[ZenoArrow]

Only if those competitors can arise. If the established players are all happy to keep their market share and increase profits by raising prices, you won't see the same race to the bottom.

Companies require capital to start. The level of capital to start a company differs depending on the industry. One of the main reasons you see far more startups in IT than in telecommunications (think Verizon, AT&T, etc...) is due to the difference in cost of entry into those markets.