Achieving economies of scale is most important to a firm with ________.

Question

Quizplus · Accepted Answer

Achieving economies of scale can help a firm with high research and development costs by allowing the cost of each unit to decrease as production increases. This can make it more cost-effective to develop new products or improve existing ones. Complicated organizational structures, numerous international market segments, and multiple business-to-business customers may also benefit from economies of scale, but they are not as directly linked as high research and development costs.

Achieving Economies of Scale Is Most Important to a Firm