They're able to do more with whatever assets we give them.

So I'll pay 2 per share, which is a little bit of premium over the market value at the time, which was 1.

So in the last lecture, you remember the business model canvas, all the 9 components of a startup.

Premium

Price

Then auctions like eBay are another example of dynamic pricing.

Par value

Redemption

Present value

Present values

Future value

Dr. Price?

Wenneck, Price, Garner.

They want to encourage high volume purchases, and so they have stepped pricing that is oriented to create volume.

Alright?

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It's not about low cost.

I could actually price on specific customer segments or on features I know they need.

And so the first of these that I will focus on the first is the price of competing products.

For any given price, it's going to lower the quantity demanded.

See...notice I get my axes confused

Let's say a guy invents a better light bulb.

The price of admission.

How do they currently buy and what's the revenue stream that's associated with these kind of pricing tactics?

By now, you're intimately familiar with the business model canvass.

They need to understand the external environment and they need to come in.

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How could you have prices that kind of move?

It turns out we made this pretty easy.

And we see that the last trade here was for 2.58.

I can't emphasize enough that the business model canvas is just a start.

Who are your key partners and suppliers?

But there are two types of prices.

It is traded.

That sounds about right. It's within the right range at least.

You would be correct that Company B was cheaper.

She's too young for this.

And you know that it's going to be 100.

Next thing I learned from Steve Jobs is

If you ever think about it, pricing that you negotiate yeah, we kind of have this price on paper, but that's just the starting point of the conversation.

It's the best price that someone's willing to give you for something.

So that's fine.

It has been made possible, by the way, for certain other different reasons.

And that caused housing prices to go up.