How to compete with those whose rates are less?

[Crayola kiddies]

Are these providers following the new ratios or are they still back in the 80's along with their rates? ..... In my opinion (and there are a few in my town also) these grandmotherly type providers can charge these low rates because A) they don't have a mortgage and are truly just doing it for a bit of income (which they aren't likely claiming) or B) they are wearhouseing kids and can afford to charge less because they have way more then allowed..... Or both !!!