Capitalism 2 and Capitalism Lab Forum

Hello,

I've been struggling with keeping my prices close to competitors so I can try to gain advantage in the market. Where I get confused is should I raise prices at my farm if its let's say beef or leather or should I raise prices in my store front? Sometimes Cost+freight gets to the point I dont make any money. Any advice would be helpful!!

Northskyplays wrote: Sun Sep 21, 2025 4:52 pm Hello,

I've been struggling with keeping my prices close to competitors so I can try to gain advantage in the market. Where I get confused is should I raise prices at my farm if its let's say beef or leather or should I raise prices in my store front? Sometimes Cost+freight gets to the point I dont make any money. Any advice would be helpful!!

Generally speaking you don't have to price match your competition, you can also try beating them in other areas such as Quality or Branding (how important these two factors are depends on the product itself but generally speaking price is almost never more than 40% of the total rating). The key is to get a higher or a similar rating to maintain your market share.

As for prices for production firms vs retail firms in general it is the retail firms where the actual customers buy the products so you need to change the price there to affect sales.

In the case of farms/factories/etc it is irrelevant what the price is if Internal Sale is enabled as you are the only customer. In theory your retail stores could run at a massive loss while your farms run at a massive profit (or vice-versa).

However you should set a reasonable price that matches or is slightly below the retail cost for the following reasons:

- Better accounting, in theory you get the same money if the retail stores run at a loss while the farms run at a big profit, but it can get confusing then as to which firms are performing well and what are underperforming so it usually better to just try to make the prices match (or close enough).
- Internal Sale is not always enabled and therefore others could buy the products straight from the farm and you might not make a lot of money if you sell too cheaply or others might not buy from you (if the price is too high).