Tourist-trap model cost which is c. Now there is an additional point which we state here only heuristically (we do not do the maths for it)and i.e. even if this firm which starts charging a lower price, lower by an amount greater than c, the consumers would search for this low price store only if it is not one in many. In that case consumer have a very low chance (probability)of hitting the low price store and will not search. With a large number of firms then no firm will have an incentive to lower the price when other firms are charging a monopoly price. The maths of this is below but you are not required to know this part i.e. the mathematical derivation of this resultTourist-trap Model