Cattle Producers Stand Up and Fight for your rights!

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Cattle Producers Stand Up and Fight for your rights!

Post by Guest » 22.08.2007, 07:29

Cattle business is a joke. If you produce Cattle you probably loose money let alone make any profit. Most of us tried producing cattles because that seemed the best thing to do at the beginning (you got a free plantation and cattle breeding), but abondoned it once we made a simple calculation. Let's play with some numbers. (All numbers based on level were calculated with Small Businessman level)
Cost of Cotton Q0:
We need 30 Corns for 1 Cattle. Corn Q0 market price is about 2.7c Let's assume we've found a corn supplier and he sells us for market price 2.7 * 0.9 = 2.43c
Total Corn Cost for 1 Cattle = 2.43 * 30 = 72.9
We also need 350 Waters. Let's assume we've found it @ 0.08c with a contract.
Total Water Cost for 1 Cattle = 350 * 0.08 = 28
We have to pay the production cost for each cattle which is 2.49c for green areas.
Total Cost for 1 Cattle = 72.9 + 28 + 2.49 = 103.39c

Great. We've worked hard and produced 1 cattle Q0. Let's see what cattle buyers offer
.....Searching Buyers Market......
The Best I found is 100 + 5Q
Our Cattle is Q0 so we loose 3.39c per Cattle.

One may argue that the reason we are loosing is because we have no quality at all. Let's change that and calculate again
We aim to produce Q4 Cattle and therefore we researched Cattle to Q6 so we need Q6 Corns to produce Q4 Cattle
Corn Q6 market price is about 3.5c and we get them for 3.15c
Total Cost for 30 Corn: 94.5c
Total Cost for 350 Water: 28c
Total Cost for 1 Cattle = 94.5 + 28 + 2.49 = 124.99c

We sell these for 100+Q5 so Q4 is 120c.
OMG that's even worse! we loose 4.99c per cattle!

Again one may argue that Corn prices i gave here are not accurate or they have found a really cheap Corn supplier or they produce their own corn so they actually make profit. I'm afraid that is not true. You could sell those corns and made more profit that way.
I will provide you with more data on different corn prices what would ROI of 1 cattle breeding. And what is ROI for Corn and Leather (one of them is your supplier and one of them is your customer) You will see that they are exploiting you and make a really good profit.
So what can YOU do? Easy. Cattle customers have already begun to fear that they may not be able to find enough cattle for their business. Demand is increasing and Supply is decreasing. You will sell your Cattle for the price that at least you and your customer make the same % of profit. I will explain more detailed what this price could be or should be, but its sure alot more then they are offering.

Guest

Post by Guest » 22.08.2007, 08:02

Make some calculations then you produce own water and corn. how much profit you make then? And add some calculations then you produce from own cattle leather or beef. Then make some calculations then you sell beef in own shops... and then you use leather for producing leather jackets and sell them in shops...
if you can't make profit from producing only one product and buying all ingredient products, you must produce own ingredients or make end-product to sell in own shops.. :)

Guest

Post by Guest » 22.08.2007, 09:04

Believe me I've calculated all you mentioned. But I'm afraid your reasoning is flawed. You cannot justify some products loss by looking at the whole production line. Let me give you some more numbers (these won't be as accurate since I don't have my excel on this comp)
Corn production has an expand ratio of about 20% which means in 5 days you get back all your money you invested and start profiting.
If you add Cattle production in it you'll have about 13,33% expand ratio. Since Cattle can't pay for himself, Corn will pay for it and that decreases expand ratio.
Let's add Leather Production too. Leather Production has about 18% expand ratio alone. And with 13,33% of Corn + Cattle that's about 15% expand ratio total.
Don't let me add leather jackets cause they suck on low Q and with small stores. (expand ratio is about 7%)
Why should i bother with this whole production line when i can do 20% with Corn alone which i can focus my research and profit even more?

Guest

Post by Guest » 22.08.2007, 09:15

It was one post somewhere: you playing for fun or you playing to make biggest profit. Maybe you can make them both. But playing with cattle i think is more for fun, not for high profit :) So, its you decision that do you want... i think admins will not change anything in prices or demand.

Guest

Post by Guest » 22.08.2007, 09:19

Well I'm playing for highest profit because thats the fun for me in kapilands :)
I don't expect anything from admins. In liberal economy the government should not intervene into product prices. What I'm trying to do is wake up cattle producers so they force their prices and make more profit for all of us cattle producers (yeah i produce them too lol)

Guest

Post by Guest » 22.08.2007, 09:29

Arthon wrote:Well I'm playing for highest profit because thats the fun for me in kapilands :)
I don't expect anything from admins. In liberal economy the government should not intervene into product prices. What I'm trying to do is wake up cattle producers so they force their prices and make more profit for all of us cattle producers (yeah i produce them too lol)
oh, if you interested in profit, move to the more profitable market :) long time ago i was making 200k profit per day from strawberries... then i changed my production and now i am making >2 mln. of profit per day :) So its only your problem, if you don't make good profit :)

Guest

Post by Guest » 22.08.2007, 09:34

This topic is not about me. Its about Cattle producers.
Believe it or not there are countless companies that sell their cattle below total production cost and i hardly believe that they do it just for fun. I just bought 500 cattle for only 88c.

Guest

Post by Guest » 22.08.2007, 21:33

Now as I promised, let's look at the ROI's of cattle related products.

First Corn Q0:
For 1 Plantation;

Corn Sell Price: 2,43c
Corn Cost: 1,09c
Corn Profit: 1,34c
Corn Per Day: 8442
Profit Per Day: 10.214,82c
Total cost: 75000c
Return of Investment: 7.34 days
Expansion Ratio: 13,62%

Now Leathers Q0:
For 1 Textile Factory;

Leather Sell Price: 210c
Leather Cost: 111,74c
Leather Profit: 123,23c
Leather per day: 422,16
Profit per day: 52.022,78c
Total Cost: 237.500c
Return of Investment: 4,57 days
Expansion Ratio: 21,9%

As you see while Cattle producers loose money, their suppliers gains 14% of their investment back each day and their customers make almost double of Corn producers. To bring a balance to the profits Cattle pricing should be changed. I've done some testing and at 120c / Cattle Q0, cattle producers earn the same % with the leather producers and slightly more of corn producers, which is 17% Expansion Ratio.
I advice all cattle producers to sell their cattle for minimum 120c for Q0 and + 5c for each quality.
Last edited by Guest on 23.08.2007, 04:57, edited 1 time in total.

Guest

Post by Guest » 22.08.2007, 22:11

edit sent pm

thanks didnt see that
Last edited by Guest on 23.08.2007, 17:47, edited 1 time in total.

Guest

Post by Guest » 23.08.2007, 10:13

@farmboy: it's sent, not send :wink:

I have one cattle-breeding and 10 plantations (total: 240m2). Atm the cattle breeding is not producing as I still have 629 cattle on the market which don't get sold (120c for q3). Also I stopped producing corn as people don't mind to sell high Q corn 25-50% (!) lower then 2-3 weeks ago.

On the german server (used gast account to log in) cattle is also priced really bad, but at least corn has a good price.

Guest

Post by Guest » 28.08.2007, 18:53

My cattle (Q 2) only take 34-35caps t produce each. I grow all my own stuff, my corn and water and seeds.

I'm saving them for a rainy day, unless anyone pays over 110caps, no deal.

Guest

Post by Guest » 03.09.2007, 13:00

African Agriculture wrote:My cattle (Q 2) only take 34-35caps t produce each. I grow all my own stuff, my corn and water and seeds.

I'm saving them for a rainy day, unless anyone pays over 110caps, no deal.
and how much did you invest to be able to produce cattles at 34-35 caps?
I'm sure its hell more then just a cattle breeding.
BTW I'll pay more then 110 caps for your cattle Q2's. IGM if interested.

Guest

Post by Guest » 10.09.2007, 19:34

there is a lot of things about these which you can read in questions and beginner help(Sticky) mostly by knoll.
I have read most of the thing from question and beginner help when i start to play. It took me more than 24hours of reading to read all the tips.

let's get to the point. Arthon is right about that we are losing. I have once built one cattle-breeding(not for contest). I looked for the material cost and time taken for each of the products and just look for the prices in the market. Then i made a decision, i just sold the buliding to system not even producing 1 product.

just calculate the profit of wood instead of corn. you will get more by producing wood rather than producing corn from plantaion and * from cattle-breeding. so, why use your plantation for corn and waste building slot for cattle-breeding?


he he......i am posting to get a post count and wanna help too. :lol:
If more people left that bussiness there will be lesser supplier and the price will also rise up as there is less supplier. that's your goal, rite? Arthon. :lol: :lol: :lol: :lol:

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