Economics

As all digital cameras (DC) need memory card (MC), the fall in price of DC will increase its demand and hence the demand of MC will also increase. Assuming that the technology of MC cards production has not improved and the production volume remains the same then the price of the MC will increase due to a surge in demand and the current level of supply can not meet such demand. Not until there are new players enter into the production of MC and increase the supply the price of MC will not fall.