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Corps Losing Value

Topics: Beginners: Corps Losing Value


Thursday, March 28, 2013 - 01:11 am Click here to edit this post
I have some of my corporations losing value and I was wondering if part of it might be the increased cost of the raw materials being purchased from my other corps (local market) as the products qualtiy goes up? Is it worth it to use the local market, or just set the raw material quality to 180 and purchase from the world market?

Brandon Gil

Thursday, March 28, 2013 - 01:31 am Click here to edit this post
If you choose to use local and common market to fill shortages, good idea. Otherwise, set to 170Q and raise/lower depending on final Quality @ 200Q upgrade. I am not 100% sure why the value is dropping, I have not experienced it before. This should be determined by later players who comment.


Thursday, March 28, 2013 - 02:01 am Click here to edit this post
You ask a question, run a theory, and ask a question about a solution. However, you did not leave enough information for the reader to find information about your corps and answer your question.


Thursday, March 28, 2013 - 06:14 am Click here to edit this post
Sorry guys, my country is the grand state of polaria on WG. And my corp that has had it's value take a dump is called Kingman Plastics. I recently did an IPO on it, which some of the shares have sold but not all. Are you able to pull it up. Im a noob at all of this, so thanks for any input.


Thursday, March 28, 2013 - 06:36 am Click here to edit this post
Well, a couple things going on here. First, about the materials, there is something to that. You are paying way too much for high quality materials. Production quality for this corp is capped at 272 and the higher quality materials are wasted against this cap. It is possible to produce the same quality and save about $6B/year on materials.

Second, a public corps value depends on demand for it's shares. If you are offering shares for sale, if they go unsold, the value of the corp will fall to make the share price more competitive with other corps. The P/E ratio is key in this and is negatively affected by the extra costs of materials which is hurting the profits of the corp.


Thursday, March 28, 2013 - 06:43 am Click here to edit this post
Oh, about the local market. I would sell the corp the high tech services, services, and about half the oil you sell it now. Purchase the rest of the supplies from the world market at 120-130qua until you see yourself producing at or close to 272qua. If you want to learn more, join the Hydra Academy.

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