Aug 29, 2023 · economies of scale occur when the average cost of making a product decreases as the scale of production increases. In simpler terms, the more a company produces, the less. Jan 7, 2025 · however, there are several misconceptions about economies of scale that often lead to flawed analysis and bad strategic decisions. Here are five things’ people often get. Economies of scale can be broadly categorized into three types:
Each type has its unique characteristics and implications for businesses.
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