Flashback... how to dominate business

Day 86, 13:20 • Published in USA USA • by Pearlswine

People wonder how Flashback can easily undersell US housing suppliers. The 4th Street Journal goes deep to figure out both how and how low they can go, read on to find out.

If you don't feel like reading, here's the rub.

1 House costs them 30.54 USD.to make

Currently they are offering houses at 48 USD / house before taxes, a profit of 18 USD / house easily undercutting US housing suppliers.


Flashback has recently entered the US housing market and even with the US's 99% import tax, they continue to undercut local suppliers. Many ask how that is possible.

First we must figure out their cost per house.

As of the 1st of Feb there were appx 74 people employed with Flashback, since then appx 40 more people joined their ranks. Attendance in the company is high, over 90%. From this we can estimate the number of hours worked so far this month (an hour is one person coming to work for one day). From that we can determine the average salary.

Quick math shows that the average salary is around 3 SEK / day.
(3300 SEK / ~80 people / day / 14 days so far)

Ok, good. Now the next challenge is to figure out what a person's average productivity is. Scrolling through their employee list, I'd have to say their average skill is somewhere near 3.

Now, one person's productivity is a function of 1, the person's skill, 2, the number of other people who have come to work today as a percentage of the total number of employees of that company, 3 the total number of employees and 4, wellness.

Taking a random samplng of employees we can estimate the company's average wellness. It appears that older employees have a wellness of 100 and younger employees have a wellness above 75%. The average wellness is probably over 90.

So an average employee's productivity can now be computed.

Prod = 3 (skill) * (0.91+115/100) (number of employees) * 1 (attendance) * (1 + 90/50) wellness
Prod = 17.3

So the average cost per productivity point is 3/17.3, (Productivity / salary) = 0.173

So their cost per house is 0.173*200 = 34.7 SEK / house

Now we can look at the exchange rate for gold
1 SEK ~ 0.07 gold or 1 gold = 14 SEK

This means each house costs appx 2.4 gold.

Converting to USD
1 gold = 12.5 USD

1 House = 30.54 USD.

Currently they are offering houses at 48 USD / house, a profit of 18 USD / house easily undercutting US housing suppliers.

The US housing industry will need both strong leadership and government backing to be able to undercut the highly efficient Sweed housing industry. (we're currently losing the game to the Sweeds)

One last thing, I'm probably high on this estimate, Flashback is currently selling houses for 28 SEK in their home market. That would point to their costs being less than that for a single house.