You operate a plant that manufactures widgets which customers love, and you have little in the way of competition. As a result, your profits are relatively high. Your production process requires inputs A and C, and to a certain extent, these inputs are substitutable for each other. For example, it's possible to produce 1 widget using 1 pound of input A and 2 pounds of input C, but it is also possible to make a widget using 2 pounds of A and 1 pound of C. Currently you buy A from Thomas Tech, a large and efficient producer who offers speedy delivery, high quality and attractive trade credit terms. Similarly, you buy C from Chuhan's Careful Corporation, who is a smaller firm, but is by far the largest producer of C, with the most efficient cost structure. You separately negotiate prices with Chuhan's Careful Corporation and Thomas Tech every year, and are fairly confident that they understand the demand curve your firm faces as well as the rest of your cost structure. You just found out that Chuhan's Careful Corporation has bought Thomas Tech