Quoted from TigerLaw:Sadly I think that will result in a wipe out of the manufacturers (most of them anyway), none of us know what Stern's margins might be but I'm guessing they are not as high as many may feel they are (at least on pro models). Would Stern stay around if they had to make pros for $1,000 less retail?
In a market downturn (i.e., supply >> demand), competitors typically have to compete on price. Price wars often break out, leading to a "race to the bottom." That's why, during market downturns, players with large economies of scale tend to be best positioned to weather the storm.
