If your competitors are selling for less than you are, consider researching their costs. Studying your competitors’ cost structures requires a lot of detail, and therefore, a lot of work, but can yield surprising insights that could change your operating philosophies and practices. Are they using different machinery, different ratio of labor and machinery, overseas manufacturing? What is most important is that you keep an open mind—do not assume that your competitors are operating the same way you are. They probably are not operating the same way and understanding those differences is the key competing effectively.