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Why do people insist on killing prices?

STAR WARS: The Old Republic > English > General Discussion
Why do people insist on killing prices?

DarthTHC's Avatar


DarthTHC
07.13.2012 , 02:24 PM | #31
Quote: Originally Posted by dandamanno View Post
Why is your price correct and others lower price not correct?

What you really are asking for is for all the suppliers of a product to collude together in order to charge the absolute maximum price that the market will tolerate (or your own version of that price). AKA collusion.

It's illegal in any fair market that I am aware of and it doesn't work in an mmo economy either.
It's not illegal in the United States of America for cable companies to do this. This is why I have one option for cable and including cable, two options for high-speed Internet. They may not call it "collusion", but that's what is happening.

I agree that this absolutely fails in MMOs though. People will price below materials cost for a wide variety of reasons. You can't compete with that. All you can do is buy them out and repost and hope they're not doing it because they were one of the billionaire currency exploiters that happened early in the game's life, doing it to wreak havoc with crafters.

Calerxes's Avatar


Calerxes
07.13.2012 , 02:39 PM | #32
Hey! wait a minute I thought there was no economy in SW:TOR?

HeavensAgent's Avatar


HeavensAgent
07.13.2012 , 02:41 PM | #33
Quote: Originally Posted by Calerxes View Post
Hey! wait a minute I thought there was no economy in SW:TOR?
You are correct, there really isn't; a simulated economy is not really an economy at all.

I can't wait to start a true merchant empire in Pathfinder Online.
Del'lantam Trooper of Alpha Company, 203rd Republic Expeditionary Legion

Calerxes's Avatar


Calerxes
07.13.2012 , 02:52 PM | #34
Quote: Originally Posted by HeavensAgent View Post
You are correct, there really isn't; a simulated economy is not really an economy at all.

I can't wait to start a true merchant empire in Pathfinder Online.
Can you expand on why its a simulated economy?

MrVile's Avatar


MrVile
07.13.2012 , 03:18 PM | #35
Quote: Originally Posted by Kyntari View Post
Then buy them and repost.
This.

I think people forget that it's an auction house, and not a retail store where prices are set.

juanni's Avatar


juanni
07.13.2012 , 03:22 PM | #36
I sell my items at the price I want to sell them at. I never bother to check what the current market price is, I just list them at what I think is a fair price. If they don't sell immediately, oh well, you get your deposit back so you haven't lost anything. It is through this method of selling companion gifts that I make around one million credits a week doing practically nothing

EricJS's Avatar


EricJS
07.13.2012 , 03:23 PM | #37
Quote: Originally Posted by MarmicMocius View Post
WaldoA, since the material costs of making an augment is around 45,000 credits, you're still making 100% profit even if you have to lower your selling cost to 90k
Quote: Originally Posted by DarthTHC View Post
If you sell it for less than 85k, you could make more money selling the raw materials.

The GTN takes 5% of your sale. To break even on 85k worth of materials, you have to list it for about 89,500.
As someone who makes credits selling augments and augment kits, I have to agree with DarthTHC here. It may be that the market is different on the server MarmicMocius plays on, but Darth's price breakdown mirrors my own server prices.

As for the original topic, I've always felt that people arguing that other people should price items a certain way are backseat drivers. If the price is too low, then either you have confidence in your pricing, in which case you should buy the item and repost it, or you don't have confidence in your pricing. Basically, it looks odd when you're telling someone else to bet on your pricing being right when you don't have the confidence to bet on your pricing.

And if the claim is that the prices are too high, by all means, crank out the product yourself and price it according to what you think is the right price. This kind of reminds me of a line from Dilbert, where the boss said something to the effect that he does the hard work, so anything he doesn't know how to do must be easy.

TheBBP's Avatar


TheBBP
07.13.2012 , 03:24 PM | #38
Quote: Originally Posted by IlexGlabra View Post
Why is that bad?
My apologies for not being clear. Not bad as in "breaking the rules", but bad as in "Incredibly lame and doosh-like.".

It's an opinion.
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Commander - The Way of the Maker Christian/Family-rated Guild
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HeavensAgent's Avatar


HeavensAgent
07.13.2012 , 03:28 PM | #39
Quote: Originally Posted by Calerxes View Post
Can you expand on why its a simulated economy?
I could write a paper on it (business major), but to keep it short a simulated economy is one where the monetary unit has no real value. A credit does not represent an actual resource in the game. There's no limit to the number of credits that are generated, nor is there any governing factors that determine a credit's worth. Similarly, the cost of items in the game does not reflect the worth of the basic monetary unit; a vendor item costs the same regardless of the economic state of the server.

A sign that a game boasts a simulated economy is that it requires one or more money sinks. A true economy doesn't need such systems, as it is self-balancing in some way.
Del'lantam Trooper of Alpha Company, 203rd Republic Expeditionary Legion

MajikMyst's Avatar


MajikMyst
07.13.2012 , 03:29 PM | #40
Quote: Originally Posted by WaldoA View Post
So, I sold 3 Advanced Skill augment 22's on the GTN for 130k each earlier, after I made a few more, someone was sellling one for 130k so I put mines up for 129k, then I check back later, and unlike me reducing price 1k, people have been putting up sales for 130k 120k 105k 90k, why oh why? They sell fast enough, there's really no need to drop them so much in price it's just not needed..

As im being pretty specific about it being Advanced Skill aug 22, I'd imagine this goes on for alot of other items in-game...

Anyway, had some time to kill so figured i'd vent a little heat on the forums
Augment prices are utterly rediculous.. They shouldn't cost any more than any other mod.. It is sad that you wish to continue to price gouge the community with those prices.. They need to be around 40 to 60k.. Anymore is simply robbery..

They goodness for guilds.. You can't beat free or just help out with the mats.. A month or so ago, I made augmented sabers and blasters for everyone in my guild.. Didn't ask for anything in return.. Now I am being showered with kits and the augments I need and they are not asking for anything in return..
Who is the more foolish? The fool or the fool that follows him?

[.] Lost but never forgotten!! 12-01-2011 R.I.P.