Market size 1000000000
A
start p 0.55 start value 328810350
end p 0.65 end value 280008895
change -48801455
B
start p 0.55 start value 328810350
end p 0.45 end value 359328463
change 30518112.9
sales 500
scenario 1 scenario 2
potential market size 5000 25000
industry value 1151.292546 1956.011503
number of sellers 10
seller's power 0.52287875 assume p = 0.3
number of buyers 1.1
buyer's power 12.6321533 assume p = 0.3
percentage of value to buyer 0.96025257
percentage of value to seller 0.03974743
with new selling channel
number of sellers 10
seller's power 0.52287875 assume p = 0.3
number of buyers 10
buyer's power 0.52287875 assume p = 0.3
percentage of value to buyer 0.5
percentage of value to seller 0.5
total volume fixed coxt marginal cost
10000 250 30%
Before tariff
percentage of harvest 1.20%
unit value of lumber 4.422849
total value of lumber 530.7418
total cost of production 409.2226
net profit 121.5193
After tariff
Tariff rate 25%
percentage of harvest 1.20%
unit value of lumber 4.422849
total value of lumber after tariff 398.0564
total cost of production 409.2226
net profit -11.1662
percentage of harvest 1.80%
unit value of lumber 4.017384
total value of lumber after tariff 542.3468
total cost of production 466.9387
net profit 75.40807
total tariff collected by the government A 180.7823