Comment by johannes1234321

> The vast vast vast majority of companies do not sell a product below-cost.

Tha tis true, as they won't survive.

However an established company often has the ability to go on a price war, including selling under cost temporarily, to fight off an up starting competitor and preventing it from entering the market in any serious way. Once they give up, one can go back to higher prices.

Thus only one who can compete is somebody who can use profits from other area, thus some already well established player in a related market.