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[GD]Moving Ticket price

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Post by Gibberish45 2010-03-02, 22:50

My friend from America Colin Lantrip asked how he could help here and I told him moving tickets were very expensive. He then put a lot of oil on the market to help with the price of moving tickets here in Belgium. 999 Q1 units at .42 BEF. Can someone who understands economics break this down for me? Does this mean it is not subject to import tax? Will we see a drop in ticket prices?
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Post by palodigon 2010-03-03, 00:33

If the oil he put on the market is cheaper than the oil of his competitors then we will see a change in price of moving tickets depending on how much cheaper his oil is.

Companies buy cheaper oil -> less costs to produce moving tickets -> higher porfit margin -> thanks to direct competition in erepublik they will have to put their moving tickets on the market for a lower price.
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Post by Gibberish45 2010-03-03, 00:40

well I understand that but when I checked he was the only one on the market. More specifically, the market shows products being sold in belgium correct? Therefore it is not subject to import tax? I guess it wouldn't matter since taxes are at 0% on oil. The oil Colin (Great Ape) is selling is .006 gold per Q1 so its cheaper than most except Iranian companies and 1 turkish company so I guess it depends where the ticket companies bought their oil before....
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Post by palodigon 2010-03-03, 00:43

Well yes he is indeed the only one on the market. So I guess moving tickets just buy their oil trough trade.

But what exactly is your question?
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Post by Gibberish45 2010-03-03, 06:26

Can you buy RMs from anywhere in the world? Why is he the only one selling oil in Belgium? Can you buy from another country? If not, how does import tax work?

Sorry for all the questions but I'm trying to understand how we can lower the price of moving tickets which are essential to new citizens to keep them active and fighting in Brussels.
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Post by Jofroi 2010-03-03, 09:08

People can move their org and buy raw in foreign countries. Then there will be no import taxes.

That's why most of the raw companies aren't exporting as long as they can sell in their own territory and avoid taxes.

There are only few people buying raw in their country, and usually it's just noobs who aren't aware to the fact that they can buy raw elsewhere.

Like houses, the Raw market is a worldwide market so experienced people won't buy oil in belgium, excepted if it's really cheap, which I barely doubt as it's a Q1(see the discussion about grain taxes^^).
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Post by Tacitus Arkenseale 2010-03-03, 13:16

What Jofroi said. I guess the main question is WHERE people have been buying oil before. Since you can buy from anywhere you have to beat everywhere's price.
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Post by Rod Damon 2010-03-03, 14:33

While the price of moving tickets are higher still then in other places, I have been bringing the price down through working with our producers and spurring competition.

We have dropped from well over 11 BEF to 8.58 BEF today. I have been told the price can continue to come down naturally at the rate it is declining for a while to go still.

Keep in mind that with a smaller population and no active military that deploys, the demand for MT's are somewhat fixed. The lower the prices get, the more units that must be sold for the company to break even.


checking prices, I see Colin is selling at .4 BEF or .0064 gold. Internationally oil is .0042 - .0051 gold to even get on the list.
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