Economy model

We want to emulate the environment and decision making a real business owner would have to face. There are multiple sectors and resources in Sim Companies. Their profitability depends on the economy state and actions of other players, and therefore can shift over time.

Being able to spot trends and find opportunities on the market is the key to success.

What is it?

Sim Companies economy engine models buying behavior of the "general public". Selling properties of products and goods (such as apples, sausages, etc.) retailable in the retail buildings are guided by this model. The economy engine's goal is to simulate behavior that you would expect in the real world. Understanding the buying behavior of the "general public" allows players to develop strategies that maximize their profit. Once a day, the model accounts for goods sold in retail in whole economy and based on saturation of individual products, the demand for the next day is determined.

The demand dictates how quickly the product sells in retail.

For more detailed information on how the saturation/demand, selling price, and quality of the product influences the selling speed read:

Selling time vs. profit

Sim Companies uses a polynomial function to simulate an increase in selling time with increase in selling price. This article will look at the actual values the model uses for apples for demonstration. The first chart describes the relationship between selling time in seconds and retail price for both high demand (blue) and low demand (red).

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Note: The current market demand can be seen in the encyclopedia or in the building that sells the product.

Building salaries (and profit per unit sold)

Reviewing the data, it might look as if the easiest way to maximize your profit is to sell at higher price. However, employees in your retail shop (grocery store, gas station, etc.) are being paid while the store is selling. So, the longer it takes for you to sell the product the more you spend on wages. We need to look at our profit, the next chart adds the grocery store wages into the equation and subtracts it from the apples revenue.

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Maximum resource utilization

Another way of looking at the data is to check how to maximize profit per unit time, instead of the product unit. As players have a limited number of retail buildings available, these need to be used efficiently. We have also neglected the sourcing cost of the apples. We should also plug in the base cost of one unit of apple since it has to be obtained. The last chart assumes production cost of an apple of $2.4 and displays the profit per hour.

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