I would agree if it was the case that Niantic was targeting this specific beach, but instead it's all beaches because the algorithm distributes Pokemon evenly throughout the world regardless of location (this isn't the actual case but it's still an algorithm that chooses most spawning of Pokemon).

Niantic created a game that incentives people to go to anywhere in the world and get Pokemon. They don't have to go to this beach, and if it's trespassing then it's still an illegal action. Very similar to driving while texting. Is that the driver's fault or the phones fault? What if the phone company could stop alerts if the phone is going over 60 mph?

My spin is Why should Niantic subsidize the players poor choices? Or why should Niantic subsidize the government more than it already does through tax revenue?

In this case, if I were running Niantic, I would remove the game from the country in question. My game is the way it is, if it is illegal to operate in your country that is perfectly fine. Let me know and I'll go somewhere else. That is all assuming one big thing, I can afford to be harsh about this. If so (which Niantic can) then that is probably what I'd do. It's perfectly fine for you to make laws that don't enable games like PokemonGo, and a verdict against Niantic could be interpreted like that. How could I know that I wouldn't be sued again in that country?

Of course Niantic will just black out this beach and problem solved, but hey that's what I'd do.

Edit: I appreciated your answer and perspective though. I just wanted to say thanks for the well thought out reply.