The ability to use one resource to provide different products and services is
A)economies of scale.
B)economies of scope.
C)diversification.
D)vertical integration.

Question

Quizplus · Accepted Answer

Economies of scope refer to the ability of a company to use one resource to provide different products and services. This can lead to cost savings and increased efficiency, as the company can leverage its resources to produce a wider range of products or services. Economies of scale, on the other hand, refer to the cost savings that come from producing a larger volume of a single product or service. Diversification and vertical integration are related concepts, but they do not specifically address the ability to use one resource to provide different products and services.

The Ability to Use One Resource to Provide Different Products