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You now have the opportunity to sell your goods on an equivalent market, in another country (demand is the same). Because of local laws aiming
You now have the opportunity to sell your goods on an equivalent market, in another country (demand is the same). Because of local laws aiming at protecting employment, you must produce the goods in the country. Production costs are the same as in the previous round, plus an extra fixed cost of $800k (i.e. fixed costs are now $1200k instead of $400k). Your competitors are local producers, they do not face the extra fixed cost and sell their goods at $230k (same price as in previous round)
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