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One of the Reasons That Big Box Retailers Like Home

Question 58

Multiple Choice

One of the reasons that big box retailers like Home Depot are able to achieve economies of scale is that:


A) They have both broad and narrow economies of scope.
B) They are able to take advantage of physical properties and maximize their scale efficiencies by stocking more merchandise and handling inventory more efficiently.
C) They are able to take advantage of market size and spread investment losses over many locations.
D) They have been able to protect themselves from the threat of buyer power by increasing input prices.

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