IMPACT ON COMPETITION AND SCALE EFFECTS
IMPACT ON COMPETITION AND SCALE EFFECTS
Economies of scale refer to these reduced costs per unit arising due to an increase in the total output Diseconomies of scale occur when the output
Economies of scale allow companies to save a lot on cost per input A company could decide to invest the money from the savings of scaling up the business to
fofana Source: Internal economies of scale refer to the cost advantages a firm can achieve as a result of its own growth and expansion These cost
biofun Economies of scale Figure 1 The Long-run average cost curve of a firm illustrates how the cost per unit changes with output Economies of scale means that
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