Attention Sellers: Read This
Weterhawk
Undercutting is a problem for sellers. It causes the prices of everything to drop. Which is bad for sellers. If you don't know, undercutting is when you sell something at a price lower than everyone else. Don't do this. Sell everything at the same price everyone else is selling it at. You are only getting less money for selling it at a lower price. Yes, it will sell faster, in wrm, it'll take 2 or 3 hours, but if you sell it at the price everyone else is selling, it will sell in a day. You don't need your item to sell in less than a day.
How it drops the price:
wrm was selling at 7 cents a piece a few month ago. Then in a week, it dropped to 2 cents because of undercutters. This is how:
1. Seller that doesn't know what he's doing sees this:
wrm - 0.07
wrm - 0.07
wrm - 0.07
wrm - 0.07
wrm - 0.07
wrm - 0.07
He thinks to himself, "hehehe.. i'm going to sell my stuff quicker if i put it up for 0.06. ...clever me"
2. Now, another seller sees this:
wrm - 0.06
wrm - 0.07
wrm - 0.07
wrm - 0.07
wrm - 0.07
wrm - 0.07
He thinks to himself, "Oh no, my wrm won't sell if I put it up for 0.07, no one will buy it when there's a cheaper option! I have to go to 0.06 now."
This repeats until the first page looks like this:
wrm - 0.06
wrm - 0.06
wrm - 0.06
wrm - 0.06
wrm - 0.06
wrm - 0.06
So now even sellers that know what they're doing, need to sell at 0.06 to make a sale. Then someone else will come around and sell for 0.05. It eventually got to 0.02.
By undercutting, you're making less money in the long run. 1000 weapons at 0.02 is $20. at 0.07 it's 70. That's a big difference, 50 extra dollars a day if no one under cutted. (If you're making 1000 wrm a day)
I numbered the 2 sellers doing what they shouldn't be doing. You can do something different in these situations.
1. It will sell within a day. If not 1 day, then 2. You don't make extra money by selling it faster, you just get to see a big number sooner.
And always look at the market place before selling. Sometimes erepublik will set the price to be the same as everyone else, sometimes it will set it 1 cent lower. So always check to make sure.
2. Don't match the price of the lowest seller. Sell it at 0.07. The 0.06 well sell out quick, then everyone will start buying the 0.07 again. You might have to wait a bit longer, but it's worth it. If you have allot of money, then buy the 0.06, then add it to your list at 0.07.
Now I have an idea to reverse undercutting.
Uppercutting.
I do this myself, but there's no way one person will change the market.
Sell at 1 cent above the going rate. Leave it like that until your storage is full, then sell at the going rate. If everyone does this, the price may go up. If everyone except say 5 people do this, then once those 5 people's stocks sell out, your stocks that are 1 cent higher will start to sell.
You won't lose money buy doing this, you just won't get it everyday. You'll have the same money at the end of the week as if you had sold at the going rate everyday. Do this, and the market may be again in our favour.
Comments
Not really.
The problem is that there isnt enough gold sink in the game.
I mean everyone making new raw companys therefore production goes up but the demands hardly goes up.
We have too much supply which grows by day but we dont have enough demand for it.
There are hardly any fresh player and new cant be really effective ever in fighting therefore demand cant really grow.
The worst part is everyone manager imagine RL where everyone business owner and most of people self supply,how that market would work out?
You need everything and excess amount to sell,but everyone already has everything therefore hardly anyone to buy prdouct.
😁😁
Perfectly correct. In addition, markets are global. If American raw/tanks/food/house is cheaper than Canadian you can expect players to take a trip and buy their product in the US. Undercutting is not significant. As for "uppercutting" you certainly will lose money in a falling market though at present it is hard to see how price could fall any lower. 🙂
Probably wont fall for now. I mean we already at 0.02 therefore if someone wants to cut must take 50% lose from price its different than making from 0.05 to 0.04 for example thats only 20% lost...
Even though FRM is higher there are less demand in the long run and strongly suggest to not invest
As for HRM because you cant work as manager there will be a point where production goest to negative,thats worst investment dont do it.
As a conclusion build more WRM Q5 if you want economy tycoon game because thats only viable raw in long run. Even if it comes to worst there will be always market for it. Because weapon demanded by very big players at least,but food anyone can self supply not needed much. Therefore FRM is short term.
HRM also short term its already fallen a lot and it seems wasnt good idea house industry or executed badly.
The only longterm is WRM it will be probably 1CC per Q5 but hard to see marked die absolutely
Supply and demand doesn't matter here, if everyone left their stocks at the same price, they would still sell.
When I sell my stuff, a price automagically comes up in the "Price" box. Whatever that box says, that's what I sell my stuff for. I generally don't bother checking the market first.
I have a ticket to sell in eSerbia also. So I sell to whichever country has the higher price for the stuff I'm selling. Usually that's eCanada, but eCanada's market is smaller and my goods will sometimes sit around for several days while the market price drops out. When that happens, I pull them and sell in eSerbia instead.
you do realize there is a 99 percent import tax in serbia right?... so an unwise move unless you were born there.
Interesting article V & S
Even if everyone in Canada do that, exporters will still put up weapon raws for sale at 0.02 CAD. A long time ago Platobot used to buy up the markets at really low prices to prevent an oversupply of raws. It buys up what you had up for sale as long as it's been there for a long time. It doesn't happen now because the game doesn't want you to make too much of a profit. If you're making huge profits, you're not buying gold.
Not everyone shops from other countries, you have to be in the country you want to buy from.
No, I'm talking about foreign countries putting up items for sale in Canada.