The reason for the merger of two businesses that sell unrelated goods but can share business practices and sales forces might best be explained by:
A) indivisible costs.
B) learning by doing.
C) economies of scope.
D) economies of scale.

Question

Quizplus · Accepted Answer

Economies of scope occur when businesses can reduce costs by sharing resources or capabilities, such as business practices and sales forces, across different products or services.

The Reason for the Merger of Two Businesses That Sell