Article

32120

My previous article was about how NOT to establish a company .
This time we are going to talk about something more interesting- how to establish a well-prospering company.
(PL version)
The most important subjects are divided into points:
1. Kind of company and its location
2. Establishing a company or buying one
3. Buying resources
4. Employees and their salaries
5. Selling products
6. Summary

- 1 –
Kind of company and its location

Companies in e-sim world can be divided into 2 main categories. Companies producing resources: Iron, Grain, Oil, Stone, Wood and Diamonds,
And final products: Weapon, House, Gift, Food, Ticket, Defence systems and Hospitals.

Companies, which produce resources can be established ONLY in locations where the deposit is. Despite the fact that you can establish it in a region where there is a MEDIUM amount of resources, HIGH regions are highly recommended. Their quality (Q) define the amount of production. The higher the “Q” is, the more product will be produced in a company with the same expense.

Assuming that Q1 Company produce 100 units, every upgrade of the company will increase its productivity by 20. It means that Q3 Company will produce 140 units, and maximum lvl Q5 company 180 units. Then we can come to a Simple conclusion that the higher the quality of a company the more it will produce. And here I want to pay attention to those who have 20 GOLD to establish a company. Generally speaking, it is pointless to build a low-quality company because there is always a richer player who has a company of better quality is able to lower the price to a level below Q1 company profitability, but still earning money.
Quality of a company is not the only factor that affects the productivity. The level of resources is as important (MEDIUM 75% or HIGH 100%) as the fact, if the country in control of the region also controls the capitol (if not, the productivity decreases in 25%)
Those rules seems to be complicated, but in practice you only have to stick to few tips:
-Establish a company with the higher level that you can afford (Q1 companies brings losses)
-Establish a company only in regions with HIGH occurrence of the resource
- TAKE PAINS in order to prevent the capitol of the country where your company is from being occupied
We are going to talk about employees later on.
In Poland (on its core regions) there is only one region which is rich with resources- Silesia (IRON)
Factories which produce final products can be established in every region and ( in contradiction to those producing resources) Q1 companies make sense. In case of producing a final product, the higher quality the company, the better product it produces. Unfortunately, in lower quantity. Often, despite the low profitability of Q1 companies, thanks to demands they can yield bigger profit. For example, Q1 companies producing weapons despite low profits, during warfare demands can make a lot of money.
The influence on productivity of the company has its quality, but you don’t have to worry, because Q2 company produces different product than Q1 company. What is important? Country in which you establish your company should have region HIGH with resources under control. If it is like that, your productivity rises 25%. Having the capitol under control is very important. If the country lose it, your productivity decreases to 75%.
Tips:
1. Establish a company in capitol or a region with HIGH resources needed in your company
2. Make sure, that the capitol and HIGH region are under control of the same country

- 2 -
Establishing a company or buying one

If you have chosen what company you want to run, and you chose a region, check if somebody doesn’t want to sell one for less money, for example one doesn’t need it, or needs gold for other reasons. You can check it in market -> companies for sale. If you want to run Q3 company, check the price of Q1 and Q2 companies. It can turn out that it has sense to buy Q1 company and upgrade it to Q3. If the price is not attractive, do NOT buy companies from our enemies, but if the price is equal to costs of construction, it is better to buy a company from our compatriot, than building a new one. It has its advantages (lowers the rivalry and you may have hired personel) and disadvantages (employees may have already worked for the previous employer which lowers the income for a while). When buying a company look out for traps, e.g. avoid Q2 companies exposed for sale for 89,00 GOLD (price minimally lower than building Q3 company)
Price of a company:
Q1 = 20 Gold
Q2 = 40 Gold
Q3 = 90 Gold
Q4 = 190 Gold
Q5 = 390 Gold


ATTENTION: You Carnot build a company on Q5 level. You have to start from the lowest level (when New, it’s Q1) and then upgrade it, paying

0 → Q1 = 20 gold
Q1 → Q2 = 20 gold
Q2 → Q3 = 50 gold
Q3 → Q4 = 100 gold
Q4 → Q5 = 200 gold
When you become an owner of a company, Edit it- Change it’s name, it’s awatar (20x20 pixels)

-3 -
Buying resources

This point only to companies making final products.
Companies making half-products, doesn’t need other resources.
To produce one Q1 food, you need one grain. Food Q2 needs 2 grain, Q3- 3 grain.
Production of weapons need twice as much resources, e.g. Q1 weapon needs 2 units of Iron; Q2 weapons uses 4 units of Iron etc.
You can count appropriate amount of resources with the help of calculator- link at the end of the article.
You can buy resources AT the market. But the best way is to have a deal with a manufacturer of the resource you need for wholesale with proper for us (low) price. Remember, you need as much resources every day as your employees are able to process !
1. ATTENTION: with every working day economy skill of every employee rises, therefore he produces more and needs more resources! That’s why you should always buy a little more resources than the day before.

- 4 –
Employees and their salaries

When you have a company it’s time to find your workers. Other guides suggest that you should be your first employee, but in my opinion it’s not the best idea. If you have a good job, don’t resign. Employ others to your company. But to be fair, an advantage of self-employment is the omission of tax, narrowly its minimizing. If you worked for 11,00 PLN, after paying taxes you got 10,00 PLN in your hand. You can employ yourself in your company for 1 PLN, the remaining 10 PLN will stay in company, so in your pocket. You pay the tax from 1 PLN you’ve earned which is 0,10 PL, you save 0,90 PLN.
But when you start your business you take the risk, that the company will fail. It’s better to treat it as something different- it’s safer.
If you’ve bought an existing company on the market it is likely that it has its workers. Check, if they are workers of just scarecrows.
My places->companies->choose company and search for link ‘view workers productivity”. When you click on it, you will see a chart with list of workers, amount of productivity, and day of work. When you see that someone didn’t work for a few days, I recommend you to fire him, because he will cook up accounts.
Productivity of a worker depends on productivity of a company (check chapter.1), his economy skill and sequence of work. First worker produces 100% of his abilities, but the second one 96.67%, third 93.33% and so on. It falls ~3% since the tenth worker, eleventh has only 2/3 of his productivity. The more workers you have, the lower their productivity is, but all together they make more product. If you have more than 30 active workers, the productivity of the 31st and more, productivity stops falling and stays at 1/3.
Generally speaking the less workers you have, the bigger their productivity is. If you pay your workers not enough, they will leave. If you pay them too much, you will earn less, or even pay extra money to the business. Salaries that vary the most concern workers with economy skill=1 . It is from 4,00pln to 8,00pln. Hiring someone with ES=1 you can expect that they will work right after employment, but still, most of them will stop playing the game and never work with higher ES.
Hiring a worker with ES=2 You can count on co-operation. Just remember, that at the beginning ES rises very fast, so you need to rise their salaries quite often. It is a good idea to make a chart where you can note salaries for workers with particular ES. Make it on a basis of job market market-> job market.
Lowering salaries, which is understandable, is not welcomed by workers. Every time, when you change the salary, your worker receives a notification. If you lower the salary, you impulse the reaction of looking for other employers.
ATTENTION: Make sure that you always have PLN for salaries. If you lack the money, your worker instead of information about his productivity will receive suitable announcement, and then one can leave the job.

-5-
Selling products

-6-
Summary

Keeping the company(companies) in e-sim game is a wide subject. I did not express every aspect of it (e.g. how to run a company under occupation). I believe, that this article will help some of you. It’s the first version, and there are going to be improved ones later on.
A very useful tool is a calculator made by zly_czlowiek . Before you establish/buy a company make some (at least a dosen) of simulations using this calculator: http://e-sim-tools.comli.com/?p=calc# From my casual calculations, to start a small company you need ~20 gold to buy and ~100pln for salaries/resources.
Unfortunately, I could not fit everything here- limitation of the length of the article.
The part about selling products will be available in my next article.

Thanks to soszkin for translating this article.

Thank you

Jazeon



Previous article:
Od zera do milionera… czyli jak z 20 złota zrobić fortunę. cz. I (13 years ago)

Next article:
[PL] Apel do sprzedawców – inaczej (13 years ago)