Due to its remote location between the Barents Sea and the Kara Sea, only two producers sell ice cream on the archipelago of Novaya Zemlya?Ice-Fili and Filevskoye (a "Regional Producer"); yet, there are many small non-exclusive distributors to which the producers sell their products. Mr. Shamanov he hired you to figure out how to price Ice-Fili's products on Novaya Zemlya, which is an important market due to the large air force base located on one of its islands. You asked a star analyst, Anna Pasternak, a trusted and brilliant graduate of UConn Business School, with deep knowledge of the Novaya Zemlya ice cream market, to help you develop a pricing model. She reported that the total market size for ice cream on the archipelago was approximately one million equivalent units, and unearthed the following facts, particular to the Novaya Zemlya market, as well:

Shamanoy he hired you to figure out how to price Ice-Fili's products on Novaya Zemlya, which is an important market due to the large air force base located on one of its islands. You asked a star analyst, Anna Pasternak, a trusted and brilliant graduate of UConn Business School, with deep knowledge of the Novaya Zemlya ice cream market, to help you develop a pricing model. She reported that the total market size for ice cream on the archipelago was approximately one million equivalent units, and unearthed the following facts, particular to the Novaya Zemlya market, as well: Ice-Fili Filevskoye Marginal cost per unit (rubles) 70 60 Market share 60% 40% If Ice-Fili and Fileyskoye post the exact same price next year, their market shares will not change. However, if they post different prices, market share will shift. Let the variable x represent how much prices would have to differ between Ice-Fili and Fileyskoye to shift market share by 5% next year. 8. Write down Filevskoye profit equation for sext year as a function of marginal cost, market size, market share today, their own price, Ice-Fili's price, and x. Use Ms. Pasternak's numerical estimates where possible. Please use the letter 7to represent profit, the letter p to represent prices, subscript fto refer to Filevskoye and subscript / to refer to Ice-Fili. (3 points) 9. Write down Ice-Fili's profit equation for zext year as a function of marginal cost, market size, market share today, their own price and Filevskoye's price. Use Ms. Pasternak's numerical estimates where possible. Please use the letter 7 to represent profit, the letter p to represent prices, subscript fto refer to Filevskoye and subscript 7 to refer to Ice-Fili. (3 points)