Production costs of Advertisements

[Guest]

Just another random question...

I'm producting advertisements, and the production costs are 1.080,00 each.
final unit price after production is 1.110,00

So how are people managing to sell them on the market for as little as 275,00?

It's the first time I've noticed a product on the market that's not amazingly overpriced.

What am I missing?

[Guest]

You need produce ads in green area.

But anyway this is bad business, not profitable.

[Guest]

what i think, is people didnt work out that Q for advertisements makes a huge difference, for example Q2 adverts means you need half the adverts to advertise a store than Q1 adverts.

so, i think what was supposed to happen was Q2 would be nearly twice as expensive...etc.., so therefore it would become profitable when researched, but it never quite worked and people all sold for a similar price regardless of Q

also, the demand is really low, it is 40,000 per store, and that is sorted forever, it is not like ingredients for production, once you have it you'l never need it again. this means not many people will need it, plus with a high Q means you need even less adverts. and with low demand and high supply, means low price.