I'd imagine it's a pretty competetive sector with excess capacity at the best of times, being green and trendy and that.
I'd suggest that excess capacity in a market would reduce competition as their is less need to fight for market share, but this maybe a moot point...
It can be useful to take advantage of lower tax bands using either carry forward loss relief or current/previous years loss relief. This simply means paying lower rates on as much of future profits as possible. It can get complicated so an accountant is useful here.
Whatever government incentives are being used by your competitor can probably be used by your firm if you are in the same market/industry so look into incentives for green technologies (I'm sure you must have already). It is possible some schemes are only available to firms of a certain size which your competitor may qualify for but you may not. This is usually based on number of employees or turnover. Capital investment in green technologies (possibly including R&D) may be allowable at zero percent as capital allowances. Ie. no tax need be paid on them. Remember this is for incorporated businesses, not sole traders/partnerships, but similar schemes may exist for sole traders to include investment in green technologies as allowable expenses. Always good to speak to a switched on Business Link advisor for details of funding from European grants.
You may be thinking about it too much. It's not rocket science.
I mean there are too many contractors chasing too few clients. There is a recession on, even in the South East! If this has passed you by, then you're very lucky! In such circumstances it is often necessary to cut prices to the consumer just to stay afloat. As I've already said, if a company has pockets deep enough to run at a loss temporarily and still stay afloat without laying off staff, then good for them. It would be all too easy for the bosses to lay of the workforce until the good times were established again. You may find the bosses have taken substantial personal losses to stay afloat, maybe even ceding control of "their" company to attract the necessary investment.
It's up to the OP's company to find it's own way to survive. This is pretty basic stuff. Why does everyone assume it may be illegal, immoral or underhand?
The title of the thread is "Anti Competetive Info". What exactly is "anti competetive" about what the other Co is doing? I would say it's exactly the opposite; highly competetive. Running crying to momma isn't going to help.
Give a man a gun, and he can rob a bank.
Give a man a bank, and he can rob everybody.