Thanks for the Billions PI
Posted: 2010-08-12 Filed under: industry, market 5 CommentsI bought a lot of Mechanical Parts at NPC prices, 646.00 ISK, before Tyrannis hit the shelves and have made a killing on this poorly implemented expansion.
I read the dev blogs, Akita T’s posts, and played around with extraction rates on the test server. All my Excel sheets showed Mechanical Parts costing around 8,700 ISK to make. Once the actual Jita price hit that level, I dumped my stock.
I have my fingers in 3 other PI items and they all have at least a 1,200% increase as of today. They have not reached my expected cost of production, so I am not selling yet.
August 12, 2010. Jita 4-4 prices for Mechanical Parts:
k162space 
Wow, very impressive! Good for you!
I was really wanting to invest in stuff before Tyrannis was launched, as I expected there would be much isk to be made. I just didn’t know where to start looking for ideas. I guess I know who to ask next time 🙂
Assuming one produces the reactive and precious metal inputs in the same PI facility as one does the inputs, the price for mechanical parts is the cost of the facility divided by the total number of units produced over time, plus export charges. Once the facility investment is paid off, the cost is reduced to export charges.
Input costs don’t come into play unless you’re buying the inputs on the market. As a general rule, mechanical parts producers don’t purchase their inputs.
Most mechanical parts don’t see the marketplace. They are produced by POS owners who consume their own product and bank up any the surplus for future use. As a result there’s a scarcity of supply which you see reflected in the price you describe – which is about double of what I’m seeing in market these days.
What you’re seeing is how markets work – not a flaw in PI. Props on anticipating and taking advantage of a spike in the price. However, over time expect to see the price drop as cost of production declines and high price drive an uptick in supply.
Nicely done, sir. Gratz.
Smart move!
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