Economies of scale definition

economies of scale  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 Economies of scale can be defined as: 'the reduction in average costs of production that occur as a business increases its scale of production' Costs in the

Economies of scale can be defined as: 'the reduction in average costs of production that occur as a business increases its scale of production' Costs in the Economies of scale are cost advantages reaped by companies when production becomes efficient

Economies of scale refer to the notion that average cost falls as the firm expands Conversely, diseconomies of scale occur when expansion incurs increasing In summary, internal economies of scale are firm-specific and result from actions taken by the firm itself, while external economies of scale