Larger profits per unit or increased market share

Lets say for the sake of argument that the cost per car to freight an automobile from out of the country to your town increased by $10,000 per car. Obviously, the cost would have to be passed onto the consumer. Would Detroit use this competitive advantage to sell more American Made automobiles or would they raise their prices to capture a larger profit per car and forgo the increase in market share?>>>

Vaa - Actually, I wasn't thinking about a regulatory trade restriction. Regardless of how a competitive advantage is derived, would the corporate elite choose to take the short term profits by raising prices and establishing a new but higher baseline or would they hold their price and ramp up production to gain market share.

To many top level employees in American Corporations aren't working towards getting their Gold Watch and a comfortable pension for 40 years of service. They are too often looking to score that giant bonus and get out of the game.>>>

They would probably hire a CEO to handle this decision who in turn would set up a corporate structure, which would require hiring of many staff and building more office space to house them all.

They would then set up an incentive bonus that would pay them millions in bonuses if they could come to a conclusive decision which in turn would cost about $9800. per car. The advertising campaign to buy "American Built" would cost another $320. per car which in turn would require another government bailout in a few years.>>>