1. obviously any pi<c cannot be optimal, so it must be pi>=c for all i
2. suppose pi>c for all i, any i can unilateral deviate to pi=min pj (j=/=i) -epsilon , for small epsilon >0, i will be able to capture all the profit in the market, hence pi>c for all i is not a NE . Because of 2, in any NE, there must be an i with pi=c.
3. if pj>c for all j=/=i, and pi=c, i can unilaterally deviate to set pi=min pj (j=/=i) -epsilon , for small epsilon >0, to increase his profit from 0 to strictly positive amount. Deviation is profitable, so this is not a NE. Because of this, in any NE, there must be at least two firms charging c, and pi>=c for any other i
4. lastly prove the stated strategy profile is a NE....