Learn Spanish (Spain): Ese filete es muy caro en este supermercado. - That steak is very expensive in this supermarket.

Ese (that) and este (this) are used right before masculine singular nouns, like filete and supermercado. You only use the neutral words eso and esto when you are not naming the object, like when asking 'What is that?' (¿Qué es eso?).

Why do we use es instead of está to say the steak is expensive?

We use es, which comes from the verb ser, to talk about a normal or lasting characteristic. Saying es muy caro means this steak is generally an expensive item at this store. If you used está, it would mean the price is unusually high right now or has recently changed.

Does filete mean any kind of steak?

In Spain, a filete is usually a thin slice of boneless meat, often beef, veal, or pork. When translating to English, it typically means a thin steak or fillet. If you want a thick, premium beef steak at a restaurant, you would look for a chuletón or entrecot on the menu.

Why does the word caro end in an 'o' here?

Because adjectives must match the gender and number of the noun they describe. Filete is a masculine, singular noun, so we use caro. If we were talking about an apple (manzana), which is feminine, we would need to say esa manzana es muy cara.