Alexandre Lacazette: Laca the Net

[Football Manager]

Sir, certainly you never got an A in an economic class. I recommend you take a text book and read it again.

The 50M we paid for Laca is done, whatever we do now can not recover it. To know whether we should sell Laca, we need to compare these two things:
1. Costs and benefits (opportunities cost) if we keep Laca
2. Costs and benefits (opportunities cost) if we sell Laca

And that's it. Whether we bought Laca for 20M or 100M will not affect anything on those 2 opportunities costs and you should make your decision solely on those 2 costs alone.

PS: saying "consider the opportunity cost that we can have a more technical striker with crazy flicks and skills" is an illusion. A player better than Laca should be in over 100M basket (same technical level as Dembele or Coutinho), because it is highly likely that you paid 70M to get Lukaku or Morata.

Reality is not Football Manager where you can take a look at a person's attributes such as pace, dribbling, potential, etc... Stop saying "All I know is to buy low and sell high." like you can do it for real.

You are the the one who need those text books.

Sunk cost is non-recoverable cost. Like if you have spent £10 on a non-refundable ticket, the £10 is the sunk cost, you have spent it and you won’t get your money back.
Lacazette is an asset from investment, by selling him, you will make a profit or loss.
The money Arsenal invested in him was not one off expense and it’s not non-recoverable. If Arsenal sold him for £40m in the sunmer, they make a loss, but £40m is recovered. At the end you would get some money back, regardless if you make a profit or loss out of it.

Referring to your post:
1 The opportunity cost of having laca is the new player (s) we can buy using the money we sold him for.
2 The opportunity cost of not having laca is having laca (his performance on the pitch plus the money he generates for the club from merchandise).

But you don’t really have to look at it separately when you are looking at opportunity cost.
The opportunity cost of having laca (his performance plus the money from merchandise), is the new player (s) performance plus the money he (they) generate from merchandise.

The money arsenal have spent on buying laca will not affect the opportunity cost, but the money we sell him for will affect not only point 1 and point 2, but also our profit and loss on this investment.

By the way, there is a reason why we hire our scouts, to find special talents before they get expensive. Of course you can quantify ones ability, or else why do we need these scouts. When I watched the 16-17 Nasri, thauvin, gnabry, the young deulofeu, mbappe, and now tonali. I knew they are going to be great players. They were very cheap at the time.

 

[dka1]

You are the the one who need those text books.

Sunk cost is non-recoverable cost. Like if you have spent £10 on a non-refundable ticket, the £10 is the sunk cost, you have spent it and you won’t get your money back.

Winner winner chicken dinner.

It'd be more appropriate to think of the wages already paid to Laca as a sunk cost rather than the fee for him itself.

 

[avalonhse]

Sunk cost is non-recoverable cost. Like if you have spent £10 on a non-refundable ticket, the £10 is the sunk cost, you have spent it and you won’t get your money back.

Lacazette is an asset from investment, by selling him, you will make a profit or loss.
The money Arsenal invested in him was not one off expense and it’s not non-recoverable.

You failed my economic class whatever, because you can not distinguish between an economic concept (opportunity cost) and an accounting concept (profit/expense). Hope I have less students like you in my class.

Tired of explaining more. So have fun with your Football Manager. Cheers.

 

[Football Manager]

You failed my economic class whatever, because you can not distinguish between an economic concept (opportunity cost) and an accounting concept (profit/expense). Hope I have less students like you in my class.

Tired of explaining more. So have fun with your Football Manager. Cheers.

You should not skive lessons then. If you can’t even get the definitions right, then I can’t really help you much.
Of course you are tired of explaining, because first, you get your facts wrong, and second, you don’t have the experience of writing an over 10000 words dissertation on economics. Come again if you’ve got your masters degree in economics.

 

[avalonhse]

You should not skive lessons then. If you can’t even get the definitions right, then I can’t really help you much. Come again if you’ve got your masters degree in economics.

Yes, certainly. I have a Master in Quantitative Finance and studying phD in Statistics right now. How about you grade in the Economics class?

I got an A anyway.

 

[Football Manager]

Yes, certainly. I have a Master in Quantitative Finance and studying phD in Statistics right now. How about you grade in the Economics class?

I got an A anyway.

Finance and stats... it’s time to up your economics game.
https://www.google.com/amp/s/www.thestreet.com/amp/personal-finance/education/sunk-cost-14767636
I assumed that you have got your A from a module called the basics of economics in your quantitative finance degree. If you are doing an intermediate one, please bring this up as a discussion in class before you have your exam. You’re welcome.

 

[Red London]

Guys what the **** is going on... your economics battle isn't relevent here

 

[Football Manager]

Lol. Laca's age is 27. The next few years are normally the peak for any striker. How can you consider him approaching 30? And what technical striker with better ability do you think we can buy with the budget?

I believe the peak of a football player is around 23 to 29 on average.
https://content.iospress.com/articles/journal-of-sports-analytics/jsa0021
This paper suggested that it’s around 25 to 27, which has the same mean as what I have observed.

His market value won’t drop suddenly on his 30th birthday. If other clubs knows that a player will not perform anymore in their 30s, his price will gradually drop after he reaches 27 or 28.

You can buy u23 players and develop them. This will give you the most return. But you will need good scouts and have to be patient as they haven’t reach their peak yet.

If you want to have a good balance between results and return, then buying players that age between 23 to 25 and sell them at 27 is the best option.

 

[BigPoppaPump]

This is what this thread devolves to when I'm not here hating smh.

 

[Artisan]

Lets be honest, despite all the worshiping he was getting a little earlier, he is a good player but not a great striker. He's come through in couple of the big games so he might deserve our POTY, but I just never feel confident if we have to rely on him as our main goal threat.
Statistically he's actually managed to score at a lower rate than last season in the league. I hope if nothing else he scores couple of more goals in the next two games so that at least he'd match or better even Giroud's scoring record.

 

[Yousif Arsenal]

Lets be honest, despite all the worshiping he was getting a little earlier, he is a good player but not a great striker. He's come through in couple of the big games so he might deserve our POTY, but I just never feel confident if we have to rely on him as our main goal threat.
Statistically he's actually managed to score at a lower rate than last season in the league. I hope if nothing else he scores couple of more goals in the next two games so that at least he'd match or better even Giroud's scoring record.

He more like Firmino he can score assist press drop deep he absolutely good player to have

 

[boyinneedofhumor]

Guys what the **** is going on... your economics battle isn't relevent here

If only the team demonstrated as much pride and confidence, as well as reluctance to lose...

 

[krackpot]

Big game player

 

[A_G]

Laca is quality but he always leaves wanting just that little bit more. Two big goals, but if he'd score one of the other chances the tie would be dead and buried.

 

[thierrytheking14]

Yea should be here talking about his hattrick...

Really shoulda buried that one!

 

[Yousif Arsenal]

Laca is quality but he always leaves wanting just that little bit more. Two big goals, but if he'd score one of the other chances the tie would be dead and buried.

Yes but still he really delivers in big games.

 

[Sniper Mik]

Has been in dogsh*t form lately. Desperately needed those 2 goals. 18 goals, 12 assists in 46 games now. Keeping pace with Auba (25 G + 8 A in 47 apps)

 

[DanDare]

Think he snatches at thing s slot. Could have had 4 today

 

[MutableEarth]

2 more clutch goals. He has a habit of coming up with them - he just needs to think less and shoot more.

 

[DasBootist]

he just needs to think less and shoot more.

USA USA!