Suppose you own a string of hardware stores and a new competitor opens in one of your market areas. You decide to force her out of business through predatory pricing. What costs will this impose on you and your competitor, and whose costs are apt to be larger? If a gain is to be had from monopoliz- ing this business, how does the present value of those future monopoly prof- its compare with the present value of the competitor's profits? What lower cost strategy for achieving a monopoly does this suggest?