According to the kinked demand theory, when one firm raises its price, other firms will:

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According to the kinked demand theory, if one firm raises its price, other firms will refuse to follow in order to maintain their market share and avoid losing customers. This creates a gap in the market where the firm that raised its price is likely to experience a decrease in sales and revenue, as consumers switch to the lower-priced alternatives offered by other firms. Therefore, the most rational strategy for firms is to maintain their existing prices, rather than engage in price wars that could harm their profitability in the long run.

According to the Kinked Demand Theory, When One Firm Raises