Inflating prices instead of driving prices down by undercutting each other.

[Kekosawr]

What if we all came up with and agreed on set prices for items? It's a lot better than people making up arbitrary numbers that are extremely low and then that becomes the base price for an item which makes it hard to make money from.

Diamonds, for example, went down from 8c to 6c because people keep undercutting each other to drive the price down and in the end everyone makes less and less profit if you're buying for 0.5c less than you're reselling them for.

Of course if we all used the same set price, we could get the value up to 8c or even 9c and that's a lot more money to be made. If everyone uses the same set price, everyone has an equal chance to sell them and benefits from it.

e.g.: B 9 : 6 S, 3c profit is a hell of a lot better than 0.5c.

The lesson is no one benefits from undercutting the value of something down to peanuts because you make marginal profit and everyone else needs to lower their prices etc. etc.

 

[yeelowsnow]

thats how an economy works..people will jockey to set the most attractive prices, therefore garnering the most customers. You are suggesting a monopolized system where all the prices are the same and no one benefits. Now wheres the fun in that?

 

[Jonsoon]

Diamonds, for example, went down from 8c to 6c because people keep undercutting each other to drive the price down and in the end everyone makes less and less profit if you're buying for 0.5c less than you're reselling them for.

.....

The lesson is no one benefits from undercutting the value of something down to peanuts because you make marginal profit and everyone else needs to lower their prices etc. etc.

May I remind you that you were the one who began undercutting diamonds by competing with my MA shops?
Did you see me complaining? No
I kept changing my prices until you eventually gave up on trying to undercut me by .1c - .5c, either because you could not fund the 10c to change a sign each time, or because you were too tired. Regardless, it is how economies work.

 

[kevinlive]

You have to come up with new tactics, you can't just set a price and hope for the best.
And where you're talking about us undercutting and you earning 0.3c, you have to realise that you're doing the same by buying diamonds for much more than anyone else, and still having one of the lowest prices.

 

[Kekosawr]

blah. I stopped at 7 because going lower than that was too much of a loss?
Anyway, whatever. I'll undercut everyone then. ^_^

 

[Kwong050]

Though this thread is coming from a biased point of view, I agree. The prices have become crazy low yet there is probably no solution.

 

[Kekosawr]

Well currently there's 4 people selling diamonds in TD, if we could all agree to raise our prices we'd all benefit because we'd make more money?
It's not exactly fair for everyone to set the same price because there's still the matter of location, so people in shops further back in TD would get ignored, but on the other hand even if the ones in better locations all raised the prices we could buy out any shop still selling for really low and resell it for higher and people won't have a choice but to buy for that, etc.

Of course that's unrealistic and trying to get people to cooperate probably isn't going to happen. ;~;

 

[Glent]

Not a merchant, but the concept of a "guaranteed minimum price" rarely works in video games with economies because people don't understand economics and think that undercutting everyone else is the only thing to it. This does lead them to get more sales but they get less money per sales and if it keeps going down it will eventually be worthless to sell that item. If all the diamond merchants cooperated and set a minimum price they could all benefit and the item would retain worth, however the chance of getting everyone to agree is unlikely.

 

[Dielan9999]

Even if a price standard was established merchants could just sell their goods behind the scenes for the same undercutting low prices.

 

[MajorasMask]

It would be nice to create a: General ''Price of Items'' Thread. This would list common items, such as gold, endstone, diamond and iron, and how much they got per bar/block.

It would just be for those merchants starting up and those unfamilier to the current trading system! Wether you follow it or not would be up to you, but heck, it would be useful!

 

[kevinlive]

It would be nice to create a: General ''Price of Items'' Thread. This would list common items, such as gold, endstone, diamond and iron, and how much they got per bar/block.

It would just be for those merchants starting up and those unfamilier to the current trading system! Wether you follow it or not would be up to you, but heck, it would be useful!

Made a list on the forum for zeal's prices, was very underused and the only one who really thanked me for it was kainzo. I could try to dig it up and update it thought, but like last time. It probably wont be used :/

 

[Jonsoon]

I have numerous spreadsheets that I make and use for myself to help determine prices

 

[Oxea]

It would be nice to create a: General ''Price of Items'' Thread. This would list common items, such as gold, endstone, diamond and iron, and how much they got per bar/block.

It would just be for those merchants starting up and those unfamilier to the current trading system! Wether you follow it or not would be up to you, but heck, it would be useful!

This just needs a major update.

 

[MajorasMask]

@Oxea I'll do that then!

@kevinlive I'll do that then!

 

[applelove]

thats how an economy works..people will jockey to set the most attractive prices, therefore garnering the most customers. You are suggesting a monopolized system where all the prices are the same and no one benefits. Now wheres the fun in that?

That would actually be a completely competitive system. Where the price is fixed for all sellers, and changing the price is either impossible or not worth it.

What if we all came up with and agreed on set prices for items? It's a lot better than people making up arbitrary numbers that are extremely low and then that becomes the base price for an item which makes it hard to make money from.

Diamonds, for example, went down from 8c to 6c because people keep undercutting each other to drive the price down and in the end everyone makes less and less profit if you're buying for 0.5c less than you're reselling them for.

Of course if we all used the same set price, we could get the value up to 8c or even 9c and that's a lot more money to be made. If everyone uses the same set price, everyone has an equal chance to sell them and benefits from it.

e.g.: B 9 : 6 S, 3c profit is a hell of a lot better than 0.5c.

The lesson is no one benefits from undercutting the value of something down to peanuts because you make marginal profit and everyone else needs to lower their prices etc. etc.

It would be nice if the HC market were less cut throat, but there will always be exceptions. If I have an abundance of lightstone that I realize is just never going to be used, I'll offer it up for 1c per block to get rid of it. When I really need logs (and I always do) I offer 4x the going rate for a stack of logs and buy in bulk. Sure I could buy them for 4c per stack, but I'd have to sit around in T all day going from seller to seller trying to get what I want. OR, I could jack up the price so high that I get the hoarders (coughnater) to sell to me. Even if there was a generally agreed upon practice, there would be those who would not abide by it for their own sake, and I suspect even more who would refuse to abide by it for the sake of causing a ruckus.

'Course, you could always level up your "cutthroat" skill, and buy out ALL the diamonds with a lower price, and then sell for your own, standardized price. Everyone who would have bought diamonds otherwise would still be looking to buy diamonds.

 

[MajorasMask]

http://herocraftonline.com/main/threads/the-general-prices-of-items-thread-d.16368/#post-139274

Ta da.

@Oxea

@kevinlive

 

[kevinlive]

http://herocraftonline.com/main/threads/the-general-prices-of-items-thread-d.16368/#post-139274

Ta da.

@Oxea

@kevinlive

You need to change half or more of those prices..

 

[MajorasMask]

http://herocraftonline.com/main/threads/the-general-prices-of-items-thread-d.16368/#post-139274

Ta da.

@Oxea

@kevinlive

You need to change half or more of those prices..

Tell me which ones.

 

[Oxea]

http://herocraftonline.com/main/threads/the-general-prices-of-items-thread-d.16368/#post-139274

Ta da.

@Oxea

@kevinlive

Beautiful!