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if a firm receive subsidise from the government to produce and lower its operating costs, what...

if a firm receive subsidise from the government to produce and lower its operating costs, what may happen when going to sell its products to other countries?

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If a firm receive subsidy from the government to produce and lower its operating cost, then it can produce the product at a lower cost which will increase its production and initially can also sell the product at low price in other countries to gain market share. If the exports are subsidized by the domestic government then it the firm can sell more products in foreign countries and also at a low price which will increase overall profits of the firm and make the firm more profitable as compared to the case when domestic government does not subsidize exports.

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