Thats correct, you do not generally create a business based on selling below cost, but you still need to find someone to buy it at that price.

There's plenty of businesses that have gone bust over the years because customers would not buy their products at the price they needed to sell them at based on cost.

Also, not that I'm suggesting it likely, but if the code was ever cracked then Bitcoins would become worthless and the cost of electricity or other factors would be meaningless.

We are beyond the point where mining is the major driver of price.