No, what happened to us, Chris, is that power, it's priced off the margin.

Well, imagine we have other, say other ebooks' price goes up. WRlTING

Because batteries life cycle improve a bit of improvement on energy density, which reduces the price.

Now what would happen if these things changed ?

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

There actually are far more charging stations than people realize, and at Tesla we developed something called a Supercharging technology, and we're offering that if you buy a Model S for free, forever.

Excuse me, I need a charger.

And we've all heard of charge.

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

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.

Battery Charge

How could you have prices that kind of move?

Well in this case I paid 100 for the bank account.

It is traded.

My battery is about to die. You have a charger?

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

Battery Charge Graph

Charge Percent

your body needs electrolytes. Yeah.

It's not about low cost.

Ready for some power?

So let's talk about our first scenario here, where let's say this curve, people didn't expect prices to change for my e book and now all of a sudden, people expect there's a change in expectation.

If this thing changes, this is going to move the curve.

So let's say it's 1.05.

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

Anyway, going back to Price to Earnings, we calculated the

Price

My battery's dying. Do you have a charger?

I'm going to use for the customer segment.

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

So technically I guess prices can be rounded off to the nearest cent.

Then auctions like eBay are another example of dynamic pricing.

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

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

And so, we're in a wonderful situation with electricity in the rich world.

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

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.

Alright?

1x minus 0.25x.

Electricity die, phone die.

There's nowhere to plug in the phone.

But all he ended up doing was buying a charger.

Trust me when I tell you that.

After 50 years of improvements, the same washing machine costs 3,195 CHF.

This battery is charged.