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Factory pricing

Posted: Wed Jan 19, 2022 9:54 pm
by victorgonzalo
Hello all. I would like to request some help here :)

My question is related to factories that I belong. Below I share the data in order to understand the situation:

FIRST SCENARIO

Production cost for the canned corn: 0.78
Factory sell price for the canned corn: 2.34

Supermarket cost for the canned corn from my own factory: 2.55

This first scenario is "understandable". As far as I know if the product price from my factory is 2.34 + the freight cost to the supermarket then the purchase price for the supermarket is 2.55

But the second one blows my (little) mind:

Production cost for the cake: 0.40
Factory sell price for the cake: 1.76

Supermarket cost for the cake from my own factory: 1.46

How it is possible that MY factory sells the cake for 1.76 but I buy it on the supermarket at a price of 1.46?

I share with you all the screenshots in order to give all the details.

Thanks for your help in advance.

Re: Factory pricing

Posted: Tue Feb 15, 2022 9:23 pm
by alpha117
Can you confirm that you are purchasing your 'cake' from your factory and not from somewhere else, like a seaport?

Re: Factory pricing

Posted: Tue Feb 15, 2022 10:01 pm
by saffgee
This happens because the cost shown is the average cost of all the good purchased - in other words this product was also bought more cheaply than the 1.66 you currently have set. As soon as the "old" goods are sold and/or cleaned out of your purchasing units, the true cost will show up for that good.
Simplest solution = let time run for a bit as quite frankly you cannot influence this average pricing anyway other than just selling off the old merchandise
Expensive solution = purge all of your sales units by dumping the goods (this costs money as they are wasted) and then you should see the real cost of buying those cakes (factory cost + freight)