Fixed gold pricing

voluminous · October 2014

Strategy:Fixed Gold Pricing

+++++BASIC+++++

Calculation for breakeven for a gold that we bought in Auctionner.

EXAMPLE: We bought a gold from Auctioneer for 1million coins.

*Buying a gold requires to pay 2% of the whatever the price we bid. In terms of coin.*

*Selling a gold requires to pay 2% of the gold we put on sell. In terms of gold and silver.*

FORMULA: (How much we bought it x 1.02)x 1.02 = Breakeven

+++++PLAN+++++

*Background

Maximum allowed selling gold price in Auctioneer is: 3,999,999.

Break even gold price according to 3,999,999 is 3,841,599.

Buying golds any lower than 3,841,599 will produce profit.

*What we do

We will place 1,000 buying orders for golds, and always maintain at that 1,000 orders.

After bought, sell them at 3,999,999.

Rinse, lather and repeat.

*Reasons

An account is only able to work with 200,000,000 worth or coins and gold. (A limitation)

So as long as we stick to this plan, we eliminate gold traders.

Others than us, only the cashers and the ones following our strategy will be the ones doing all the gold tradings.

At 3,841,599, everyone that have 200,000,000 can buy around 45 to 52 golds.

*What we need

We need at least 20 gold traders with individual gold account to fufil 1,000 golds buying orders of golds.

Best to have 50 gold traders. More buying orders = more stability.

Buying orders of golds must be more than 1,000 always. This prevents system error to our plan.

*Benefits

All gold buying and selling it's within our plan.

We just have to monitor the golds, buying orders and selling orders.

*Revenue discussion

How many Return on capital percentage we want?

I suggest to be 1% to 2% profit margin.

If the profit margin is strecthed more out, we will let other traders come in to undercut us.

Our objective is for them to follow us = Constant stream of wealth.

We control.

2% profit margin buying order price = 3,841,599 x 0.98 = 3,764,767

1% profit margin buying order price = 3,841,599 x 0.99 = 3,803,183

Please give me any feedbacks. Thank you.

Brought to you by Fyah, (Lost City)

Aubree - Dreamweaver · October 2014

Your math is bad. Putting orders to buy at max (3,999,900 is max) + 2% fee = $4,079,898 cost.

If you sell that gold you just bought for 3,999,900 you lose another 2%.

This your plan to bankrupt the stupid?

Azura - Lost City · October 2014

Sounds like another scamming scheme brought by DrakeKhan.

Why don't you just stop trying to make everything more expensive?

voluminous · October 2014

voluminous wrote: »

Strategy:Fixed Gold Pricing

+++++BASIC+++++

Calculation for breakeven for a gold that we bought in Auctionner.

EXAMPLE: We bought a gold from Auctioneer for 1million coins.

*Buying a gold requires to pay 2% of the whatever the price we bid. In terms of coin.*

*Selling a gold requires to pay 2% of the gold we put on sell. In terms of gold and silver.*

FORMULA: (How much we bought it x 1.02)x 1.02 = Breakeven

+++++PLAN+++++

*Background

Maximum allowed selling gold price in Auctioneer is: 3,999,999.

Break even gold price according to 3,999,999 is 3,841,599.

Buying golds any lower than 3,841,599 will produce profit.

*What we do

We will place 1,000 buying orders for golds, and always maintain at that 1,000 orders.

After bought, sell them at 3,999,999.

Rinse, lather and repeat.

*Reasons

An account is only able to work with 200,000,000 worth or coins and gold. (A limitation)

So as long as we stick to this plan, we eliminate gold traders.

Others than us, only the cashers and the ones following our strategy will be the ones doing all the gold tradings.

At 3,841,599, everyone that have 200,000,000 can buy around 45 to 52 golds.

*What we need

We need at least 20 gold traders with individual gold account to fufil 1,000 golds buying orders of golds.

Best to have 50 gold traders. More buying orders = more stability.

Buying orders of golds must be more than 1,000 always. This prevents system error to our plan.

*Benefits

All gold buying and selling it's within our plan.

We just have to monitor the golds, buying orders and selling orders.

*Revenue discussion

How many Return on capital percentage we want?

I suggest to be 1% to 2% profit margin.

If the profit margin is strecthed more out, we will let other traders come in to undercut us.

Our objective is for them to follow us = Constant stream of wealth.

We control.

2% profit margin buying order price = 3,841,599 x 0.98 = 3,764,767

1% profit margin buying order price = 3,841,599 x 0.99 = 3,803,183

Please give me any feedbacks. Thank you.

Brought to you by Fyah, (Lost City)

Aubree - Dreamweaver wrote: »

Your math is bad. Putting orders to buy at max (3,999,900 is max) + 2% fee = $4,079,898 cost.

If you sell that gold you just bought for 3,999,900 you lose another 2%.

This your plan to bankrupt the stupid?

Break even gold price according to 3,999,999 is 3,841,599.

voluminous · October 2014

Azura - Lost City wrote: »

Sounds like another scamming scheme brought by DrakeKhan.

Why don't you just stop trying to make everything more expensive?

All business deals have a bit of scheme in it. I don't understand your statement of scamming.

I don't literally rob them or cheat them. I used markups, if you think that's a scam, i have

nothing to say.

Blame the inflation, don't blame me.

WannaBM - Archosaur · October 2014

Go try it lol

All business deals have a bit of scheme in it. I don't understand your statement of scamming.

No, not all business deals have a bit of scheme in it. You apparently arent smart enough to understand. That doesnt surprise me. This scheming way of business that you think is normal does make profit for some people. These are usually not the smartest people though, and they are not the most succesfull people either.
The most succesfull people often do business according a principle of "make customers happy, produce something truly good and you need not think about money, it will come automatically". This way it will also last longer and feel much more satisfying (unless you are some sick, evil a-hole who gets satisfaction of scamming people ofc)

voluminous · October 2014

WannaBM - Archosaur wrote: »

Go try it lol

No, not all business deals have a bit of scheme in it. You apparently arent smart enough to understand. That doesnt surprise me. This scheming way of business that you think is normal does make profit for some people. These are usually not the smartest people though, and they are not the most succesfull people either.
The most succesfull people often do business according a principle of "make customers happy, produce something truly good and you need not think about money, it will come automatically". This way it will also last longer and feel much more satisfying (unless you are some sick, evil a-hole who gets satisfaction of scamming people ofc)

Marking up is part of scheming. If you don't scheme at all, you sell without profits. Show me that world.

WannaBM - Archosaur · October 2014

Some people complain about capitalism.
Others complain about socialism.

Neither is good or bad. Its people with your line of thinking that **** up any system we can think of to live together. b:sad I wont say i havent made mistakes myself (trying to make price agreements with competing merchants) but at least i can admid that it was wrong and i wont be stupidly defending it

voluminous · October 2014

WannaBM - Archosaur wrote: »

Some people complain about capitalism.
Others complain about socialism.

Neither is good or bad. Its people with your line of thinking that **** up any system we can think of to live together. b:sad I wont say i havent made mistakes myself (trying to make price agreements with competing merchants) but at least i can admid that it was wrong and i wont be stupidly defending it

Go live in a communist society. If you want that Utopia of yours to happen. And it's happening in such a society.

Evryn - Morai · October 2014

There's a basic flaw in your plan. You cannot, in the PWI economy, buy gold at a low enough price to resell at a profit. Your entire strategy depends on there being a momentary surplus of gold in the market, followed by a shortage. There is no surplus, therefor this entire strategy fails miserably.

And yea, marking up is part of commerce. Greedy excessive markup is what destroys interest in commerce. Yet that is what some people consider "merchanting". Half tempted to plop, for instance, a cat down in Archo to sell blemished and common gems for crazy stone. Currently they get sold for close to 17k, which is far more then the 5% markup I deem fair. Funny thing is, all it takes is one cat at a lower price for half a dozen shops to be out of business.

WannaBM - Archosaur · October 2014

No, there is an essential difference.
It is absolutely not about the % markup. Free market mechanics will take care of that in healthy business.

Those people selling gems for crazy stone are competing. Appearently, noone is willing to take the effort of running a shop at smaller margins because then they deem the profits not worth the effort. Thats market mechanics, its healthy. Everyone has a free choise to compete and customers have a free choise to make the walk to the NPC merchant instead. The margin is the price you pay for not having to walk to the NPC. The merchant offers you a service that is usefull and you can decide if you want to pay the price he asks (or to compete if you think it is a good market and you are willig to offer the same service for less)

What this guy wants is cornering the gold market, taking it all before anyone else get a chance and selling at a profit. He does not offer any service and he wants to take away customers choise. That is why this scam is totally different from healthy business, regardless of what the markup is.

Of course it wont work, so theres no worries there. However i think its always good to talk a little about morals and to explain that you can get rich in morally responsible ways perfectly well. Often better than by scamming.

voluminous · October 2014

Evryn - Morai wrote: »

There's a basic flaw in your plan. You cannot, in the PWI economy, buy gold at a low enough price to resell at a profit. Your entire strategy depends on there being a momentary surplus of gold in the market, followed by a shortage. There is no surplus, therefor this entire strategy fails miserably.

And yea, marking up is part of commerce. Greedy excessive markup is what destroys interest in commerce. Yet that is what some people consider "merchanting". Half tempted to plop, for instance, a cat down in Archo to sell blemished and common gems for crazy stone. Currently they get sold for close to 17k, which is far more then the 5% markup I deem fair. Funny thing is, all it takes is one cat at a lower price for half a dozen shops to be out of business.

Break even gold price according to 3,999,999 is 3,841,599. We are willing to buy golds at 3,831,599 or even lower. To earn that 5k to 10k profit per gold transacted. If we kept the buying orders at a healthy amount, gold traders will only earn lesser than 5k. That 5k profit, they won't be interested. If they want to earn the highest profit, they will need to follow our strategy.

I made my first 100 million coins from just gold trading. Period.

voluminous · October 2014

WannaBM - Archosaur wrote: »

No, there is an essential difference.
It is absolutely not about the % markup. Free market mechanics will take care of that in healthy business.

Those people selling gems for crazy stone are competing. Appearently, noone is willing to take the effort of running a shop at smaller margins because then they deem the profits not worth the effort. Thats market mechanics, its healthy. Everyone has a free choise to compete and customers have a free choise to make the walk to the NPC merchant instead. The margin is the price you pay for not having to walk to the NPC. The merchant offers you a service that is usefull and you can decide if you want to pay the price he asks (or to compete if you think it is a good market and you are willig to offer the same service for less)

What this guy wants is cornering the gold market, taking it all before anyone else get a chance and selling at a profit. He does not offer any service and he wants to take away customers choise. That is why this scam is totally different from healthy business, regardless of what the markup is.

Of course it wont work, so theres no worries there. However i think its always good to talk a little about morals and to explain that you can get rich in morally responsible ways perfectly well. Often better than by scamming.

Study America's top ten largest market capitalization companies during 1990, and compare them to the top 10 during 2010. You will find out that, company that monopolies a particular industry, will still dominate the market in terms of earnings over the period of time.

WannaBM - Archosaur · October 2014

I know that bill gates, steve jobs and warren buffet are all moral men. As i said, its not about the %markup (microsoft pricing) and i am not against some old fasioned capitalist money making trough smart investment (buffet) I dont even mind selling a product which justifies half of its sell price by sheer marketing instead of utility (jobs). I am absolutely not anti-capitalist.

That said, yes, at the top being immoral seems to be more beneficial. It actually seems to have something to do with governments. In uncontrolled environments (gambling, illegal substances) morality and reputation rule. (as opposed to what the movies make you believe) there may be dishonest people in these fields, but they are not the succesfull ones, they are failures and everyone sees them as that) When governments get involved and people can hide behind the very laws they find their loopholes in it starts becoming a mess. When they get to the level they can influence the law makers its a sad sight

(As you can tell, i'm pretty much a libertarian)

voluminous · October 2014

WannaBM - Archosaur wrote: »

I know that bill gates, steve jobs and warren buffet are all moral men. As i said, its not about the %markup (microsoft pricing) and i am not against some old fasioned capitalist money making trough smart investment (buffet) I dont even mind selling a product which justifies half of its sell price by sheer marketing instead of utility (jobs). I am absolutely not anti-capitalist.

That said, yes, at the top being immoral seems to be more beneficial. It actually seems to have something to do with governments. In uncontrolled environments (gambling, illegal substances) morality and reputation rule. (as opposed to what the movies make you believe) there may be dishonest people in these fields, but they are not the succesfull ones, they are failures and everyone sees them as that) When governments get involved and people can hide behind the very laws they find their loopholes in it starts becoming a mess. When they get to the level they can influence the law makers its a sad sight

(As you can tell, i'm pretty much a libertarian)

Apple, Microsoft and Bershire Hathaway were not in the top ten during 1990s. I'm refering to General Electirc, Exxon, Wal mart and IBM. I valued integrity alot. A smart person without integrity is a monster in making.

Azura - Lost City · October 2014

voluminous wrote: »

All business deals have a bit of scheme in it. I don't understand your statement of scamming.

I don't literally rob them or cheat them. I used markups, if you think that's a scam, i have

nothing to say.

Blame the inflation, don't blame me.

For you business is monopolizing and selling everything more expensive. The customers always lose because they have either don't buy from you (and don't get their item) or they buy from for a more expensive price.

Don't compare Microsoft to your immoral practices because Microsoft created a product that was "quite useful" for people. While want you want to do is just take money away from people, and not let some trade gold normally.

Business should be free and help somehow the people who are looking for our items.

Jadsia - Lost City · October 2014

You want to strip away a player's ability to make a profit and force gold to trade at max allowed price while keeping a transfer tax on it. Hey, why not force this crappy scheme onto every in game item and boutique item which can be traded so nobody is allowed to make a profit off anything? Lets remove the incentive to trade gold. Sounds like forced communism to me. The game is about competition, not communism. I say keep it as it is. Deal with the quantity of coin generated from the environment instead.

You claim that you are not anti capitalism yet you come up with this? Capitalism is selling anything at a price which others are willing to pay for it. Nothing more and nothing less. If someone is willing to pay 500,000 coin for gold or anything else above what the seller gave for it then that's what the item is worth. Nothing wrong with it.

I can already see a real world example of this which has been forced onto the American public in the past couple years and it is failing miserably.

voluminous · October 2014

Azura - Lost City wrote: »

For you business is monopolizing and selling everything more expensive. The customers always lose because they have either don't buy from you (and don't get their item) or they buy from for a more expensive price.

Don't compare Microsoft to your immoral practices because Microsoft created a product that was "quite useful" for people. While want you want to do is just take money away from people, and not let some trade gold normally.

Business should be free and help somehow the people who are looking for our items.

You're right. We just made it into a plan. We are activist, making things happen and not waiting for it to happen.

I never compared Microsoft to us. We treat golds as a natural resource, or like water supply or oil supply. People have to use them. We are more like Esson, Wal mart, etc.

We ain't charity. We are not wealthy enough to contribute hugely. When a very wealthy person donates to society, the effect is huge, compared to average donations. We aim to get wealthy first then give back to society.

I'm 100% activist capitalism.

Brought to you by Fyah (Lost City)

voluminous · October 2014

Jadsia - Lost City wrote: »

You want to strip away a player's ability to make a profit and force gold to trade at max allowed price while keeping a transfer tax on it. Hey, why not force this crappy scheme onto every in game item and boutique item which can be traded so nobody is allowed to make a profit off anything? Lets remove the incentive to trade gold. Sounds like forced communism to me. The game is about competition, not communism. I say keep it as it is. Deal with the quantity of coin generated from the environment instead.

You claim that you are not anti capitalism yet you come up with this? Capitalism is selling anything at a price which others are willing to pay for it. Nothing more and nothing less. If someone is willing to pay 500,000 coin for gold or anything else above what the seller gave for it then that's what the item is worth. Nothing wrong with it.

I can already see a real world example of this which has been forced onto the American public in the past couple years and it is failing miserably.

We want monoply, not communism. We want market condition that exists when there is only one business model going. We want exclusive control of a commodity in the market.

Please check the meaning of communism and monopoly. We aren't forming a political party in PWI. Pointless to form one.

Brought to you by, Fyah (Lost City)

scruncy · October 2014

stop feeding the troll

Jadsia - Lost City · October 2014

voluminous wrote: »

We want monoply, not communism. We want market condition that exists when there is only one business model going. We want exclusive control of a commodity in the market.

Please check the meaning of communism and monopoly. We aren't forming a political party in PWI. Pointless to form one.

Brought to you by, Fyah (Lost City)

Communism is a government run monopoly. With that you strip out free choice of people's economic status. And the fact that you are suggesting that the game force this on us is like a government forcing communism on us. ROTFL.

Aubree - Dreamweaver · October 2014

voluminous wrote: »

Break even gold price according to 3,999,999 is 3,841,599.

You go ahead and put in to buy at that 3.8m price. I'll put in to buy for more than that, so will half the server.

I guess I realized by now you are on LC with lower gold prices and looking to max out gold price. b:laugh

I don't think there has been this kind of gold selling on DW for a while. Gold just doesn't get low enough anymore.

Fixed gold pricing

Comments

Categories