What does it imply to claim that South Koreans are dumping their DVDs in the United States?

Multiple choice question for Non-Tariff Trade Barriers. Select an option, then review the explanation below.

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South Koreans are offering DVDs in the U.S. at prices below their manufacturing costSouth Koreans are selling DVDs in the U.S. at prices exceeding their production expensesThe expense of producing DVDs in Korea is cheaper than in the U.S. due to lower wages in KoreaThe cost to produce DVDs in Korea is higher than in the U.S. because wages are greater in Korea

Explanation

Dumping occurs when a country sells products in another market at prices lower than the cost of production. Thus, stating that South Koreans are dumping DVDs in the U.S. means they are selling these DVDs at prices below what it costs to make them.

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What does it imply to claim that South Koreans are dumping their DVDs in the United States?

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