How much is a great domain name worth to a business? Part three

By admin | Aug 27, 2007

The big company will pay me $100,000 is usually a false hope because
it ignores the supply side. This is similar to the water-diamond paradox
in economics. Why is water so inexpensive when it is essential? If
people had to, people would pay $10/gallon for water to live.
Diamonds, while beautiful, are not essential but they are expensive.
The answer is that the supply also matters.


More realistic speculators have a more realistic but a very long-shot
hope that a large company using expensive naming consultants will
pay $10,000 to $20,000 for a domain name to stop the search process,
since it costs consultants and executives thousands of dollars to
evaluate each name.

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