Hard-drive maker Seagate engaged in a price war for its disc drives. Another tech titan beset by price pressure is chipmaker Intel, which has been locked in a market share tug-of-war with AMD.
Seagate, Intel and AMD (like countless other businesses) are cutting prices to gain market share.
But there comes a tipping point beyond which the economies of scale, experience and learning curve advantages, and the bargaining power of market share cannot sustain the price cuts.
[Click here for full story at: BUSINESSWEEK.COM]
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