Economy factoring TVM? (time value of money)

xkjacob

X
I understand quite a few people work off of a per ton basis for quantifying a good run and I have to strongly disagree because they do not factor in time.
Elite: Dangerous lacks, in what may be an entirety, the concept of TVM (time value of money) and opportunity costs with sufficient rewards to mitigate time intensive trading.
What am I speaking of? The 45 second FSD sequence.
Each system costs 45 seconds per jump. Each jump roughly costs around 14% revenue, given about 2-3 minutes for each station time maintenance.
In other words, if you are circular trading and not immediately jumping to the destination to sell your product, then you are being at least ~30% less profitable and if you need to jump 5 times you are being over 100% less profitable, than circular trading 1 jump to station. That isn't counting multiple stations, which would impact your profit per minute even more.
(5 jumps to = 5 jumps from = 10 jumps total)
Secondly, while you are chugging away with your time intensive run, someone else will be doing 1 to1 trading changing the market and reducing your profit further.

I am not sure if the trading in this game was designed to skew towards 1 to 1 stationing, but it really does. If you aren't 1 to 1 stationing, generally speaking you are being highly inefficient and no amount of distance trading exists, not even rare trading, to compensate for short 1to1 exchanged. There are enough 1k+ runs by high tech systems with refine/industry nearby (under 19Ly) to facilitate this.
On a bad day, per minute with 120 cargo space I churn 25k per minute. On a good day I churn just under 40k profit per minute.
None of my long distance runs break 18k per minute.
I don't know if this is the manner in which trading was intended to be implemented, but it appears to be how it works currently.
To triple the impact, being so wasteful with your time causes your money and revenue gains to slow substantially, because your CR per minute effects the rate you may upgrade your ship and fit it with needed equipment.

So 1 FSD time loss, 2 market loss from others having more deliveries than you and 3 delay in upgrade to increase your CR per minute.
 
I understand quite a few people work off of a per ton basis for quantifying a good run and I have to strongly disagree because they do not factor in time.
Elite: Dangerous lacks, in what may be an entirety, the concept of TVM (time value of money) and opportunity costs with sufficient rewards to mitigate time intensive trading.
What am I speaking of? The 45 second FSD sequence.
Each system costs 45 seconds per jump. Each jump roughly costs around 14% revenue, given about 2-3 minutes for each station time maintenance.
In other words, if you are circular trading and not immediately jumping to the destination to sell your product, then you are being at least ~30% less profitable and if you need to jump 5 times you are being over 100% less profitable, than circular trading 1 jump to station. That isn't counting multiple stations, which would impact your profit per minute even more.
(5 jumps to = 5 jumps from = 10 jumps total)
Secondly, while you are chugging away with your time intensive run, someone else will be doing 1 to1 trading changing the market and reducing your profit further.

I am not sure if the trading in this game was designed to skew towards 1 to 1 stationing, but it really does. If you aren't 1 to 1 stationing, generally speaking you are being highly inefficient and no amount of distance trading exists, not even rare trading, to compensate for short 1to1 exchanged. There are enough 1k+ runs by high tech systems with refine/industry nearby (under 19Ly) to facilitate this.
On a bad day, per minute with 120 cargo space I churn 25k per minute. On a good day I churn just under 40k profit per minute.
None of my long distance runs break 18k per minute.
I don't know if this is the manner in which trading was intended to be implemented, but it appears to be how it works currently.
To triple the impact, being so wasteful with your time causes your money and revenue gains to slow substantially, because your CR per minute effects the rate you may upgrade your ship and fit it with needed equipment.

So 1 FSD time loss, 2 market loss from others having more deliveries than you and 3 delay in upgrade to increase your CR per minute.
Sorry, I've not studied business... What's the suggestion?
 
Last edited:
Back
Top Bottom