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What's causing this?
There are two steps: (A bit simplified, not taking into account all modifiers)
1) TTV is split between retained and outgoing TV. All collecting nations' Trade Power is used to calculate how much TV is retained, the rest is sent on (which equals the total Trade Power of all nations who don't collect)
2a) Retained TV is split between all collecting nations according to their Trade Power. It doesn't matter if a nation collects because it is the Home Node (with or without Merchant present) or because it is not the Home Node and is has a Merchant collecting.
2b) Outgoing TV distribution depends on Merchants!
- If no Merchant is steering TV is split equally between all exits (where nations with TP in this node also have TP)
- If there are two or more Merchants steering in different directions: Outgoing TV is split in different directions according to the TP of the nations that have Merchants steering
- If there is only one Merchant steering (or several in the same direction): All(!) outgoing TV is steered in direction of the Merchant.
Example (Let's take Aleppo, easier to calculate as it has only two exits in comparison to Alexandria's three):
Alleppo has a Trade Value of 200 ducats:
Four nations have TP there:
- Syria: 30% TP (collects in Home Node, no Merchant)
- QQ: 10% TP (collects with Merchant, not Home Node)
- Mamluks: 10% TP (wants TV in Alexandria)
- Ottomans: 50% TP (wants TV in Constantinople)
1) In total 40% TP are used to collect (80 ducats), 60% TP are used to send on (129 ducats).
2a) Syria's 30% TP equals 75% of "retaining TP", QQ's 10% TP equals 25%. So Syria gets 75% of retained TV (60 ducats), QQ gets 25% (20 ducats).
2b) This depends on steering Merchants! (Collecting Merchants play no role in this!)
- If neither Mamluks nor Ottomans have a Merchants present: The outgoing 120 ducats are split equally(!) (60 ducats each) between both exits, completely disregarding TP disparity between TUR and MAM.
- If both MAM and TUR have a Mercahnt present outgoing TV is distributed according to TP:
MAM's 10% TP equals 16,67% of "outgoing TP", TUR's 50% equals 83,33%. So Mamluks get 16,67% of outgoing TV (20 ducats) and Ottomans get 83,33% (100 ducats).
- If only either Mamluks or Ottomans have are Merchant present: TP of the other nation is still used to calculate "total outgoing TP" but has no say in where it goes:
If only Mamluks have a Merchant steering they send 100% of outgoing TV (all 120 ducats) to Alexandria (even if they have only 16,67% of outgoing TP or 10% TTP)!
If only Ottomans have a Merchant steering they send 100% of outgoing TV (all ducats) to Constantinople.
As long as no nations has a Merchants steering to Venice or Genoa you get at least one third of outgoing TV (split equally between exits) or more (if another nations steers to Contantinople).
However, once Venice and/or Genoa (and/or additional nations) send Merchants to steer in Alexandria they compete between Genoa and Venice exit whereas you get nothing. Your TP in Alexandria only helps the other nations because is is used to calculate how much TV is send on, so Genoa or Venice or whoever get even more TV.
So in Alexandria's case, there is a lot of value going downstream, but if you don't send a merchant yourself, the other mediterranean powers will do it and send the money towards Genoa or Venice (or Ragusa, I don't remember exactly).
Yes, that's basically what I wrote it in short.
If it is too much text, there is also this:
https://www.youtube.com/watch?v=edjLVFMjPyo
So basically:
Nation A has 1000 power in Alexandria (no merchant)
Nation B has 8 power in Alexandria (merchant)
Nation C has 2 power in Alexandria (merchant)
Nation A has no control over the trade in Alexandria that way and the ducats are split relative to the power of B and C.
Therefore B pushes 4/5 of the ducats towards their direction (lets say Genoa) and C 1/5 (lets say Ragusa) - A gets none.
Thats why having merchants in such nodes is pretty damn important.
Equally? Are you saying that the amount of trade power does nothing, as long as you have at least some? That doesn't sound right.
And nothing in any other direction? I thought the merchant just boosted your trade power a bit and gave you control over where to steer it. I've got way more trade nodes than merchants. If what you say is correct, that means I can only control as many trade nodes as I've got merchants. Anyone with a merchant, no matter how small, can deny me the value from any trade node.
Is that really how this works?
And if it is, why does the game tell me I'm sending lots of trade value to Constantinople when apparently I can't? Why does the game not at least give me a warning that my trade value is denied to me due to the presence of another merchant?
I find it really weird that TP doesn't matter. Also, this doesn't reflect the situation at the start of the game, where I do get TV from nodes where I don't have a merchant, and adding as merchant gives me a tiny boost, rather than everything.
This is what I would expect for other situations as well. I thought the merchant just gave a boot to TP, not completely take everything.
So to summarise: as a large nation you need to use your merchants to defend your control over all trade nodes where someone might be able to pull trade value out of your network, and as a small nation, you can use your merchants to steal enormous amounts of trade value from large trade networks if they don't have enough merchants to cover everything.
I think I get it, but what I don't get is why the game doesn't say this. The game tells me I'm sending 9.97 TV to Constantinople despite the face that apparently I'm secretly not.
This is needlessly confusing and misleading.
I wish I could tell all my vassals to use their merchants to protect my trade like my enemies the Mamluks are doing for me right now.