Here is why you can opt to make 100 Q2 food companies
Fernando de la Cromid
Here is a simple calculation of why you can opt to make 100 Q2 food companies!
It's upto you to become erich and make ur country erich. It's a 9M cc profit in 2 yrs just by making 100 companies. It's totally ur choice. Imagine 20 ppl follows this.. that's 180M cc!
Stay Tuned,
Diversity United
Comments
o7
And what if the price return to the level pre-Amazing Journey?
Obv investments involve market risks. Practically speaking at least 4 months per year we can expect crazy profit from WAM as there are always special days and events. So calculate ur investments and risks and look forward for company discount offers and subsidies like the one I provide randomly or check for the govt schemes with the CP 🙂
just saw u are not eIndian 😛 sorry.. I only give discount offers to eIndians who make companies in Karnataka 😑
I was just trying to do a more "real" approach. Luckily I dont need or seek any kind of support.
1) These prices are overly high, because of the number of events that too place - first a high regeneration event (anniversary), and then the winter challenge.
2) Gold price fluctuates fairly wildly - it drops by at least 5-10% each time there is a power spin. You can't just check today's price and calculate based on that.
3) frm price is also very far from constant. I've seen it at 6 before event, and it's 9 right now, which is a 50% variation.
4) Even if your calculation is right, 8.2 million in no way approximates to 9 million, that's off by 10% which, if you haven't yet figured out, is a lot.
5) You didn't account for selling tax when you sell on market, which is the way most people sell their stuff. Yes, people also avoid it by selling through direct transfer, but that's fairly uncommon. Even if 75% sell through direct and only 25% via market (which to my knowledge is an exaggerated figure towards direct sale), 4 out ofr your 20 people will not see the profit you have calculated, even corrected for all the above mentioned points.
6) If 20 people make 100 q2 companies each, that's 2000 companies, which produces 386,000 q2 food (based on the production you have assumed, which is what I get in Karnataka). Per day. This will not break the market, but will definitely push prices downwards. So they may not even get the pre-event prices.
7) I produce a lot of food, to the point where I'm able to provide significant price protection to people from 2 counties - I don't have a monopoly there but consistently cut the market price, especially during event times but also sometime otherwise. And I haven't monopolised this idea, surely there are others who do it too. So there's no guarantee that they will get these prices even when prices shoot up.
😎 In conclusion, your calculations have an error of about 65% (50% price variation on q2 food, and 50% on frm which is 25% of the product cost, and then market tax where applicable) and set up cost is off by 10%, making your calculations 120% bogus
You are right, witty might be optimistic in calculating profits.
The best part is crazy xp gain for low str players, its better for them to wam than fight for tp cc.
For them it's better to stay in lower division and farm BHs there, rather than just level up. You can level up, but can not level down, so once they reach D4 with low strength they can not get BH as much. So this will cost them an additional source of gold income.
Visor: 1,2,3,6,7 agreed
4: I meant the country income (citizen income + treasury income)
5: U are right I missed out the 1% market tax.
Conclusion lol: 120% bogus? Let others predict the price variation. You are not a god to say price will surely be 50% lesser all the time. Obv there are good event times and the bad times (over production). I say it's good coz I'm earning from it. Rusk comes with risk 🙂
@witty, I sincerely hope you are joking when you are calling our the fact that the variation of food price is 50% of current levels. I remember q2 food being well below 0.5 each (this was my protected price earlier). Even at 0.45, the current level is very nearly double.
I don't exactly remember the lowest price, but it was in that range (0.45) or lower. Even q1 food, you know very well that the price went below 50% of 0.44, because you yourself have sold at lower than that.
Sure, you are earning from it, but not this much throughout the year. I am also earning by this method. Even if the prices reduced to a quarter of these prices, i will still be earning. You know why? Because I have 192 companies. I make my own frm. I have recovered the initial set up price (many times over, I may add) already. I do not need to worry about break even on this. So anything above wam and tax is pure profit. Even if i get 1% above that price, I will be in profit, and for the volume that I can generate, I will not have to care. That will not hold for a new producer.
Even if the new producer has the gold to set up 100 companies, they need to recover that 1.4 million cc at some point. So for them it matters.
Saying that "rusk comes with risk" at the end makes you sound like a pyramid scheme (which, by the way, this is not). You have mentioned the mathematical highest possible income and seem to guarantee it. This is wrong.
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The reason you don't exactly remember the lowest price is because it was several months back. Also yesterday's market price that's used to make the calculations is not the highest possible income.. There were times q1 food was abt 1 cc and q2 food was abt 1.9 cc just a month back. The calculations are based on current market price and it can fluctuate up or down based on demand and events and various other factors. I guarantee it based on my growth in the last 1 year performance that's all. Obviously things can go either way and there is risk involved. I say it again rusk comes with risk 🙂
The high price of 1 for q1 and 1.9 for q2 was a very exceptional case, and should not be used, for the same reason that these prices should not either - these are also high and not representative of the true price one will get on average.
Your guarantee based on your previous year growth is also a lie AT BEST, because not only was this not the average price over the last year, you also got subsidy from Lithuania (which as it stands now is money you have stolen from them because you did not help their community like you promised and fled). So your "profit" will actually be higher than actual value.
But at this point you have decided to act stupid rather than talk sense so I will not discuss this further.
Do u know even how many millions of cc I paid as tax to LT? I fled it seems. LT chose me as their MOE for a reason. If u wanna know why I left LT u need to read https://www.erepublik.com/en/article/goodbye-lithuania-2744481/1/20
Ah yes, leaving because you can't steal. Very legitimate reason for leaving.
yes ofc they can and should stay in low div, but after reaching d4, they can use this wam technique to gain xp.
Yes
Visor is right about the market risks. Visor is also right in making more companies will drop the prices significantly leading to less profit. It depends on events and various other factors. But he already has 192 companies in Karnataka. If he is able to provide significant price protection to 2 countries I don't know why he's against others doing the same 🙂 Think about India becoming the food monopoly just like Philippines is doing with the houses thing.
I have 410 companies in Karnataka and I say it's worth making them. It's your choice people. Try with 1 company make ur own calculations. Multiply it by 100 (companies) and then 30 (days) * 24 (2 years). Believe the facts and understand the risks and invest wisely 🙂
- Cheers,
witty
I never stopped anyone from making companies. I am myself adding more food companies every year. If your conclusion form my comment is that I am stopping people from making companies, it means one of two things:
1) you are so stupid that you can not read properly (unlikely)
2) you are deliberately insinuating against me for you our reasons (more likely).
Even 65% lower profit of 8.2 million is still several million of profit in 2 years time. That is out of question. I am merely pointing out that you have massively bloated figures.
Good if u are encouraging as well 🙂 The bloated figures is based on current market price.. lol.. If it's overpriced blame the market not me lol.
No, i blame you and not the market. Because the market settles to a price based on current demand and supply. It's your job, as someone trying to write an educational article, to factor in the average demand and pick that the demand currently is much higher than average, and is therefore not representative of the true profits that can be made.
But at this point you have decided to act stupid rather than talk sense so I will not discuss this further.