Telling them someone went out of business or used to work for you and you fired them is certainly questionable but to try and take a customer from their existing vendor is not even remotely unethical.
Really? How is it questionable, that it is unethical, to downright lie?
If you try to take a customer from some one else without even worrying about who took care of them before, You're just a dick. I believe in capitalism, but that doesn't seem very ethical to me.
Well itsa dog eat dog!