Tradings vs Arbitrage

Usually, when someone refers to trading in EVE, they're talking about the generic buying and selling of goods on the open market. But there are actually two different trading activities: Station Trading and Regional Arbitrage.

Station Trading is the activity of buying and selling goods without ever actually leaving the station. Traders look for items that have a large enough margin between the buy and sell orders that they can leverage to make some ISK. The margin must be large enough to cover brokerage fees and sales taxes, and have enough left over to make some profit.

Regional Arbitrage is the activity of looking for items in one region and selling it at a higher price in another. As with Station Trading, the margin must be large enough for the arbitrager to turn a profit.

The two activities seem very similar at first glance, but there are significant differences, beyond the fact that you need a ship for Regional Arbitrage, and you don't for Station Trading:

• Research for Station Trading is much easier. As soon as you select an item, you have all the information you need to quickly decide if the margin is attractive enough to place a buy order. With Regional Arbitrage, you either require two characters to compare prices in two different regions, or you have one character go from region to region while you take copious notes.
• Margins in Regional Arbitrage can be more attractive. Because more research is required, a large margin has a higher chance of going unnoticed, whereas large margins tend to get noticed quicker in Station Trading. Turn over is much lower, however, since the goods need to be hauled from one region to another, and it's slower to modify orders if you're undercut, as you'll have to travel within range.
• Regional Arbitrage requires a little less attention. Station Trading is a game of being on top of the buy or sell order list when a seller or buyer shows up. To make sure you fill that order, you constantly have to modify your order price. With Regional Arbitrage, you can choose regions and hubs with a little less activity, so that orders have a chance of selling without too much effort.
• Regional Arbitrage has a bit higher start-up cost. Because you need a ship to move goods back and forth, you'll need to invest some capital in fixed assets. That capital investment could be quite high if you ever need a freighter. You also need to train the necessary skills to fit and fly your hauler. With Station Trading, you only need a shuttle to get to your target station, plus the trading skills.

Both are very viable means to make a large amount of ISK. It's up to the trader to decide which style of trading they prefer.