CramPuppy - Free Revision Notes » Igcse » Economics » Internal Dis-Economies of Scale
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Date: Sun, 21 May 2006 Time: 12:00 AM
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Internal Dis-Economies of Scale
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Internal dis-economies of scale: cost
disadvantages that a business will experience in the form of higher
average cost of production when a firm expands the level of production
Management Diseconomies
Large firms are divided into specialist departments, and each department has a manager responsible for running it. In a very large business, there are so many departmental managers that decisions will take a long time and there may be many disagreements.
Labour Diseconomies
Specialization occurs so monotony and inefficiency also takes place.
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by: Admin
Total views: 707
Word Count: 245
Date: Sun, 21 May 2006 Time: 12:00 AM
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