Economies of scale are a factor that could impact the definition of organizational units

Question

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Economies of scale refer to the cost advantages that organizations can achieve by increasing production, output, or size. As a result, larger organizational units may be more efficient and cost-effective, which could impact how those units are defined and structured within an organization. For example, a company may consolidate several smaller departments into one larger unit to take advantage of economies of scale and reduce duplication of effort.

Economies of Scale Are a Factor That Could Impact the Definition