Okay, look, dumping is a market strategy where a company deliberately sets very low prices for its goods or services. What is dumping in simple terms? Imagine you opened a small café, and suddenly a big player nearby starts selling their coffee so cheaply that you can't compete. They do this to drive out competitors and capture a larger share of the market.
Dumping is not just a discount or a sale. It's a more aggressive move, where large companies may even operate at a loss for a certain period, so that later, when competitors give up, they can raise prices and earn more. This strategy can be dangerous for small businesses that do not have large reserves of funds.
Let's imagine there are two bakeries in the market. One of them is a large, international chain, and the other is a small family-owned one. The large chain starts selling buns at a ridiculous price. The small bakery can't afford this and may lose customers. That's the essence of dumping. It's like a game where a strong player uses their resources to gain an advantage.
