Now let's think about related goods.

Price

And this is very relevant to what's going on in the world today.

If other ebooks' prices go up, now all of a sudden my ebook, regardless of what price point we're at, at any of the price points, my ebook is going to look more desirable.

And don't worry about getting top dollar.

Then auctions like eBay are another example of dynamic pricing.

Par value

Redemption

Present value

Present values

Future value

Dr. Price?

Wenneck, Price, Garner.

I'd like to discuss pricing with you.

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

So what will that do to our price quantity demanded relationship ?

And we've done some market study or we just know how the price is or how the demand is related to price, or price is related to demand.

If you expect the future price to go up and the good or the product in question is something that you can store, well, depending on how much you expected to go up, you're probably more likely to buy now buy before the price goes up.

Alright?

It's not about low cost.

Would you please send me a brochure and price information?

I'm so angry about it. The oil companies are ripping me off.

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.

How does that change demand?

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.

And so what would happen if the price of a related good

How could you have prices that kind of move?

It turns out we made this pretty easy.

Now we can draw a similar demand curve for this very cheap automobile.

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

So a demand schedule, it shows a relationship between price and quantity demanded.

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.

And so, once again, if the price of related goods... well, it depends which related goods... but if the price of productive substitutes, so the price of other things I could produce... if the price of other things