Predatory Pricing

Setting prices below cost or market norms with the intent to drive competitors out of the market, weaken their margins, or block new entrants—typically sustained through external funding or cross-subsidization.

Execution Strategies

Below-Cost Launches

Offering core products or services at a sustained loss to rapidly acquire users and pressure rivals to match unsustainable pricing.

Market Segmentation Tactics

Targeting competitor strongholds with localized undercutting, while maintaining higher prices in less contested segments.

Funding-Driven Suppression

Using investor capital or surplus from other divisions to absorb losses while competitors struggle to remain solvent.

Lock-In Discounts

Providing deep, time-limited pricing to onboard customers with long-term retention plans that outlast initial losses.

Denial of Scale

Preventing competitors from reaching viable scale by flooding the market with aggressively priced alternatives.