Yonex, in the badminton market, is the largest (arguably) firm with the strongest brand name. For sure, it will be able to sustain temporary losses if it should decide to cut its prices. Its competitors will have to do the same to maintain consumer demand levels. What happens here is that the competitors might (read: most probably) be forced out of business first. Sure, these other companies may have cheaper shuttle production methods, but looking at a slightly broader picture, they will not be able to sustain the low prices for a long time, since they cannot(arguably again) compete with Yonex in other areas, for example, rackets. Yonex know they have this advantage so they price their goods way above that of their competitors. If the other shuttle companies' prices should vary too much, Yonex will just use, or threaten to use such predatory pricing methods to force them into raising their prices.