And the reason why they're the sell side is because they're always selling you stuff.

And then the next question, obviously, is who are they selling ads to?

Sell, sell, sell.

But you can see that by 1998, it had fallen below 400 dollars, and 400 dollars was a psychological threshold.

It was pointed out to me that socks.com actually is not a fictional company.

But this is, of course, an optimistic scenario. Let's think of other scenarios.

You know, the average grocery store today offers you 45,000 products.

So that's 500,000 times 1.

He's like, you know what, we have to match his prices.

For this quiz, let's consider an example where we're selling business intelligence software into an enterprise customer, a large business.

So the first thing when you sell a widget is you make it and you just sell it.

But let's say that a couple of other people have decided to sell socks on the internet.

In other words, how are we going to make money?

In a physical channel, a direct sales force are sales people that work for you directly and typically sell directly to the end user.

Is this a business? Are you selling Freedom Boxes to make money?

We will be coming through with Hazas which are available for purchase for 4 dollars.

Do you see the person who sold you that dealership?

They were sold as photocopy books in Comic Market 67. We had no problem selling all of them, so we had bound copies made.

This vending machine is out of order.

Have you ever sold flowers before?

It was called the Sinclair ZX80.

And so this is what this looks like.

And the few people that are selling them, they're usually selling them when they are distressed in some way.

Apple did a great series of ads about this.

The way the TV industrial complex works, is you buy some ads, interrupt some people, that gets you distribution.

This is telling us that if the selling price increases, then this will become a larger negative number so we're going to sell fewer, we're gonna sell a smaller quantity.

So, let's say, I cut prices below Imran because I realize this increase price strategy was kind of silly.

Well, the first thing you might want to think about is, can I un bundle some of the stuff in my startup that I tried to package all at once.

I was calling about a select opportunity on Secretariat.

(Laughter)

Every one made a profit. How?

So I'll call that m, the function will be m, and it's a function of how many tickets he sells.

They provide distribution and accounting, bill collection, etc.

What do you sell?

The tickets for the concert are on sale here.

Your direct sales people can actually be the one talking to the consumers directly or they could be the ones selling to system integrators,

Well they are.

I had to break a machine open.

There's a third type of fixed pricing, and that's called volume pricing.

But this time, we have resellers and the resellers don't work for us.

We don't sell you the phone, we don't sell you the monthly plan.

He was entrusted with the sales of computers.

We sell goods on commission.

We manufacture decorative ceiling tiles.