I’m not sure about the pricing mechanism in M&M. Seems like it doesn’t work properly. Look at my example:
I can produce 2 products per day. And really there are some costumers waiting for my product! Furthermore, I reduced my price to sell my product better.
BUT: I don’t reach the customers! And I don’t understand why.
I think, my product should be sold by min 1.6 per day. And because I used a discount, it should be a little more. Why doesn’t work it out?
And no, the competitor don’t use discounts, too.
Can you solve this problem or help me to understand how this mechanism really works?
Maybe this need an explanation too. The column shows that i sell about 4.0 units/day but i satisfy 8.3 units per day?
@tobias, to fully saturate demand you either need a very good sales rating (A+ rating or better) or a heavy discount, or a little bit of both. So what you are doing, offering a discount, is increasing sales but it doesn’t automatically guarantee you will be able to sell it to everyone. Some customers will stubbornly refuse to pay your prices if your sales rating is not high enough.
But don’t worry, you don’t need to fully saturate the market. If you offer a massive discount, you will eventually be able to saturate the market, however this will probably cost you more in profit than the additional sales are worth. Be careful not to discount too much!
@Roidal, the 8.3/day is the total sales across all your products. The number in the column is for the specific product. This may seem confusing but it’s more consistent with the other numbers shown on the pie chart, namely: the total your competitors sell and the total unsatisfied demand.