Hello my name is Daniel Hanrahan and I created a barter facilitator application and do you think it is the future of commerce: https://github.com/Daniel-Hanrahan-Tools-and-Games/Barter_Facilitator Sincerely, Daniel Hanrahan
Hello my name is Daniel Hanrahan and I created a barter facilitator application and do you think it is the future of commerce: https://github.com/Daniel-Hanrahan-Tools-and-Games/Barter_Facilitator Sincerely, Daniel Hanrahan
Algorithm for determining value of a product: the highest possible value for a product / ( the amount of people who has the product - the amount of people who want the product ) = value of the product, but however when there is one offer for a product it is only the highest possible value for a product because there is only one offer.
How do you calculate this?
As demand increases, the value increases, but at some point when demand exceeds supply (which is common), the opposite happens: the magnitude of the value starts to decrease (though that value is now negative).
For example, two sellers sell a product, and four people want it. Let maximum value be
v_m. Value is calculated to bev_m / (2 - 4)=-v_m / 2. If two more people want it suddenly (so 6 now), it becomesv_m / (2 - 6)=-v_m / 4, which has a lower magnitude despite the higher demand and static supply. This is contrary to how supply and demand actually work, where value generally increases as demand increases (if supply remains static).Maybe value means something differently to me than it does to you though. Ideally supply would always equal demand (which makes your denominator 0, breaking the equation entirely since that would be undefined), but that would be really difficult to control.
The highest possible value for a product, say like we were in a world where there is only one of everything, then everything would be equal value, which is one, for example: one carrot for one apple, and the people who has the product - the people who wants the product is supply - demand in simpler terms and the software gets those numbers by looking in the database and counting the supply of a product and counting the demand of a product.