Effecting a change in market prices?

Guest · Post by **Guest** » 23.02.2007, 19:52

In the stores, I see where it tells you how many people thought your goods were too expensive. I assume this is somehow based on your price vs. the average market price. I have also discovered, the more people who think your product is too expensive, the longer it takes to sell.

My question is probably a 'chicken or egg' thing, but I am wondering if what I sell my products for, is effecting a change in average market price, and will this eventually result in my customers being more satisfied with a higher price? Should I always try to sell at above average market price, and will this drive the average up eventually? If always sell at below average price, I can make better profit per time, but am I hurting myself in the long run by driving the average price down?

Guest · Post by **Guest** » 23.02.2007, 20:10

I think the average price your customers want to pay in the shop is more affected by "supply and demand" and the Quality you are offering. You will find the supply and demand and the average Quality offered statistics in the stats menu.

The lower your price, the faster the goods sell.

Demand is affected by the population number in the region. So you may try to raise the demand by increasing the population. So start building thousands of new buildings

Guest · Post by **Guest** » 23.02.2007, 20:41

i have been selling stuff in my groceryt since i started and i always sell at the halfway mark where 50 out of 100 think it is to expensive and since i have been playing the number for 50 people to think it is to expensiuve has not changed in the slightest

Guest · Post by **Guest** » 23.02.2007, 21:04

Wyatt, I have noticed the same thing, grocery items seem to be fairly stable in price too. In the higher-end products, is more of a fluxuation in price, and it seems, in satisfaction level, but I am not sure. I have increased quality, and that helps lower the number of customers who think your quality is not good, but I have no idea if this relates to how fast they buy your products. I personally don't care if the French don't think my grapes are good enough or they are too expensive!

I was just curious about the market, and whether we the players could effect changes in it over time, by selling higher or lower than the average rates, I can see how that might be the case in theory, but is this how the game works?

I understand the supply and demand aspects GW points out, and I am also wondering what effects that... is it the number of buildings we the players build in that market? I assume 'supply' is determined by how much is sold through the stores in those markets, but is the demand (or consumer population) directly related to the number of buildings constructed by the players? Is it based on where home offices are?

Guest · Post by **Guest** » 23.02.2007, 21:20

Halee-Burton wrote: I understand the supply and demand aspects GW points out, and I am also wondering what effects that... is it the number of buildings we the players build in that market? I assume 'supply' is determined by how much is sold through the stores in those markets, but is the demand (or consumer population) directly related to the number of buildings constructed by the players? Is it based on where home offices are?

Not the buildings, but the workers in the buildings. They make the population in the different regions. You can see the area information when you click the Build-Menu.

Tycoon · Post by **Tycoon** » 23.02.2007, 23:21

Halee-Burton you are right in your first post: shops sell faster if you sell below the average price, but in the long run the average price will decrease by this.
You can influence the average price; but the "formula" for this (demand-price-satisfaction of the consumers) also depends on how many shops sold a specific product within of 2 or 3 days... as otherwise it would be too easy for one company to bring a price down or to increase the average quality within just one day....

If you observe the supply and demand figures in the stats, you will see, that nearly every minute the demand figure changes. This means: somebody hired new workers in that country. So the supply figure remains the same all the day but the demand figure changes lots of times a day.

Guest · Post by **Guest** » 24.02.2007, 02:30

well there are lots of pople maing the prices cheaper Oranges has gone down over 1.0

Guest · Post by **Guest** » 24.02.2007, 19:29

Tycoon wrote:Halee-Burton you are right in your first post: shops sell faster if you sell below the average price, but in the long run the average price will decrease by this.
You can influence the average price; but the "formula" for this (demand-price-satisfaction of the consumers) also depends on how many shops sold a specific product within of 2 or 3 days... as otherwise it would be too easy for one company to bring a price down or to increase the average quality within just one day....

If you observe the supply and demand figures in the stats, you will see, that nearly every minute the demand figure changes. This means: somebody hired new workers in that country. So the supply figure remains the same all the day but the demand figure changes lots of times a day.

Okay, so what I am hearing is, the strategy of selling at just above the average price, is good because it can help to increase the average over time, and selling below the average would eventually decrease the average price. I can choose to make faster profit at the risk of driving down prices, or I can take more time and keep the market average higher, thus continuing a healthy profit margin over time.

Another question, does my quality have an effect on how fast people buy my products, or does it effect the number who think my price is too high?