Used in business contexts when a selling price falls below the original cost or production cost. Often seen in phrases like 原価割れ販売 (selling below cost).
This product is being sold below cost.
Pricing below cost is unsustainable in the long term.
採算割れ means 'unprofitable' or 'below the break-even point' for a business or project, whereas 原価割れ focuses on the unit cost of goods.
Compound of 原価 (cost price) and 割れ (breaking, falling below). The term is a straightforward business expression.