere else with markup.
Agreed, it goes into the realm of trading, but it can give me an edge to compete with local prices. Some well organized manufacturing corps with access to a POS (for ex. in lowsec) can build stuff cheaper than I can, so it may be enough to level the playing field if I can get cheaper materials. |

Jan Minayin
Project Kairos The Bastion
2
|
Posted - 2015.06.01 11:29:10 -
[9] - Quote
T2 industry is totally fine. My solo (3 character) hisec industry setup was making a healthy profit from T2 crusiers and modules, even just buying and selling in Jita.
As long as you have a wide portfolio and can adapt quickly to market trends, and build in a POS with a half decent system index, you should be able to turn a profit. |

AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
92
|
Posted - 2015.06.01 11:59:33 -
[10] - Quote
Jan Minayin wrote:T2 industry is totally fine. My solo (3 character) hisec industry setup was making a healthy profit from T2 crusiers and modules, even just buying and selling in Jita.
As long as you have a wide portfolio and can adapt quickly to market trends, and build in a POS with a half decent system index, you should be able to turn a profit.
I had a POS for a while, but my operation is just too small to warrant setting one up. Also, I realized that it stops being casual industry at that point. It would sit there doing nothing for weeks at a time, and that's just sad and unprofitable.
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Tau Cabalander
Retirement Retreat Working Stiffs
4939
|
Posted - 2015.06.02 18:59:58 -
[11] - Quote
Recently I decided to make something new, so I dropped over 2 billion ISK for a decent trial run.
By the time the invention and manufacturing were done, the price had dropped below cost, so I left them on the market, stubbornly refusing to sell below cost.
It took several weeks longer than I would have liked, but every item has now sold at my chosen price. |

Poxs62
StarTrucks Prometheus Allegiance
2
|
Posted - 2015.06.02 19:44:12 -
[12] - Quote
Is this a question about solo industry or solo t2 industry :)
Both are slightly different, but, both will make money Simple fact is i make a tidy profit working from my own corporation and just using stations to build/research etc.
It wouldn't take a genius to know what i build, and most people will already know if they know me from the haulers channel or the BP trade channel |

Mistress Rose
Perkone Caldari State
43
|
Posted - 2015.06.03 03:32:53 -
[13] - Quote
One word:
Shuttles. Always in demand, never enough supply where you need it.
/mr |

AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
92
|
Posted - 2015.06.05 06:17:21 -
[14] - Quote
Tau Cabalander wrote:Recently I decided to make something new, so I dropped over 2 billion ISK for a decent trial run.
By the time the invention and manufacturing were done, the price had dropped below cost, so I left them on the market, stubbornly refusing to sell below cost.
It took several weeks longer than I would have liked, but every item has now sold at my chosen price.
My market research was a bit off on turn-around, but a good item remains a good-item despite market flux.
I noticed this as well - it ties in with what Do Little mentioned earlier about market cycles. If you wait long enough, prices go back up after a while. If you can afford to be patient that is... Though playing casually you usually can (if you have enough market slots free).
Poxs62 wrote:Simple fact is i make a tidy profit working from my own corporation and just using stations to build/research etc.
That's reassuring - knowing it can be done I'll have a look at it again.
Mistress Rose wrote:One word: Shuttles. Always in demand, never enough supply where you need it.
How very true. And often when there is a supply, it's horrendously overpriced. 1 million isk shuttles? Hah.
P.S. I usually search for "shuttle" in the market and try each one to find the closest/cheapest one. |

Robert Caldera
Caldera Trading and Investment
983
|
Posted - 2015.06.05 13:20:58 -
[15] - Quote
AeonOfTime wrote: Agreed, it goes into the realm of trading, but it can give me an edge to compete with local prices. Some well organized manufacturing corps with access to a POS (for ex. in lowsec) can build stuff cheaper than I can, so it may be enough to level the playing field if I can get cheaper materials.
no, it gives you no edge at all. Again, the profit from cheap mats doesnt make your manufactoring better or more profitable. Just sell them in jita for profit and save the effort of industry. |

Gomex
JinBei-19.3
1
|
Posted - 2015.06.05 19:52:42 -
[16] - Quote
AeonOfTime wrote: I keeps bugging me though - hence my question: Do you guys n girls think there's still a chance with the current system for a solo highsec industry venture to be worth the effort - and if so, would you care to share a bit on how you manage it?
Definitely !
I got my billion just by buying component in Jita, producing T2 items and then selling the items in places where i get a benefit.
I managed it by creating my own tool wich i recently made public.
The aim of the tool is to give you places/items where you get the best margin (costs are always based on Jita average). You can filter profits in order to take only those who give you a 50% margin or more (or less).
You can try it at http://evebs.net or https://evebs.net Or have a look on screenshots : http://evebs.net/sessions/screenshots, or help : http://evebs.net/user/help
Hope it will help you in your future business :) |

Estephania
Independent Political Analysts
3
|
Posted - 2015.06.05 22:59:36 -
[17] - Quote
I have found that many items are sold below or at the price of their manufacturing cost. Which means many industrialists are virtually working for free, or selling at loss. I doubt you can make any profit with small scale industrial operation, maybe on select items after spending hours researching the market. But then you can hardly call it casual. |

Haatakan Reppola
Science and Trade Institute Caldari State
26
|
Posted - 2015.06.06 01:29:09 -
[18] - Quote
Depends what you call casual, making a 30day production job its pretty casual and can make money (need constant high demand for item) |

Do Little
Pator Tech School Minmatar Republic
9
|
Posted - 2015.06.06 08:09:05 -
[19] - Quote
Casual means different things to different people. I spend about an hour a day adjusting prices, submitting jobs and hauling stuff to market. Since I only make modules I can haul in a Blockade Runner which speeds things up a lot. I enjoy the gameplay - some people prefer to do other things.
You can set your price mid-cycle and forget about it - stuff will eventually sell. You can buy all your inputs in Jita and have Red Frog deliver them - but will take a margin hit. The important part is to enjoy the time you spend playing the game. |

z'kroh
Caldari Fire Demons The Southern Syndicate
2
|
Posted - 2015.06.06 12:04:12 -
[20] - Quote
Sure you can, but why alone? This game is pure agony for solo gaming. Seriously. Very, very seriously. |
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AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
93
|
Posted - 2015.06.06 18:07:06 -
[21] - Quote
z'kroh wrote:Sure you can, but why alone? This game is pure agony for solo gaming. Seriously. Very, very seriously.
Aye, I have heard the "Dude, you're playing solo in a multiplayer game??" time and again. Very seriously, I knew what I was getting into before I even launched the game for the first time in 2006. I spent about a week reading up on the game before deciding to try it out. I think it is a testament to EVE's versatility that I have been successfully playing the game solo for 9 years so far.
Then again, I had a lot of fun playing with others over the years as well - it is just not my main playstyle.
And to come back on topic:
Do Little wrote:Casual means different things to different people. I spend about an hour a day adjusting prices, submitting jobs and hauling stuff to market. Since I only make modules I can haul in a Blockade Runner which speeds things up a lot. I enjoy the gameplay - some people prefer to do other things.
Casual for me is not having to spend hours researching every detail. That's why I have developed a small custom-made industry tool that knows all my blueprints, and that I can use to give me a list of required materials and costs for a batch of different items - with or without invention. Then I just thave to buy all I need (agreed, blockade runners ftw), and start the jobs.
The problem lately was merely that the market prices were lower than I could build my items. That is why I wanted to know if it is still possible to compete at all - now that I do, I realize I will have to do a little research to find other items to build that are profitable. The upside is that I will have to add new items to my blueprints collection, and thus become more flexible.
Estephania wrote:I have found that many items are sold below or at the price of their manufacturing cost. Which means many industrialists are virtually working for free, or selling at loss. I doubt you can make any profit with small scale industrial operation, maybe on select items after spending hours researching the market. But then you can hardly call it casual.
I'm not so sure they are all working for free - if you have the infrastructure to build either in lowsec at a POS or in null and bring your items to market, you have quite an advantage. Granted, on smaller items like modules the difference should not be that substantial, but at the margins for most T2 items it can play a role.
Then again, it is quite possible many industrialists out there just do not take all costs into account. If you do not have to buy all materials you tend to forget they come with a cost nontheless.
Lone wolf and nomad extraordinaire. eve.aeonoftime.com
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Haatakan Reppola
Science and Trade Institute Caldari State
28
|
Posted - 2015.06.06 18:47:42 -
[22] - Quote
For T1 items MANY think that the minerals they mine are free, so any isk they get from selling the finished product is manufacture profit. Then you also have people that mine/buy minerals far away from any tradehub and forget that they dont have to kmanufacture before bringing it to a tradehub and sell for a nice profit.
Some items that use alot of minerals may also be easier to build in a remote mining system, import the minerals you cant get localy and haul the finished product. PLaying 0.01 isk game in a tradehub to sell ore/mineral vs selling finished product for same mineral price |

Gilbaron
Free-Space-Ranger Nulli Secunda
1790
|
Posted - 2015.06.07 02:42:05 -
[23] - Quote
z'kroh wrote:Sure you can, but why alone? This game is pure agony for solo gaming. Seriously. Very, very seriously.
you are not playing solo if you are buying from and selling to other players.
about the whole trading vs industry thing:
it doesn't matter where your profit actually comes from, as long as you KNOW where it comes from.
it's not exactly hard to find people willing to sell ore and other ressources at 10-20% below jita. but that's usually at the arse of the universe.
jita ressources to jita end product should be your benchmark. that's actual industry profit.
everything else (cheaper ressources, markup on end product) is a trading and/or hauling profit.
if a major part of your profit comes from things that are not industry, you should seriously consider switching over to that activity. |

AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
93
|
Posted - 2015.06.07 10:24:47 -
[24] - Quote
Gilbaron wrote:z'kroh wrote:Sure you can, but why alone? This game is pure agony for solo gaming. Seriously. Very, very seriously. you are not playing solo if you are buying from and selling to other players.
Hah, I had not thought about it that way. Even talking about "Market PvP" tends to lose its meaning as there is no direct communication, but it's true regardless.
Gilbaron wrote:about the whole trading vs industry thing:
it doesn't matter where your profit actually comes from, as long as you KNOW where it comes from.
Continuing this line of thought, why should we even distinguish between industry and trading profits? Unless you control the whole material chain, there will always be some part of trading involved in industry when you buy materials. Getting materials cheaper than the reference market hub price is a trading profit, but as you said, it does not matter where it comes from if you know from where.
The only reason I would see is to ensure that you do not lose profits by transforming your materials in industry.
Lone wolf and nomad extraordinaire. eve.aeonoftime.com
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Do Little
Pator Tech School Minmatar Republic
11
|
Posted - 2015.06.07 13:57:17 -
[25] - Quote
When I started in industry, I wanted to be vertically integrated - involved in every aspect of the production process. It worked for a while but the time investment required to harvest my own materials grew at the same rate as my business - it wasn't sustainable. I am still self sufficient for P2 and make my advanced components but the other stuff is purchased.
I use the in game industry tool to check profitability. My costs are below "average" so I'll be paying a bit less than the cost shown by the tool and I use the selling price it provides as my floor price. Other than that, I don't pay much attention to the numbers - I'm playing a game, not running a business. At the end of the month, I usually have enough surplus cash to PLEX multiple character training for a couple of accounts and that tells me I'm doing something right!
My industrial operation is concentrated in my own 1 player corporation but my main is in a different player corp and I have a couple of characters in NPC corps so I can continue operations uninterrupted during a war. Solo and social are not mutually exclusive. |

AeonOfTime
Syrkos Technologies Joint Venture Conglomerate
93
|
Posted - 2015.06.07 17:22:02 -
[26] - Quote
Do Little wrote:When I started in industry, I wanted to be vertically integrated - involved in every aspect of the production process. It worked for a while but the time investment required to harvest my own materials grew at the same rate as my business - it wasn't sustainable. I am still self sufficient for P2 and make my advanced components but the other stuff is purchased.
I use the in game industry tool to check profitability. My costs are below "average" so I'll be paying a bit less than the cost shown by the tool and I use the selling price it provides as my floor price. Other than that, I don't pay much attention to the numbers - I'm playing a game, not running a business. At the end of the month, I usually have enough surplus cash to PLEX multiple character training for a couple of accounts and that tells me I'm doing something right!
My industrial operation is concentrated in my own 1 player corporation but my main is in a different player corp and I have a couple of characters in NPC corps so I can continue operations uninterrupted during a war. Solo and social are not mutually exclusive.
Sounds like you are way ahead of me then. I built a tool to keep track of everything because otherwise I forget what I did :) I like the idea of just using the ingame tool though, as an experiment I will try to do the same.
Might I ask if you sell your stuff close to a hub, or out of the beaten paths?
Lone wolf and nomad extraordinaire. eve.aeonoftime.com
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Haatakan Reppola
Science and Trade Institute Caldari State
31
|
Posted - 2015.06.07 21:34:39 -
[27] - Quote
AeonOfTime wrote:Gilbaron wrote:about the whole trading vs industry thing:
it doesn't matter where your profit actually comes from, as long as you KNOW where it comes from. Continuing this line of thought, why should we even distinguish between industry and trading profits? Unless you control the whole material chain, there will always be some part of trading involved in industry when you buy materials. Getting materials cheaper than the reference market hub price is a trading profit, but as you said, it does not matter where it comes from if you know from where. The only reason I would see is to ensure that you do not lose profits by transforming your materials in industry.
You need to distinguish between market and industry profit to make sure the industry part is earning isk instead of loosing part of the trading profit. This is the number 1 reason many items are sold at lower prices than you can make it. Instead of earning 2b/month from trading you "earn" 1b from manufacturing and at the same time screw others trying to get into manufacturing |

Gilbaron
Free-Space-Ranger Nulli Secunda
1791
|
Posted - 2015.06.08 12:38:32 -
[28] - Quote
AeonOfTime wrote:Gilbaron wrote:z'kroh wrote:Sure you can, but why alone? This game is pure agony for solo gaming. Seriously. Very, very seriously. you are not playing solo if you are buying from and selling to other players. Hah, I had not thought about it that way. Even talking about "Market PvP" tends to lose its meaning as there is no direct communication, but it's true regardless. Gilbaron wrote:about the whole trading vs industry thing:
it doesn't matter where your profit actually comes from, as long as you KNOW where it comes from. Continuing this line of thought, why should we even distinguish between industry and trading profits? Unless you control the whole material chain, there will always be some part of trading involved in industry when you buy materials. Getting materials cheaper than the reference market hub price is a trading profit, but as you said, it does not matter where it comes from if you know from where. The only reason I would see is to ensure that you do not lose profits by transforming your materials in industry.
why waste time on industry if it's not making you any money ?
there are very few edge cases, where industry is buying you time instead of money, but that's different.
an example would be someone buying minerals in some remote highsec area that is only building freighters. whenever a freighter is ready, the hull is filled with excess stuff and autopiloted to jita. the return trip is made in a shuttle.
simply making freighters is not exactly a brilliant idea. but using the hulls to save time can be a good idea. transporting the minerals to jita might take several roundtrips, doing the returntrip in a shuttle can provide more time for the cool things in eve. |

Do Little
Pator Tech School Minmatar Republic
12
|
Posted - 2015.06.08 16:02:10 -
[29] - Quote
I've tried selling in Amarr, Dodixie and Hek. I buy stuff in Jita but you can usually get better margins in any of the other regional hubs. I also learned the hard way that a cloaked Blockade Runner can be blown up approaching the Jita dock - the smaller hubs seem to be a lot safer! I dropped Amarr some time ago because it was farthest from my base and I didn't want to invest the time and effort to manage 3 markets. Right now Hek is my best market but that too is cyclical - if you asked me a few months ago I would have said Dodixie.
I'm still on the steep edge of the learning curve and realize that "location" is one of the few ways a merchant can add value in a pure commodity market like Eve. Right now I have several projects on the go to diversify my gameplay but that is definitely something I am interested in investigating once I have some time. |

Zappity
Stay Frosty. A Band Apart.
2166
|
Posted - 2015.06.08 19:50:18 -
[30] - Quote
Create an insta-dock bookmark well within the docking ring. While in warp, set destination to the station and enable autopilot. You will dock instantly. You will want insta-undock bms too.
Zappity's Adventures for a taste of lowsec.
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Nicola Romanoff
Quantum Innovations Limited
24
|
Posted - 2015.06.12 14:41:15 -
[31] - Quote
I make a profit selling T2 and some T1 stuff, I sell in Jita, I donGÇÖt really ponce about sourcing from different places, I get together a bulk amount of what I want, order it, public courier to where I build, build it, public courier it back. The amounts are not fantastic, I am not maximising isk per hour but I am making some isk.
Do I want more. Yes, could I plex my account, probably not. But I am looking at industry to pay for pvp loses, which it does because I donGÇÖt fly expensive stuff. Now if I wanted to fly expensive stuff I would maybe need to be more focused on the details, but as long as I research enough to know if I buy this at A and ship it to B and then build it and ship it back to A it give me a profit, then I am happy.
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Nicola Romanoff
Quantum Innovations Limited
24
|
Posted - 2015.06.12 14:44:09 -
[32] - Quote
Jan Minayin wrote:T2 industry is totally fine. My solo (3 character) hisec industry setup was making a healthy profit from T2 crusiers and modules, even just buying and selling in Jita.
As long as you have a wide portfolio and can adapt quickly to market trends, and build in a POS with a half decent system index, you should be able to turn a profit.
Does the POS matter if you are solo, isnt the 10% station tax offset by the fuel costs of the POS? |

Do Little
Pator Tech School Minmatar Republic
15
|
Posted - 2015.06.14 17:30:42 -
[33] - Quote
In my experience the big difference between POS and station is time. POS labs and arrays get a huge bonus for time efficiency. For making T2 modules this doesn't matter much - you're only saving an hour or two per run but it really makes a difference for research, copying and invention. Those tasks will take days longer in a station. You also must use a POS if you want to invent or manufacture T3 ships and subsystems.
I took my POS down during a war and decided not to put it back up. I've since skilled a couple more characters for invention and don't miss the POS. Station is actually easier to work in because you don't need to physically move stuff between labs & arrays to get things done. |

Vincent Athena
V.I.C.E.
3447
|
Posted - 2015.06.15 04:14:26 -
[34] - Quote
I took up manufacturing for one purpose: To add value to what I mine. I make and sell stuff for, on average, 30% to 50% more than I could get just bulk selling the ore.
Know a Frozen fan? Check this out
Frozen fanfiction
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Legatus1982
State Protectorate Caldari State
1
|
Posted - 2015.06.24 13:20:11 -
[35] - Quote
There's no such thing as an item that is sold below cost unless in the very rare case of a liquidation attempt for one reason or another.
I think you're forgetting how to actually calculate cost. Just because tritanium sells for 5.12 isk for example (random number I pulled out of my ass don't take it literally) doesn't mean the cost of an item that inputs ten tritanium costs 51.2 isk each. Tritanium is in all actuality a FREE item if you can mine it yourself - or reprocess other items you loot into it.
If you think an item is being sold "below cost" you're probably either seeing liquidation (if it's just a momentary sell listing) or if it's consistent, they're probably getting the input elsewhere for cheaper than you are. |

Vulpinus Perfidium
Royal Amarr Institute Amarr Empire
0
|
Posted - 2015.06.24 21:20:31 -
[36] - Quote
Legatus1982 wrote:There's no such thing as an item that is sold below cost unless in the very rare case of a liquidation attempt for one reason or another.
I think you're forgetting how to actually calculate cost. Just because tritanium sells for 5.12 isk for example (random number I pulled out of my ass don't take it literally) doesn't mean the cost of an item that inputs ten tritanium costs 51.2 isk each. Tritanium is in all actuality a FREE item if you can mine it yourself - or reprocess other items you loot into it.
If you think an item is being sold "below cost" you're probably either seeing liquidation (if it's just a momentary sell listing) or if it's consistent, they're probably getting the input elsewhere for cheaper than you are.
Yes, yes.. this.
Now, kind Legatus, how much can I pay you to make me a few hundred frigates? |

Legatus1982
State Protectorate Caldari State
1
|
Posted - 2015.06.25 16:14:15 -
[37] - Quote
Vulpinus Perfidium wrote:Legatus1982 wrote:There's no such thing as an item that is sold below cost unless in the very rare case of a liquidation attempt for one reason or another.
I think you're forgetting how to actually calculate cost. Just because tritanium sells for 5.12 isk for example (random number I pulled out of my ass don't take it literally) doesn't mean the cost of an item that inputs ten tritanium costs 51.2 isk each. Tritanium is in all actuality a FREE item if you can mine it yourself - or reprocess other items you loot into it.
If you think an item is being sold "below cost" you're probably either seeing liquidation (if it's just a momentary sell listing) or if it's consistent, they're probably getting the input elsewhere for cheaper than you are. Yes, yes.. this. Now, kind Legatus, how much can I pay you to make me a few hundred frigates?
For the low price of ten billion isk you can be the proud owner of one combat ready atron :) |

Haatakan Reppola
Science and Trade Institute Caldari State
47
|
Posted - 2015.06.25 18:47:44 -
[38] - Quote
Legatus1982 wrote:There's no such thing as an item that is sold below cost unless in the very rare case of a liquidation attempt for one reason or another.
I think you're forgetting how to actually calculate cost. Just because tritanium sells for 5.12 isk for example (random number I pulled out of my ass don't take it literally) doesn't mean the cost of an item that inputs ten tritanium costs 51.2 isk each. Tritanium is in all actuality a FREE item if you can mine it yourself - or reprocess other items you loot into it.
If you think an item is being sold "below cost" you're probably either seeing liquidation (if it's just a momentary sell listing) or if it's consistent, they're probably getting the input elsewhere for cheaper than you are.
The cost assosiated with minerals are either the price you pay to get it OR the price you can sell those minerals for. If you can sell 10 units of tritanium for 51.2isk (numbers from quoted post) or manufacture an item that use 10 tritanium and sell for 51isk, that item is sold below cost! Its irrelevant that you can mine it without using a single isk, the mineral still have a value.
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Kgu
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Posted - 2015.06.25 22:46:18 -
[39] - Quote
Haatakan Reppola wrote:Legatus1982 wrote:There's no such thing as an item that is sold below cost unless in the very rare case of a liquidation attempt for one reason or another.
I think you're forgetting how to actually calculate cost. Just because tritanium sells for 5.12 isk for example (random number I pulled out of my ass don't take it literally) doesn't mean the cost of an item that inputs ten tritanium costs 51.2 isk each. Tritanium is in all actuality a FREE item if you can mine it yourself - or reprocess other items you loot into it.
If you think an item is being sold "below cost" you're probably either seeing liquidation (if it's just a momentary sell listing) or if it's consistent, they're probably getting the input elsewhere for cheaper than you are. The cost assosiated with minerals are either the price you pay to get it OR the price you can sell those minerals for. If you can sell 10 units of tritanium for 51.2isk (numbers from quoted post) or manufacture an item that use 10 tritanium and sell for 51isk, that item is sold below cost! Its irrelevant that you can mine it without using a single isk, the mineral still have a value.
The trouble is that there's no way to "short," mineral prices other than building things with your own under par. It is possible that the MIMAF producer is simply witless and doesn't realize the forgone profit (in which case, they're effectively dumping materials on the market to a kind of buy order - the demand for their module or ship priced under the market-sourced-cost), but it's also the case that, even if he knows what he is doing, that he realizes an intangible "profit," from the act of producing and selling things from the ground up. At which point he is perfectly willing to operate "at a loss," and subsidize his business with trade or missions, etc. What these players are engaged in is a kind of subsidy to their customers, but one they enjoy giving.
Incidentally, you can usually tell around patch-time that a surplus of production alts have been put to use speculating because thereafter we see predictable spikes in production at costs far exeeded by par. That is, they spend a lot more than would usually be necessary to produce things they believe will appreciate due to patch changes and new demand. So the curiosity of producing things and selling them at a great distance from material market value is one of the few ways to access a speculative short or long position on the market itself or at least market prices of produced modules relative to mineral production.
tl;dr: Minerals they mine aren't "free," but the miner can act as though their productive activity and consequential value is zero or even negative and they would do this because they value the activity itself and are willing to compete to subsidize the players who buy their wares below the mineral value floor. Now, off to check the hubs for stuff to reprocess. |

HJK CLONE1
Perkone Caldari State
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Posted - 2015.07.04 14:40:28 -
[40] - Quote
http://nevillesmit.com/
You might find this guy's chronicle useful. For what its worth I've run into quite a few solo hi-sec folks being pretty successful at T2. |
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