Businesses benefit from economies of scale when the cost of an investment can be used in serving a niche customer base.

Name: Businesses benefit from economies of scale when the cost of an investment can be used in serving a niche customer base.
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Question

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Economies of scale refer to the cost advantage businesses experience when production becomes efficient, as costs can be spread over a larger number of goods, not specifically when serving a niche customer base.

Businesses Benefit from Economies of Scale When the Cost of an Investment