destructive competition

1. Competition that forces several producers out of the market. Destructive competition usually occurs when there are so many producers of a product that prices are driven down to the point where no one makes a profit. It can also happen if a single producer is significantly wealthier than other producers and can afford to cut prices drastically until the other producers are driven out of business.

Example Sentences

The incipient American industries were in no position to withstand this destructive competition.

From Project Gutenberg

Their function was to counteract destructive competition from "advertisers" and sellers in the "public market" at low prices.

From Project Gutenberg

But their ambition and their industry bring the momentous problem of destructive competition.

From Project Gutenberg

The alternative to such agreements was destructive competition, since no two lines were of exactly equal strength.

From Project Gutenberg