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In this tutorial, the presenter explains how to make items in a drop-down list appear in alphabetical order, even if the original list is unsorted. They demonstrate this with a list of office items and three types of drop-down lists. The key technique involves using a formula to rank the alphabetical position of each item, creating a new list that orders them correctly. By employing a MATCH formula, the presenter showcases how to extract and display the items in alphabetical order without manual sorting. This method provides a straightforward solution for organizing drop-down list items efficiently.