Based on shipping rate of KCr1/ton how far can you ship goods economically?

Also... I just took a minute and re-read the OP.

It seems a bit incomplete regarding unit cost to manufacture, retail price and shipping cost. You list retail and shipping cost, but don't mention cost of manufacture.

Shipping is an add on cost regardless. It's important, but the most important numbers are the actual cost of manufacture and the price a customer is willing to pay. If the former is higher than the latter, you could have free shipping and it wouldn't matter. Conversely, if the cost of manufacture plus the shipping cost is lower enough than the local manufacture cost, profit ensues, regardless of the actual numbers, and someone will probably be shipping freight.
 
MarcusIII said:
Scenario: The planet China manufactures iPhones that retail for Cr200 (1977 price). In a 1.5m x 3m x 3m space you can fit about 28,000 packaged phones. For each parsec shipped it costs 3.5 "cents" per phone.

So for relatively small, high priced products you could ship them all over a sector from one planet economically based on macro econ comparative advantage situation like China and iPhone manufacturing.

Something to think about in the T.U.

Thoughts?
Click to expand...


Hrrm.

For the 200Cr phones, it's .035 Cr per parsec in shipping costs. So, what is the price that the market will bear? What is the price that the market will bear on each world that the cargo ship can deliver to? That creates the range. The maximum range is where the cost of shipping increases the price of the item to the maximum price that the market on each world will bear.

Now consider:

Each sector has a number of high TL worlds which can easily mass produce the phones. Now, where the shipping ranges of these manufacturing worlds overlap, this overlap will lower the maximum price the market will pay on each world. Then the manufacturing world with the Comparative Advantage in manufacturing and shipping will be able to offer the markets of worlds in the overlapping ranges with the lower price.
 
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