It would be foolish and financial suicide for AMD to try and compete with Nvidia at the top end... AMD's biggest TAM is the mid to low end section, Nvidia have the high end covered, AMD can offer downgraded enterprise products in this sector, but its foolish them trying to design specifically for this sector, the market is just not big enough to warrant the stupid cost of doing so, look at Nvidia 2080ti etc. The reason its so expensive is because of the sheer size of the thing, the overall share of the market it addresses is actually minuscule in the grand scheme of things, people simply do not go out in droves to buy these halo products. Do not be mistaken by thinking you see them being owned by people on enthusiast forums that this is indicative of what the general populace purchase because it is not.
2080ti is the card that dictates the price of the cards below it, the cost of bringing it to market, and the small market it addresses means the cost of the card was always going to be high, the product stack below it is priced then accordingly.
AMD just need to fight Nvidias lower tier offerings, 2060, 2070 and potentially the 2080. I guarantee mining aside the majority of AMD's GPU revenue comes from the lower tier products, 460, 470 tier cards etc, their revenue from Vega is extremely low as there is relatively zero to no margin on the product, i believe it is almost or is a loss for manufacturers.
So AMD just needs to bring products that compete with Nvidias 2050 / 2060 tiers etc, if they beat the performance, heat, power etc and price, other than Nvidias mindshare, they will get good sales. Also AMD's current wins with Zen etc will help them gain traction and mindshare in other markets such as GPU as their brand is currently a buzzword for many, and seen "on the up" so they will also sway fence sitters and first time buyers across as well.