Hi Ada,
You can sell at whatever prices that you want inworld and, as long as your prices in the Kitely Market are between $1 and $1000 or 10 KC and 200,000 KC, you can give them whatever prices that you want as well. For example, you can give an item for free (or sell it for 100 KC) inworld, and sell it for either 200 KC or $1 in the Kitely Market.
To set different prices for the same Kitely Market product, create multiple product variations and set a different price for each of them. For example, you can have an "Ada's Hair" product with a price of $1 (with the "Accept KC" option disabled so people will have to pay for it in USD) and add another variation for it called "discounted KC price" which will be the exact same item but with a price of 10 KC.
We'll discuss the option to allow $0.99 as the minimum price in the next Kitely Mentors Group meeting.
Regarding freebies in the Kitely Market, we currently don't plan to allow them but that may change in the future. If you want to give out freebies you can do so in your inworld store. If you want, you can add a link to the Kitely world page of your store to your Kitely Market store description.
If you want the items you sell/give away inworld to be exportable from Kitely then give them both Copy and Transfer permissions. This is required because, unlike items sold in the Kitely Market, items sold/given inworld do not have an Export flag you can configure to explicitly set their exportability - which means that they will be filtered out from exports unless they are set to both Copy and Transfer. For details see:
http://www.kitely.com/virtual-world-new ... rmissions/