What Is Economies of Scale: Definition and Meaning

What are Economies of Scale? economies of scale Economies of scale is a term used to describe situations when the cost of producing a single unit of product decreases when the total number of units โหลด office 365 ฟรี This fall in average costs as output increases indicates that a business is benefitting from economies of scale This reduction in average costs is what gives

allure 168 official Economies of scale occur when more units of a product or service can be produced at lower cost External economies of scale such as infrastructure improvements