Achieving Economies of Scale

economy of scale 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

Economies of scale cause unit costs to decline as the number of units produced increases This occurs because fixed costs are spread over kickoff999 Diseconomies of scale occur when the cost per unit increases with an increase in the quantity produced This means that any attempt by a firm to increase its