Profit from Companies [Day 1,709]
Day 1,709, 09:28
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Published in USA 
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by
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by Don.Corleone123
Hello, dear eUSA citizens!
I made a financial report for all companies Q1-Q6.
I took prices at 3:00 (eRepublik time).
Food bonus = 100%
Weapon bonus = 100%
Cost of Food Raw Material is 0,03 USD, and cost of Weapon Raw Material is 0,09 USD.
Salary is 300 USD.
CONCLUSION!
If we compare salary with other countries, American salary is too high and it is the main reason why are only Q6 companies profitable.!
If I reach 250 subs, I will do this every second day!
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The eRep economy is one of perfect competition. Under these circumstances, all sellers are price takers and in the long run the aggregate profit of the entire population of companies will equal zero. Prices will continuously gravitate towards the variable costs of the items being sold.
The key to making any profit, and it isn't huge as you've detailed here, is to stay informed and react to the environment around you. The only really input variable that an operator has is their wages.
pretty nice article deserves atleast 200 votes 🙂
Thanks!
Let's express it differently. There are gluts of product in q1-q5 and a scarcity in q6. The price of q6 will fall when there are more q6 companies in operation. Wages will tend to drop as competition spreads. Translated, this is also to say that there are too few buyers in the q1-q5 markets.
voted nice work,
why dont`t you send me some panzer...
it would be better than this analyze.
the real key 4 profit is 2 do what i do: diversify by having both food and weapon rawmat and finished product companies, dont hire employees, and use the most efficent rawmat companies possible so u dont become very vulnerable 2 price fluctuations, while still making money off of rawmats
sub
hm... based on these developments. it's only natural for econgress to raise taxes on us and abolish taxes on imports!
I hope you continue with this even w/o 250 subs.
Can't wait to see how the Q7 coys shake out. Thanks again.
SALE http://www.erepublik.com/en/article/sale-q2-amp-q3-companies-price-q2-20gold-q3-48gold--2089707/1/20
and right as this article is being released, the admin screws the conclusion by adding q7, causing q6 tanks to drop by 5 USD and food to drop 0.1 USD
This brings the profit for q6 food to 48, and the profit for q6 tanks to -8
Of course, this is perfect for the admin since it forces people to spend gold and upgrade to q7 if they want to make a profit off of weapons. The same will probably happen to q6 food in the future.
the "economy" in this game is laughable, what with working managers and pitiful profits. Really, the only way to make good money is by getting medals or buying gold.
Was the economy of v1/v2 any better?
I agree with you breckendorf...tomorrow i will make another article which will include q7 companies so we will see what has changed 🙂
I see that weapons raw is standing at .41 as I write this. If the rational market is in operation here, people will realize that it is more profitable to sell thier excess raw production than to make weapons. The market cost to make weapons are as follows q1/4.10 q2/8.20 q3/12.30 q4/16.40 q5/20.50 q6/24.50 None of these categories of weapons are currently worth more than their raw materials costs. Let's see how this develops.
As someone who has just started looking into the company side of this game, this information is invaluable.
Subbed and I can't wait to see what else you write!
I would like to see today's report!
great work. keep it going