Your company has enjoyed much success as the market leader of drones with integrated cameras. As the popularity of drones has increased with hobby users, there’s a lot more market competition now. What is the most likely outcome if your competitor drops their price below the fair market value line?

 
 
 
 
 
 

Because your competitor has lowered their price and created a great deal for consumers, you will most likely see market share losses. You may have to consider lowering your price as well.