Uploading an image to a MySQL Database

I have created a "product upload" page for my users, where the user can fill in a form (describing a product he wishes to insert into the DB) and select an image on his own pc to upload to the webserver.

Now, my undestanding is that the form should send the product (text) information to the MySQL database and, the data element which uploads the image sends the image to a specified image folder on the web server and the URL (which links the data element to the image) goes to the database

my question is this: HOW DO I DO THIS?

Here is my sample code for the form:

<form name="form1" method="post" action="samplesubmissionscript.php" enctype="multipart/form-data">
<table width="432" border="0" cellspacing="2" cellpadding="2">
  <tr>
    <td width="23%">Product Name</td>
    <td width="77%"><input name="product" type="text" id="product"></td>
  </tr>
  <tr>
    <td>Product Price</td>
    <td><input name="price" type="text" id="price"></td>
  </tr>
  <tr>
    <td>Product Image</td>
    <td><input type="file" name="imagefile">&nbsp;</td>
  </tr>
  <tr>
    <td colspan="2"><input type="submit" name="Submit" value="Submit"></td>
    </tr>
</table>
</form>

and here is my sample code for the submission script:

<?php
//declare the connection variables
$un = "user";
$pw = "pw";
$serv = "localhost";
$db = "sampleDB";

//declare the post variables
$product = $_POST[product];
$price = $_POST[price];
$image = $_POST[imagefile];

//open the connection
$conn = mysql_connect($serv, $un, $pw) or die("DB Connection Error:".mysql_error());
//pick the database to use
mysql_select_db ($db, $conn) or die("DB selection error:".mysql_error());
//create the sql statment
$sql = "INSERT INTO TABLENAME (id, product, price, image) VALUES ('', $product, $price, $image)";
//execute the sql statement
 if (mysql_query($sql, $conn)){
 echo "Record entered. Thank you."
 } else {
      echo "something went wrong".mysql_error();
}
?>

How do I get this to work? I'm guessing there would have to be some way of making sure the image was always uploaded to the server into the same folder, so that the URL in the database would work every time.

Please help.

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