The idea that manufacturing costs per unit decrease as the number of units produced increases is known as

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Economies of scale refer to the cost advantages that a business can gain by producing large quantities of a product. As the volume of production increases, the cost per unit of production generally decreases due to factors such as increased efficiency, bulk purchasing of raw materials, and specialization of labor. This concept is widely recognized in the manufacturing industry as a key strategy for reducing costs and increasing profits. Venture capitalism, franchising agreements, and first-mover advantage are not directly related to the idea of economies of scale.

The Idea That Manufacturing Costs Per Unit Decrease as the Number