High prices will have the same effect as any other stress placed upon a business: it will push the marginal businesses out.
"Marginal," that is, in terms of business operations. As customers resist higherprices, the 'cheap' guys might even have a slight advantage- for a moment.
Material prices affect everyone the same... the copper mine doesn't care who buys the stuff. If your cash flow is poor, your credit shakey, your work inefficient, and your overhead out of control, then the price increase just might push you over the edge.