Earlier quoted context omitted.
Yes. It's fairly established that chasing down the lowest-price path usually doesn't make for a very stable business model in the manufacturing businesses. This is even more significant when the competitive options are significantly limited (eg: processors). In larger markets (eg: automobiles) there is more room for low-cost competitors to make some money, but they are not often powerhouses of the industry. If you ha…
Well, first you said companies not just manufacturing companies so I would have pointed to Wal Mart. But since you have limited the range it's more difficult because manufacturing companies are not as high profile as retailers. I will point to China as a whole as a contemporary example. Chinese companies have consistently beaten the previous generation's manufacturers by achieving lower costs. Anyway, since you say "…
Selling at low prices given the same cost structure is not a good survival strategy. "We lose money on every unit but we'll make it up on volume!"