I finally begin to turn a profit every month. It’s almost like this is my first episode and the past 3 was just a mess. Turning Greens is one of the best feelings you get in this game.
Lessons learned from this episode:
1. Becareful of workers wages
Production is just cheaper in a place where the wage rate is low. I’m paying double the rate in Paris which would eventually in the long run result in huge costs that could be cheaper than just freight costs. So always think about that when you are doing a labour intensive industry.
2. Focus on your product and you will be able to own it
By following the demands and supply all the time you will be able to own the market with the product. But keep on following the development in the market and see where you can create your bread earner.
3. Set up production in every city if you want to truly make profit for items that have small margin
It’s costly to set up a factory everywhere early in the game, but for items that have a small margin you can’t do much by exporting, it becomes very expensive. As competition increases, you will find it very difficult to sell products at a high price and add the cost of transport to another city and you are earning peanuts. But obviously, think about it carefully as you might be able to get away with just being located in 1 city by compromising on your profits or just having less management to do.
What do you think? Leave a comment below.