Economies of scope typically involve
A) sharing resources by business units.
B) acquiring resources from outside a company.
C) limited utilization of resources by specific business units.
D) all of these choices.
E) none of these choices.

Question

Quizplus · Accepted Answer

Economies of scope involve sharing resources by business units. This allows the company to reduce costs by utilizing its resources more efficiently and effectively across multiple products or services. Acquiring resources from outside the company may result in economies of scale, but not economies of scope. Limited utilization of resources by specific business units would not result in any economies of scope.

Economies of Scope Typically Involve