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Lydia Rose Nightingale
Industrial and Mining Enterprises
0
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Posted - 2012.04.02 08:40:00 -
[1] - Quote
I heared some one saying somthing like {Quote: 'You have miners "minerals i mine are free" killing profits."
now i'm confused
yes you have infestment in skills and ships and moduls but thats the same with missions and incursions and other stuf yes you have time infestments. but that is the same with other way's of making money
yes you can say "that mineral is worth that amount of isk on the market so thats the value"
of course when i make T1 stuf and sell it on the market i need to calculate the mineral prices in the sell price
but what is against mining the minerals you need to need, altough only for parts? when you rpoduce stuf you have to wait a certain amount of time before it is finisched. you can sit in sation alday or do some missioning or you can do some minning and cut some cost out lets sayyou need 100m tritanium on a weekly basis. at current prices it will cost you +- 480m isk. when you mine 30m tritanium yourself it will cut 144m isk of YOUR costs as you have to buy 30m tritanium less. but ofcourse you still let the buyers pay for that 30m tritanium as if you bought it of market in my thinking it is that you have more marching to play with prices. because if i buy everything my prices need to be higher because i need to break even to keep going and i want to make profit on the way. when i keep the need to buy as low as possible by the meens of mining it is for me possible to play with the price a little more
explain to me way your thinking is diferent. don't come with one liners as 'minirals aren't free'. if it is so explain to me why they arn't free. |
Tauranon
Weeesearch
38
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Posted - 2012.04.02 09:25:00 -
[2] - Quote
if you sell below mins value, I may do any of
(a) reproc your goods and build something valuable with your mins (b) reproc your goods and sell the mins (c) keep your goods until the market recovers. which may be as little as 10 minutes after your order is cleared (d) take your good elsewhere to sell.
IMO since people selling below mins cost lose 10% or more of what they could earn all the time, they never really come to mean much market wise anyway - they lose the essential profit margin that would grow their businesses to being price setting meaningful. When you do what you do, you only earn money at roughly the rate you yank it out of rocks.
In any case look up opportunity cost, and recognise that if you do something that earns you 10mil of something an hour, and forgo doing something that earns you 30mil an hour, you are doing nothing other than losing yourself 20mil an hour (presuming risks are equivalent). |
Samillian
Moonshine Industries The Last Chancers.
110
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Posted - 2012.04.02 09:32:00 -
[3] - Quote
Tauranon wrote:if you sell below mins value, I may do any of
(a) reproc your goods and build something valuable with your mins (b) reproc your goods and sell the mins (c) keep your goods until the market recovers. which may be as little as 10 minutes after your order is cleared (d) take your good elsewhere to sell.
IMO since people selling below mins cost lose 10% or more of what they could earn all the time, they never really come to mean much market wise anyway - they lose the essential profit margin that would grow their businesses to being price setting meaningful. When you do what you do, you only earn money at roughly the rate you yank it out of rocks.
In any case look up opportunity cost, and recognise that if you do something that earns you 10mil of something an hour, and forgo doing something that earns you 30mil an hour, you are doing nothing other than losing yourself 20mil an hour (presuming risks are equivalent).
Says it all. |
Samuel Tuffstein
Tuffstein Investments
5
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Posted - 2012.04.02 09:50:00 -
[4] - Quote
ugh oh.
In fact htis is a troll 1/10
but ill bite anyways.
I had a realy hard time reading all the stuff you wrote, but since the gist of such posts doesnt change much i think i get what your saying.
Fact is minerals you mine are not free, because they have a certain market value so once you have mined, lets say 333 Veldspar which equates 1000 Tritanium you have gained about 5450 Isk.
Those ISK are not part of your Isk pool, you still have to sell them to get access to the isk, in order to reinvest them into something else thats true.
However your total character value, which includes your liquid isk as well as the total sales value of all you goodies, has infact increased by 5450 ISk.
Ok now lets assume that you build something with those 1k Tritanium and sell it for 5000 ISK, while your Liquid ISk have increased by 5000 ISK, your total character value has decreased by 450 ISK, since you could have also sold the Tritanium for 5450 ISK.
So you might be able to sell ships cheaper than others when you use the minerals you have mined yourself and you will still see more liquid ISK on your Bank account at the end of the day, however the total value of your character has in fact decreased then since you have sold the minerals below their costs.
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Tekota
The Freighter Factory
225
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Posted - 2012.04.02 10:04:00 -
[5] - Quote
Imagine you've mined 30m worth of minerals.
Do you: (a) Sell them on the market for 30m. (b) Manufacture them into a ship and sell that for 27m. (c) Manufacture them into a ship and sell that for 33m. (d) Buy 30m of minerals from market, manufacture them into a ship and sell that for 33m.
Option (a) represents a 30m mining profit for your time. Option (b) represents a 30m mining profit and a 3m manufacturing loss for more of your time. Option (c) represents a 30m mining profit and a 3m manufacturing profit for more of your time. Option (d) represents a 3m manufacturing profit for your time.
A suprising number of people do option (b) and this behaviour is what is referred to as "minerals I mine are free". Now, you're more than welcome to do option (b) if you choose, it's a game and you can play it how you like, other people will profit from it as explained above as that's the game they like to play. |
Invictra Atreides
Toward the Terra
56
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Posted - 2012.04.02 10:11:00 -
[6] - Quote
Ok the short story of this is. You mined 1 mill Veldspar and now have 3 options:
(a) Sell the minerals for 15 mill (b) Spend 1 more days to make a ship and sell it for 13.5 mill (c) Find a BPO/BPC that will make an item in 1 day that sells for 20 mil
To those that chose (b), we always tell the old phrase "minerals that you mine are not free". You see we always wonder why they don't just sell the minerals. It takes like 1 sec to do that. Instead many go as far as building ships that require up to 14 days of building before they can sell it. And in the end they sell it for less that the minerals would have sold instantly to Buy orders. Blog |-áTutorials | Youtube "I donGÇÖt know everything, I just know what I know." |
D3F4ULT
Aliastra Gallente Federation
3
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Posted - 2012.04.02 10:31:00 -
[7] - Quote
Time is money my friend.
Oh wait... that's a different game. My bad. |
Sahara Uhuru
4
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Posted - 2012.04.02 10:59:00 -
[8] - Quote
We do the following in our corp: We buy lots of minarals and produce stuff. Sometimes we like to go out mining. If we do so we make sure our corp is the top buyer and then sell our minerals to our corp. That way our mining makes profit for the one doing the mining and our prices are not messed up by seemingly free isk.
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Leto Atraities
Ministry of War Amarr Empire
1
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Posted - 2012.04.02 11:40:00 -
[9] - Quote
"The PLEX i grind for is free!" |
Halete
Tribal Liberation Force Minmatar Republic
47
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Posted - 2012.04.02 11:42:00 -
[10] - Quote
Excuse me for not offering as much insight or going into quite as much depth with my response as these fine gentleman have been but,
Minerals are free? That's the dumbest thing I've heard in a while. And I'm surrounded by some god-damn dumb people on a day-to-day basis. Generic small-time hero-tackle pilot with no relevance. |
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Skorpynekomimi
Omega Vector
164
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Posted - 2012.04.02 14:14:00 -
[11] - Quote
If I could make more selling the minerals on the market, why the **** am I paying for a manufacturing slot, and crunching numbers? I only make things when they make a profit. Otherwise, minerals go into a sell order when I need the ISK. |
Celgar Thurn
Department 10
34
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Posted - 2012.04.02 14:34:00 -
[12] - Quote
No! Mined minerals are definately NOT free! In your mind it might give you some 'play' to reduce your selling prices of items you produce but you are screwing both yourself and the market.
Do some maths and work out your costs: BPO/BPC, POS fuel etc if doing invention/research on BPO,etc. Add up all the minerals required to produce a run of the item and work out what you would receive if you sold them on the market and/or what it cost to buy them from the market. Find somewhere where you can sell the item making xx% profit. If it is not possible to sell the item and make a profit but profit can be made from selling the minerals you mine then sell your mined minerals. Or find another item that a profit can be made on. |
Zircon Dasher
109
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Posted - 2012.04.02 14:40:00 -
[13] - Quote
Lydia Rose Nightingale wrote:I heared some one saying somthing like {Quote: 'You have miners "minerals i mine are free" killing profits."
now i'm confused
yes you have infestment in skills and ships and moduls but thats the same with missions and incursions and other stuf yes you have time infestments. but that is the same with other way's of making money
yes you can say "that mineral is worth that amount of isk on the market so thats the value"
of course when i make T1 stuf and sell it on the market i need to calculate the mineral prices in the sell price
but what is against mining the minerals you need to need, altough only for parts? when you rpoduce stuf you have to wait a certain amount of time before it is finisched. you can sit in sation alday or do some missioning or you can do some minning and cut some cost out lets sayyou need 100m tritanium on a weekly basis. at current prices it will cost you +- 480m isk. when you mine 30m tritanium yourself it will cut 144m isk of YOUR costs as you have to buy 30m tritanium less. but ofcourse you still let the buyers pay for that 30m tritanium as if you bought it of market in my thinking it is that you have more marching to play with prices. because if i buy everything my prices need to be higher because i need to break even to keep going and i want to make profit on the way. when i keep the need to buy as low as possible by the meens of mining it is for me possible to play with the price a little more
explain to me way your thinking is diferent. don't come with one liners as 'minirals aren't free'. if it is so explain to me why they arn't free.
Wow. Not a single response that read your post completely.
You are pretty much 100% correct.
The one place where someone may object to your reasoning is in the choice to mine vs. some other activity. Someone may object by saying mining 20m ISK/hr "worth" of minerals produces less utility than running a mission at 30m ISK/hr. However, this only makes sense when you play EVE because of the ISK/hr you can make. It is entirely subjective and therefore a fairly **** argument. |
Bugsy VanHalen
Society of lost Souls
72
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Posted - 2012.04.02 15:05:00 -
[14] - Quote
Lydia Rose Nightingale wrote:I heared some one saying somthing like {Quote: 'You have miners "minerals i mine are free" killing profits."
now i'm confused
yes you have infestment in skills and ships and moduls but thats the same with missions and incursions and other stuf yes you have time infestments. but that is the same with other way's of making money
yes you can say "that mineral is worth that amount of isk on the market so thats the value"
of course when i make T1 stuf and sell it on the market i need to calculate the mineral prices in the sell price
but what is against mining the minerals you need to need, altough only for parts? when you rpoduce stuf you have to wait a certain amount of time before it is finisched. you can sit in sation alday or do some missioning or you can do some minning and cut some cost out lets sayyou need 100m tritanium on a weekly basis. at current prices it will cost you +- 480m isk. when you mine 30m tritanium yourself it will cut 144m isk of YOUR costs as you have to buy 30m tritanium less. but ofcourse you still let the buyers pay for that 30m tritanium as if you bought it of market in my thinking it is that you have more marching to play with prices. because if i buy everything my prices need to be higher because i need to break even to keep going and i want to make profit on the way. when i keep the need to buy as low as possible by the meens of mining it is for me possible to play with the price a little more
explain to me way your thinking is diferent. don't come with one liners as 'minirals aren't free'. if it is so explain to me why they arn't free. Basically it comes down to a few simple facts.
If you need to mine your own minerals just to make it so you do not lose money making an item than you are making the wrong item, or you skills are to low to make a profit manufacturing.
If you need/use mining to supplement your income that is great nothing wrong with that. But in the scenario you described you would be further ahead just selling the minerals you mine, rather than using them in manufacturing an item that you are losing money on.
for example if you are making an item that sells for 50 mil isk, you have 40 mil worth of the needed mats, but still need 15 mil worth of Trit to complete it. You can mine the 15 mil worth of trit and say your time mining it was worth less than 15 mil so you could sell at 50 mil for a profit. Your manufacturing may break even, however you are still losing 5 mil out of your mining profits by doing this as that trit could have been sold for 15 mil.
Many new manufacturers do this, as until you have production efficiency 5 and a decent BPO or BPC to work off of very few T1 items are profitable. The single most important skill in manufacturing is production efficiency 5 it affects the amount of waste(additional mats needed) for anything you make. if you do not have it to 5 most items will be worth less than the mats you need to make them.
PE5 and some decent BPO/BPC's to work from will allow you to make profit. All the rest of thge manufacturing skills just increase speed or number of slots you can use. PE5 is the main skill affecting profits, other skills just increase profit by increasing capacity.
If you do not have PE 5 you can by items cheaper than you can make them. Considering how skill intensive manufacturing is, it is a short time to wait fro PE 5 to train before diving in. use that time to by and research some BPO's or buils up a stock pile of materials(mats). You will be glad you did.
Even with perfect manufacturing and trading skills there is very little profit to be made in Jita off T1 items, usually around 3-5% in my experience. For those getting into manufacturing your best profits will be selling ammo in mission hubs rather than trying to sell in Jita. However you could make almost as much just buying the ammo in jita and moving it to the trade hubs. |
Zircon Dasher
109
|
Posted - 2012.04.02 15:20:00 -
[15] - Quote
Bugsy VanHalen wrote: for example if you are making an item that sells for 50 mil isk, you have 40 mil worth of the needed mats, but still need 15 mil worth of Trit to complete it. You can mine the 15 mil worth of trit and say your time mining it was worth less than 15 mil so you could sell at 50 mil for a profit. Your manufacturing may break even, however you are still losing 5 mil out of your mining profits by doing this as that trit could have been sold for 15 mil.
I hear that reading line 7 of the OP you quoted is necessary to maximize your posting profits. |
Katja Faith
Republic Military School Minmatar Republic
11
|
Posted - 2012.04.02 15:30:00 -
[16] - Quote
Bad troll is bad. You should immediately delete your toon and head back to WoW. |
Invictra Atreides
Toward the Terra
58
|
Posted - 2012.04.02 15:31:00 -
[17] - Quote
@Zircon Dasher I'll try to explain.
- buying minerals worth 100 mill ISK - manufacture a ship and try to sell it for 110 mill ISK (this gives a 10 mill profit)
Now you realize that you have to wait 24h, so you go mine.
- in that day you mined 20 mill ISK of ORE - the OP is asking if it is OK to forsake logic and sell the ship for 95 mill after all he now paid 80 mill for minerals instead of 100 mill (he mined the 20 mill himself) - the OP now notices that he gets a 15 mil profit selling the ship at 95 mill because he only paid 80 mill for minerals.
- the truth is that paying 100 mill gives a 10 mill profit per ship and the mined minerals would give an additional 20 mill profit
@Zircon Dasher I respect anyones decision if he doesn't want to play by the rules, but if you think that any of use answered the OPs questions incorrect or if we misunderstood him then pls explain further. I'd try my best to solve this mystery :D Blog |-áTutorials | Youtube "I donGÇÖt know everything, I just know what I know." |
Zircon Dasher
109
|
Posted - 2012.04.02 15:39:00 -
[18] - Quote
Invictra Atreides wrote: - the OP is asking if it is OK to forsake logic and sell the ship for 95 mill after all he now paid 80 mill for minerals instead of 100 mill
Lydia Rose Nightingale wrote:of course when i make T1 stuf and sell it on the market i need to calculate the mineral prices in the sell price |
OllieNorth
Recidivists Incorporated
139
|
Posted - 2012.04.02 16:05:00 -
[19] - Quote
Minerals I Mine Are Free (MIMAF) is a great tactic.
If you enjoy playing that way, good for you. A bunch of the people who rant about MIMAF are the same who gloat about the "tears" they extract via PvP.
Your MIMAF production is just another kind of PvP, enjoy the tears you extract, I hear they are delicious.
P.S. As long as it is fun for you, do it. It's a GAME after all. |
Ninyania alCladdyth
McLuvin AstroDynamics
24
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Posted - 2012.04.02 16:13:00 -
[20] - Quote
OllieNorth wrote:P.S. As long as it is fun for you, do it. It's a GAME after all.
^this, honestly.
If you think someone is listing items below fair market value, you're free to buy & relist at what you feel is appropriate.
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Adian Grey
Hedion University Amarr Empire
0
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Posted - 2012.04.02 17:06:00 -
[21] - Quote
When I am at work, I hvae the benefit of being able to log in, but I can barely pay attention to the game due to work. So what do I do? Fire up the Hulk, check it once every 15-20 minutes with about 30 seconds of attention and at the end of the day I have a nice stack of minerals just waiting for me.
Time is money! |
Zircon Dasher
109
|
Posted - 2012.04.02 17:13:00 -
[22] - Quote
OllieNorth wrote:Minerals I Mine Are Free (MIMAF) is a great tactic.
If you enjoy playing that way, good for you. A bunch of the people who rant about MIMAF are the same who gloat about the "tears" they extract via PvP.
Your MIMAF production is just another kind of PvP, enjoy the tears you extract, I hear they are delicious.
P.S. As long as it is fun for you, do it. It's a GAME after all.
This. It is great fun.
A year(ish) ago I came across a guy who funded his PLEX semi-afk by manufacturing from mineral buy orders with an alt. I started listing product at .5% over min+manu+transaction cost on the 5 items he dealt in.
He tried to buy and re-list for a while, but everytime he bought my gear I would dump another days worth on the market. He sent me about a half dozen mails full of RAEG. In one email he even begged me to stop since he was not going to be able to make his PLEX for the month.
He tried moving regions but strangly everywhere he went he ran into the same problem. Eventually he sold the character and went back to missions for his PLEX money.
Good Times. |
Lydia Rose Nightingale
Industrial and Mining Enterprises
0
|
Posted - 2012.04.02 17:52:00 -
[23] - Quote
Invictra Atreides wrote:@Zircon Dasher I'll try to explain.
- buying minerals worth 100 mill ISK - manufacture a ship and try to sell it for 110 mill ISK (this gives a 10 mill profit)
Now you realize that you have to wait 24h, so you go mine.
- in that day you mined 20 mill ISK of ORE - the OP is asking if it is OK to forsake logic and sell the ship for 95 mill after all he now paid 80 mill for minerals instead of 100 mill (he mined the 20 mill himself) - the OP now notices that he gets a 15 mil profit selling the ship at 95 mill because he only paid 80 mill for minerals.
- the truth is that paying 100 mill gives a 10 mill profit per ship and the mined minerals would give an additional 20 mill profit
@Zircon Dasher I respect anyones decision if he doesn't want to play by the rules, but if you think that any of use answered the OPs questions incorrect or if we misunderstood him then pls explain further. I'd try my best to solve this mystery :D
Not quiet.
What i meant to say in my orginal post was that when i produce somthing that is selling at 110m isk with a base mineral worth of 100m and 24h to produce i can use some of that time to mine 20m of minerals. What you then get is that I have to buy the other 80m of minerals, produce the item with the mined and bought minerals totaling the base price of 100m and sell it for 110m. What you than get is 10m profit out of the sell AND 20m for the time a put in for the mining.
That whas i trying to tell in my way of thinking. It's up to you if you want to at that 20m as profit or money per hour. |
Invictra Atreides
Toward the Terra
60
|
Posted - 2012.04.02 18:36:00 -
[24] - Quote
It took you so long to response so many of use did assumptions. I'm sorry for that.
Quote:in my thinking it is that you have more marching to play with prices. because if i buy everything my prices need to be higher because i need to break even to keep going and i want to make profit on the way. when i keep the need to buy as low as possible by the meens of mining it is for me possible to play with the price a little more
I'll try to give more insight to this part. - You sold the ship and made (10+20) 30 mill of profit. - Because you mined some minerals yourself you now feel that you have more room to play with prices. - How low are you willing to sell the ship now? Lets say 100 mill. - You now get a profit of 20 mill
All you would do in this example is to put in some (manufacturing + mining) work and get a profit of 20 mill. In this case the manufacturing part was a waste of time. Just mining gets the same profit. Now this is only if you sell the ship as low as 100 mill. Going lower would be just wrong. It's the illusion that makes you fell like you can get more profit on the Manufacturing part if you mine yourself. Breaking down profits to its basic parts makes it easier to decide what to build.
Funny Note: Manufacturing at a loss is a waste of time. In fact doing any activity that makes you lose money is a waste of time. It's actually better to do nothing. I can actually claim that PvP in EVE is the most wasteful way of wasting time, because you lose ISK which is time. Some claim that the amount of time you waste is only influenced by the "fun" factor. Some go as far as to state that if you have enough fun at something that then it doesn't matter if you are wasting time doing it. But the fact will always remain the same no matter what I do. My family when they see me playing games: "Why are you wasting time again with playing those stupid video games, why don't you go do something more useful." Blog |-áTutorials | Youtube "I donGÇÖt know everything, I just know what I know." |
Tau Cabalander
Retirement Retreat Working Stiffs
574
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Posted - 2012.04.02 19:04:00 -
[25] - Quote
Lydia Rose Nightingale wrote:but ofcourse you still let the buyers pay for that 30m tritanium as if you bought it of market That's the problem. Many people don't do that, because they think it was free.
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Zircon Dasher
110
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Posted - 2012.04.02 20:01:00 -
[26] - Quote
Invictra Atreides wrote: : "Why are you wasting time again with playing those stupid video games, why don't you go do something more useful."
This is by far the most compelling reason that Time is not money inside a videogame...unless you do RMT.
You know, a really interesting question to ask is what "mineral price" people use. For example, I might produce and sell an item 5% above mineral price relative to the station I am in. However, min price at that station may be 10% under mineral value relative to the region I am in. Which may be 10% under mineral value relative to Jita.
If the item price stays constant relative to mineral price, then manufacturing profit is the same at all places. Any %increas in profit can only come via trading profit.
If you do that, though, people make whine threads about MIMAF |
Julien Brellier
Federal Navy Academy Gallente Federation
3
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Posted - 2012.04.02 22:42:00 -
[27] - Quote
It's all relative.
You can run an L4 mission, make 20-30mil in under an hour, use that to buy minerals and then build somethign and sell it on for a profit... Or you can mine the specific minerals you need to build something (the "minerals are free" brigade) Or you can mine the hell out of the best selling ore in your region, sell the minerals and then buy the minerals you need to build your stuff and sell it on for a profit. Or you can just plain out mine and sell the ore and minerals for pure profit. If everyone ran L4s for cash to buy minerals, then nobody would be mining, supply would drop and prices would go up.
The minerals debate will never end as isk/hour arguments vs AFK passive income vs supply and demand and market fluctuations are impossible to resolve on a permanent basis |
Tauranon
Weeesearch
44
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Posted - 2012.04.03 00:10:00 -
[28] - Quote
Zircon Dasher wrote:
The one place where someone may object to your reasoning is in the choice to mine vs. some other activity. Someone may object by saying mining 20m ISK/hr "worth" of minerals produces less utility than running a mission at 30m ISK/hr. However, this only makes sense when you play EVE because of the ISK/hr you can make. It is entirely subjective and therefore a fairly **** argument.
This applies to mining the wrong minerals too. Given manufacturing uses a basket, and trit is good for highsec but rarely the most profitable/hr, there is still something clearly rotten in the plan here. When you make a series of these mistakes in one action, you can easily add up to 25% less per hour pretty quick compared to someone else -also- mining in highsec.
Quote:
EDIT
Staying on the theme of maximizing utility in relation to time
Depending on your preferences for how to spend your time in game, it can actually be worth it to place items on the market for less than the mineral value. Some people will gladly buy a 100m ISK stack of items so that they can reprocess them for 102m ISK at a hub that is 10 jumps away.
Nope. This is you not bothering to calculate the value of hauling logistics to yourself, and not working out how/when you can dual purpose a flight. Hubs don't move, and non hubs rarely contain the entire manufacturing basket of mins, and that cannot be fixed by local mining yourself, because thats exactly what causes the skewed distribution of mins at the non-hub in the first place.
Mining the wrong mins is an opportunity cost. Mining the right mins in the wrong place is an opportunity cost.
Building stuff that is unprofitable ties up capital which is an opportunity cost. Building stuff in the wrong place so that it ties up capital and can't be profitable ls an opportunity cost. Owning an unprofitable BPO is an opportunity cost. Buying bpcs to make unprofitable things is moving from opportunity costs to outright loss. Copying a BPO that can't make a profit manufacturing is more profitable than manufacturing. etc.
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Zircon Dasher
113
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Posted - 2012.04.03 01:30:00 -
[29] - Quote
Tauranon wrote: Nope. This is you not bothering to calculate the value of hauling logistics to yourself
Nope. This is you not bothering to differentiate between manufacturing profit and trade profit.
Quote: non hubs rarely contain the entire manufacturing basket of mins
I have always been able to find several highsec non-trade-hub systems where the entire basket is available for t1. This is very true for low/0.0/wh or if you are doing t2/t3 manufacture. EDIT: volume may or may not be an issue and is highly dependent upon person.
Quote:Mining the wrong mins is an opportunity cost.
Only if you are able to mine and refine better mins.
Quote:Building stuff that is unprofitable ties up capital which is an opportunity cost. Building stuff in the wrong place so that it ties up capital and can't be profitable ls an opportunity cost. Owning an unprofitable BPO is an opportunity cost. Buying bpcs to make unprofitable things is moving from opportunity costs to outright loss. Copying a BPO that can't make a profit manufacturing is more profitable than manufacturing. etc.
Not building stuff that is unprofitable (yet not at a loss) may be an opportunity cost. Owning any BPO may be an opportunity cost.
More importantly- Notice the use of the words "can" and "may" in this post and previous posts. |
Tauranon
Weeesearch
44
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Posted - 2012.04.03 02:17:00 -
[30] - Quote
Zircon Dasher wrote:
I have always been able to find several highsec non-trade-hub systems where the entire basket is available for t1. This is very true for low/0.0/wh or if you are doing t2/t3 manufacture EDIT: volume may or may not be an issue and is highly dependent upon person.
If you mine for 3 hours for one min, you'll have a fair sized basket requirement to consume your gathered portion. ie you'll need 100mil+ to consume 30mil.
If you take the other approach - ie you sell to a buy order most of your gathered portion, and then buy from a sell order a basket the size of your gather, then you've just gone and created negative trade profit in order to manufacture. Given non hubs have slow sales movement, you'll just be tying up that mined capital along with extra working capital for days to wait for it to exchange if you try to access the proper sides of the spreads when converting to a basket for manufacture.
Quote:Quote:Mining the wrong mins is an opportunity cost. Only if you are able to mine and refine better mins.
Finding the local maxima and having several reliable belts BM'd with various balances of roids that you can recheck quickly is a once off investment that lasts pretty much forever. My alt created in 2009 has BMs created in 2009. I'm always vaguely amused to see them showing in context menus as I fly past.
You might want to log in once after a DT respawn to see what is supposed to be where, and then vague mental empirical records will do for the rest of your playing career.
Quote:More importantly Notice the use of the words "can" and "may" in this post and previous posts.
The scenario you put forward didn't have "cans" or "mays", it had obvious problems. |
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