Learn basic economics

[belbn]

This one guy/company undercuts EVERYBODY, regardless of feedback, amount, market conditions, or any other factors. And he does it EVERY TIME.

He makes less profits, he drives the price down, and people like this are just bad for the market in general.

It's impossible to contact whoever is in charge of this gold business. Went there. More confused.

I'd like to thank everyone else in the business for being smart economists, and I urge new sellers to learn the basics of supply and demand.

Edit: I meant to add this originally. Is there any solution to this problem? If he's going to undercut every single person all day long, how can any other seller sell any gold at all? It's like he's determined to get every single sale. I personally just wait for this fucker to remove his listing and sell at some strange hour of the day. It's always this one guy too. Nobody else in this market does this shit. He isn't the biggest either.



.

 

arguably he is only undercutting the next highest bidder at the time by .15

 

[Zimmerman]

that's arcus? pm him

 

He's one of the biggest gold sellers on Sythe... That's Arcus Isidar, he can probably afford to undercut you all and still make a ton more profit since he buys so cheap and in bulk.

 

[kmjt]

lol why would he care if he is making money, he isn't required to be nice to you guys

 

[Nytrix]

Welcome to PlayerAuctions.

 

[Superfluous]

I don't really know what you're talking about since this makes perfect economic sense. If you take a vanilla monopoly pricing / game theory approach, everyone has an incentive to undercut everyone else. This stops being true when one party starts to lose money. By charging the lowest rates, Arcus dominates the market, and I'm sure he still profits nicely because he's able to buy lots of gold for cheaper than the other sellers. If others undercut him, they will probably lose money or have such small margins that it becomes impossible to compete. Walmart has the same business model, and it works out pretty well for them.

0/10 economic argument.

 

[belbn]

I don't really know what you're talking about since this makes perfect economic sense. If you take a vanilla monopoly pricing / game theory approach, everyone has an incentive to undercut everyone else. This stops being true when one party starts to lose money. By charging the lowest rates, Arcus dominates the market, and I'm sure he still profits nicely because he's able to buy lots of gold for cheaper than the other sellers. If others undercut him, they will probably lose money or have such small margins that it becomes impossible to compete. Walmart has the same business model, and it works out pretty well for them.

0/10 economic argument.

Thank you for a sensible reply.

My main point is that he doesn't need to undercut so much. According to the image, he's only undercutting ONE person directly, who doesn't even have any feedback and is absolutely no threat to him. It's like he has to unload his entire gold reserves in the next 5 minutes and he'll sell at $0.01 per mil. What he doesn't understand is people buy gold at a predetermined rate and doing this doesn't make him any more money.

From that image, he could go to $53.99 and still have the lowest price relative to 99% of the other sellers (except that one). He misses out on $6.14 profit at his current rate, which is 11%, yet he only beats out that one person. There's no way that one person with 2 feedback is going to steal over 11% of his orders and make this undercut more profitable.

If others undercut him, they will probably lose money or have such small margins that it becomes impossible to compete.

What if a fictional man named Johnny botted his gold and it cost him $0.00? He could undercut everyone all day long and still profit 100%. He wouldn't do this because he wants the price to remain high if he's botting. Which leads me to point 3:

because he's able to buy lots of gold for cheaper than the other sellers.

Why do people sell to him if he's buying for less? That makes no sense at all. I'm pretty sure he doesn't bot himself, or he'd want the price to remain high as I said before.

 

[Superfluous]

I don't think you understand how powerful Arcus is in the market. What you're seeing is probably a temporary pricing mismatch. Change the amount of gold, and it will probably go away.

 

[belbn]

I don't think you understand how powerful Arcus is in the market. What you're seeing is probably a temporary pricing mismatch. Change the amount of gold, and it will probably go away.

That's precisely what it seems like! But it's the same story all the way up to 10B. And he's been doing it for years. I honestly celebrate the second his listing disappears, and it's such a shock when it appears, hence my main reason for creating this thread.

 

[Arcus Isidar]

lol'd

 

[i was a noob]

lol'd

he has spoken

 

[Jake]

Fell off my chair laughing at this.

Get over it, maybe you should start using his tactics.

 

That's precisely what it seems like! But it's the same story all the way up to 10B. And he's been doing it for years. I honestly celebrate the second his listing disappears, and it's such a shock when it appears, hence my main reason for creating this thread.

Arcus Isidar is one of the most trusted users here on sythe. He dominates the market for his trust and prices. Ive personally bought/sold from him.He doesnt bullshit u, he's always given me a great deal. His business ethics and customer care has made me a customer for life.

OT: he has the ability to buy and sell large amounts of gold. Its simple really, he wants to flip the gold quickly and make a lil less. Its a huge risk for him to have that money sitting.

 

[Sypherz]

lol'd

bahahhaha
too good

 

[LoLSmurfin]

lol'd

lulz, made my night.

@OP, he may as well sell gold faster by beating everyone's rates and unloading gold that puts him at risk of being banned. It's not like he's losing money on the margins he's trading at.

 

[kmjt]

Anyway if you really want to hate someone, you are pointing the blame in the wrong direction. Divica was the one who made an unnecessary price drop, arcus was only undercutting him by 15 cents lol

 

[Xier0]

That's precisely what it seems like! But it's the same story all the way up to 10B. And he's been doing it for years. I honestly celebrate the second his listing disappears, and it's such a shock when it appears, hence my main reason for creating this thread.

You are a dumbass. Supply and Demand sort themselves out. If it wasn't worth it for him to price like that, then he wouldn't do it. In a free market, prices will always be competitive. Don't get butthurt that other market players offer better prices or services, improve your prices or services back.

 

[Patriarch]

Just Arcus being Arcus-Awesome-Forever

 

[Superfluous]

lol'd

This is my favorite post on Sythe, beating out other favorites such as saint matthew's banning.