Since the development phase of production is one of the most expensive parts of production, I think a company, depending on their resources and priorities, should consider killing the project. This can vary from company to company, for example a start up with only one project may lean towards maintaining this project even if the market becomes less favorable. A large company with several concurrent developments could end one project and then place their resources towards the other more likely to be successful projects. The opposite may also be true, in which a start up will ditch this singular project that they are pursuing and then start from scratch, or a large company may have so many resources that it would not be too much of a deficit to just continue with the less favorable project that had already been started.