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In this tutorial, the presenter shows how to display items in a drop-down list in alphabetical order, even if the source list is unsorted. The video features a list of office items and explains the method to achieve the sorting. The presenter uses a simple technique involving a formula to rank each item's position based on alphabetical order. They then create a new sorted list by applying a MATCH formula to arrange the items accordingly. This method allows users to have organized drop-down lists without the need to manually sort the original data. Additional resources on different types of drop-down lists are mentioned as well.