The Economics of Badgers

Some weeks back I put up a post about how long material efficiency was going to take for my new venture into ship building.

Eventually the 49 days elapsed.

My blueprint was in hand.

I had materials stored away for production

I was ready to commence production.

I was going into the business of Badgers.

I chose that lowly Caldari industrial ship, the first hauler for so many people, because:

  • The blueprint original (BPO) was cheap for a ship
  • They seemed to sell well
  • The price seemed to be stable and at a level where I could make a profit

The last bit was, of course, the most important. If I was going to invest in a BPO, I wanted to be able to make my money back.

The BPO itself was 3,138,750 ISK.

Researching to Material Efficiency level 12 on the BPO added 2,278,836 ISK to the investment.

So my initial investment was 5,417,586 ISK, plus 49 days of waiting.

Fortunately, the market stayed stable while the research went on.

Materials and manufacturing cost per Badger, based on current mineral prices:

ME 0 – 348,720 ISK
ME 12 – 306,196 ISK

So the 49 day wait was worth over 40K ISK per Badger produced, which ends up being a pile of tritanium on a production run of 15 ships.

My selling price for Badgers is 540,000 ISK, which turns a tidy 231,104 ISK per ship sold.

Which meant that I had to sell 24 Badgers to get back my initial investment.

I have already sold 40.

So, if nothing else, Badgers have made me some money.

Of course, there have been some challenges.

I only noticed after my first production run that a packaged Badger is 20K cubic meters in size. That is more space than any of my haulers can handle.

The next size up in hauling from an industrial is a freighter. While I am a mere two hours training time from flying a freighter, the cost to buy both the ship and the skills runs to the 1 billion ISK mark. I just have to sell about 4,400 more Badgers to get there.

With a freighter not an option for now, I have had to improvise and build where I plan to sell.

I load up the BPO and all the materials for a 15 ship production run, fly off to the neighborhood in which I want to sell, and start producing on location.

I have thus, established myself in the ship building business. Plus I am sure I could sell the BPO for quite a mark up if I tire of production. There seems to be a pretty steady market for BPOs with some material efficiency research on them.

I wonder though, with the removal of NPC sold shuttles, if I should go into the shuttle business as well?

13 thoughts on “The Economics of Badgers

  1. Scott

    Congrats! I’ve been running my own research/production corp for almost a year now.

    As you found out a Freighter eventually becomes a necessity, not only for moving goods from your production station to your selling destination (due to lower costs and higher production slot availability at your production station), but also for buying minerals cheap, and moving them back to your HQ.

    If you keep at it, make sure you save up 2bil, so when you do buy your freighter you have a nice comfortable savings to cover purchasing minerals in bulk to keep your production going smoothly so you’re never waiting on orders to fill for more materials leaving your BPO’s idle.

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  2. WTM

    Have you considered a “Transport” as a stand-in until you can afford a freighter? I.e. a Bustard with Cargo Expander IIs will easily give you 20+K of space….

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  3. Wilhelm2451 Post author

    I guess a Bustard might get to 20K, having five low slots. I fly a Mammoth that starts out with 160 cubic meters more space, but only has four low slots, which gives it a total space of 17,837 cu/m when fitted with expanded cargohold II modules.

    And then I can carry one packaged Badger around for sale. I might be better off just building where I intend to sell.

    And when I think about it, for less than the price of a Bustard, I can buy up the alloyed tritanium bars I need for a Cargohold Optimization Rig I and get the Mammoth over 20K space.

    Anything is possible with enough ISK.

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  4. WTM

    Isk is everything…..

    Perhaps the Minmatar version of the bustard could be worth considering?

    But yeah, given that the maximum you could carry would only be one, probably is easier to just build at the market point….

    Alternatively, could see if you could find a friendly freighter pilot to transport them for you?

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  5. Alan

    Missed this earlier, but just for the record, the minmatar version of the bustard actually carries LESS than the mammoth, iirc. I’m not 100% on that, but I do vaguely recall one of the industrial people in my corp throwing a fit about it because he didn’t bother checking stats before hand. I advise you pop into EFT and take a look-see first.

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  6. Wilhelm2451 Post author

    I was going to mention that myself. The Mastadon, the transport version of the Mammoth, starts at 5,250 cu/m compared to 5,625 cu/m for the industrial.

    None of the transport level ships appear to beat the Mammoth, which comes in second only to the Iteron Mark V.

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  7. Lolatyou

    Ah burned asdatasman or whatever.
    You didnt see him writing about transporting ind ships did you?
    Try placing the 20k m3 ship inside GSC’s :) Didnt work for me. Worked for you?

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