This is a model of competiton between companies. Companies own mills which produce pulp from raw materials.
The price of raw materials is based on the Region in which a mill is located. Prices fluctuate at different rates and with different amplitudes
The World agent determines the global selling price of pulp based on the demand, the volume of pulp being produced, and the production costs of mills.
Each company owns mills, and regularly receives returns or records losses from them. Additionally, they can take four different action with their mills during each review period:
- Suspend mills temporarily to reduce costs.
- Reconstruct mills to improve their efficiency and cost-effectiveness
- Shut down suspended mills in unprofitable regions to attempt to reduce losses
- Build new mills in a profitable region by utilizing excess capital
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