I'm not sure I can agree with this statement. Dropping the price might give Tesla an advantage in retaining marketshare of the EV space; as of 7 years ago, Tesla's marketshare could only go down since they and Nissan were virtually the only show in town. But this is going to hit their nice profit margins and while the company can absorb quite a bit, the shareholders are not going to be happy.
I chalk this up to the market normalizing after the pandemic/stimulus/demand pull-forward that the likes of Peloton, semiconductor, and software as a service stocks experienced.
A friend of mine just got traded in his Model 3 for a new Y. It was originally slated to be delivered in April but they pushed it forward to the week before Xmas, he won't be happy when he finds out about the price drop. But now this makes me wonder if there will be a big price drop on the lease returned models since their new car counterparts have dropped dramatically. Perhaps Tesla will finally have their sub-$35K car for sale...a 3-4 year old Model 3/Y.