Experience curve efficiencies refers to
A) expanding a business globally to decrease per unit costs.
B) having more experienced team members.
C) insights gained by employees that lead to improved work performance.
D) the outcomes of learning effects and economies of scale.

Question

Quizplus · Accepted Answer

Experience curve efficiencies refer to the improvements achieved in operations as a result of learning effects (employees becoming more skilled and efficient) and economies of scale (achieving cost savings through increased production). These efficiencies lead to decreased per unit costs, which is option D. Options A and B do not accurately describe experience curve efficiencies and option C is too narrow in focus.

Experience Curve Efficiencies Refers to