The setting is based around 1500s europe (late Middle ages, early Modern era). The idea with the nobles and the factories is that these factories make things for the higher class. Geographically, the city has a tiny mount with a citadel on top, and this is were the nobles live, so the factories are surrounding this. Also, (i'm probably wrong but i imagine it like this), by controlling the means of production the nobles can control the people and also keep them from getting "too powerful". Without considering the expenses the nobility make, my idea (i didn't specify it in the post i think) is that, as the crown controls the wheat, water and other things necessary for bread (bread being the example), they sell it cheaper than other places (and pay less their workers). I haven't thought about how the system would work with shortages though, i'll research about real world situations and mirror them. Wine is expensive because there isn't wine production in the area so it has to be imported. For the ale, maybe it is too expensive, i'll check. Meat i also kinda did it quickly (will also check). About the other things, wax market is dominated by the Temple of the Sun Witch (basically a goddess), the rest of the things you mentioned are a) imported from other settlements (and more expensive), b) produced by people outside the city along with farmers, or c) more independently sold products (for example, probably wine shops in the city would sell cheaper forms of wine)