cut-throat competition

(redirected from Ruinous Competition)

Cut-Throat Competition

Competition between two or more companies so fierce that they are unable to recoup the costs of making their products. This may happen especially if there are frequent or seasonal drops in demand. Over the long term, cut-throat competition is unsustainable for all companies involved. It is also called ruinous or destructive competition.

cut-throat competition

see PRICE WAR.
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The ruinous competition allegedly spawned by a series of lopsided air agreements forged by Philippine negotiators in favor of foreigners are putting existing and soon-to-be established Philippine carriers at great disadvantage.
It," not "the trust," began "as the result of an effort to obviate ruinous competition.
But the state still ensures a built-in margin for banks to prevent ruinous competition in a sector only recently nursed back to rude health through a $500 billion multi-year bailout.
The Armstrong commission found that "rebate statutes were necessary to protect the consumer from bribes, kickbacks and ruinous competition.
The Law Lords had been told by Jonathan Sumption QC, for Mr Norris, there were once several thousand cartels operating in the UK, many of them originally sponsored by the Government to protect companies from bankruptcy, prevent ruinous competition, save jobs and allow British firms to compete in the export markets.
In the 1990s, Brazilian states embarked on a ruinous competition to get international car companies to build new factories, with incentives that in several cases exceeded $300,000 per job created, at a time when the average auto worker's annual salary was about $12,000.
Sometimes, as in the case of US Airways, there is simultaneously the worst of both worlds: monopoly power over and exorbitant prices on some routes without enough income to make up for the ruinous competition on others.
I emerge cherishing a hope that bullfighting will be introduced at Harvard and Yale, or, if not at Harvard and Yale, then at least in the Lynching Belt of the South, where it would offer stiff and perhaps ruinous competition to the frying of poor blackamoors.
And each resulted in a glut of capacity, ruinous competition, falling prices and, ultimately, bankruptcies and consolidation.
Rather than blaming ruinous competition and heartless customers for the "dramatic die-off" of gay and lesbian bookstores, Rotello ought to take a closer look at the books on sale.
The ruinous competition led to further concentration within the business.
Although another building boom is not expected, the axiom that excess profits breed ruinous competition warrants consideration," cautions Woodworth.