In highly concentrated industries such as passenger jet aircraft,microprocessors,construction equipment,and video game consoles,the scale economies in production are more important than scale economies in product development.

Question

Quizplus · Accepted Answer

In highly concentrated industries like those mentioned, scale economies in product development are often as important, if not more so, than scale economies in production. This is because the initial costs of research, design, and development of new products can be very high, and spreading these costs over a large volume of sales is crucial for profitability.

In Highly Concentrated Industries Such as Passenger Jet Aircraft,microprocessors,construction Equipment,and