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Dethmourne Silvermane
RAD BROMANCE
9
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Posted - 2012.01.26 00:15:00 -
[31] - Quote
I think this has been trolled completely off track. OP's question, however badly phrased, boils down to "If I can't make a single isk producing this item FROM A RESEARCHED BPO, how come the prices don't rise until at -least- BPO owners can profit?"
The answer is present in the thread - because people who are inventing (probably - it's possible T2 BPO owners could be derping and blind-producing/selling at a loss, but somewhat less likely) are not taking into account opportunity cost while vertically integrating their product.
For a less complex example of opportunity cost that people do (that still ends up as a loss for people who are not vertically integrated), let's take some completely arbitrary numbers for a hypothetical widget.
Let's say Widget build cost = 1000 ISK + 1000 Tritanium (the ISK being the raw ISK cost of production time in a station or pos; we're assuming this is static when in reality this is somewhat in flux, but bear with me). Let's also say that the sell price of a widget is 2000 ISK on the market (2 times its raw ISK cost, but we have yet to factor in Tritanium cost). Let's say that Tritanium has 2 ISK buys, and 3 ISK sells, per unit.
So now, for the non-integrator (aka the intelligent builder), in the event that they are also generating tritanium, the profit of a widget is P=2000-(1000+2000[we'll assume buy price on trit here, as they're patient fellows]). P in this case is -1000, so the builder finds something else with a P value above 0.
For the integrator/roleplayer/freeminsguy, they're looking at "I can mine 1000 tritanium, build a widget, and get 2000 ISK". What they fail to notice is that they could get 3000 ISK selling the tritanium, or AT WORST get 2000 ISK selling to buy orders; both are better than their net profit of 1000 ISK on the widget (assuming cost of trit is not taken into account). |
Shadowsword
The Rough Riders Ares Protectiva
111
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Posted - 2012.01.26 12:06:00 -
[32] - Quote
Cardval Simalia wrote:LMFAO T2 BPO owner moaning that his blueprint is not printing ISK. LMFAO have you tried invention? If you're so thick as **** that you can't make a BPO work don't even try invention you just don't have the brains for it or the stomach of how much effort it is compared to T2 BPO gifts from CCP.
My, it reeks so much of envy...
If something sell at less that it cost to produce, you can still "make a BPO work if you're not thick as ****"?
Enlighten us, please, I'm bringing my pop-corn... |
TheBlueMonkey
Natural Progression
11
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Posted - 2012.01.27 13:06:00 -
[33] - Quote
Eisengans wrote:Why is the BPO generating a loss, if I take a look on http://eveeye.com/profit.asp?I have seen some other T2 BPOs as well in the last months who will generate a huge loss? How can they be more expensive then a T2 BPC, from which I guess the other T2 items of this product will come from? Or is there another source from where T2 items are generated and I just missed it?
There are alot of people in eve who do things "because they're fun" or "minerals I mine are free" etc. These people will usually cry about no profits in areas too.
upside is now you can reprocess these items and sell them the base materials back for a profit :) |
Eisengans
Royal Amarr Institute Amarr Empire
2
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Posted - 2012.01.27 15:49:00 -
[34] - Quote
TheBlueMonkey wrote:Eisengans wrote:Why is the BPO generating a loss, if I take a look on http://eveeye.com/profit.asp?I have seen some other T2 BPOs as well in the last months who will generate a huge loss? How can they be more expensive then a T2 BPC, from which I guess the other T2 items of this product will come from? Or is there another source from where T2 items are generated and I just missed it? There are alot of people in eve who do things "because they're fun" or "minerals I mine are free" etc. These people will usually cry about no profits in areas too. upside is now you can reprocess these items and sell them the base materials back for a profit :)
You have absolutely no clue about reprocessing T2 materials, do you? |
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