Hmm I think the most important thing is their i3 equivalent offering.
I don't think AMD will price their cpus much lower than intel on the i5 and i7 side of things especially if their performance is close. I think the standard i5 6600k can cost 210-220 US dollars so how low can they go? Will they even match the i5 or i3? Or just shove out their highest end cpu first?
Intel's markup is not low, and Summit Ridge does not have an IGP which takes up the majority of a CPU die these days. Theoretically, AMD can undercut Intel significantly since their chips should be cheaper to manufacturer and they can undercut Intel's margins.
Realistically, AMD will probably undercut Intel a bit but not go crazy with it. Selling an 7600K alternative at a nice sub-$200 price point (say, $180) would likely net them both a nice margin due to the cheaper chip and fairly good sales thanks to the lower price point compared to Intel. Even if it's behind a 7600K clock for clock and in total performance, it should still be close enough to be a viable alternative at that price.
The only place AMD shouldn't be competitive is the enthusiast sector, there probably won't be any reason to consider any Zen CPU over an Intel E-series one regardless of price.