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Economies of scal occurs when there is an increase in output as cost decreases. This means, as a company will have a better chance to decrease its costs. There are two ways of achieving this, internal and external economies of scale. Internal economies of scale occurs due to the change in size of an individual firm and are not dependant on the industry as a whole. This can be achieved in two ways. 1) Firm level 2) Plant level.
External economies of scale occurs due to a growth in the industry as a whole. The individual firms need not grow, however the entire industry around them does.
The benefits and costs that are associated with the overall expansion of the entire industry are called as external economies. The expansion of a single firm is the internal economies of scale.
Internal economies of scale occurs due to the change in size of an individual firm and are not dependant on the industry as a whole. This can be achieved in two ways.
) Firm level 2) Plant level.
External economies of scale occurs due to a growth in the industry as a whole. The individual firms need not grow, however the entire industry around them does.
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What is internal economy of scale?
The difference between internal economy of scale and external economy of scale is that internal economies of scale come from within the business ; external economies come from or affect the world outside the business.
What is the Differences between internal and external cost?
Internal costs are costs that a business bases its price on. External costs are costs that are not included in what the business bases its price on Nicodem
What are the differences between the 3 economies?
That depends on what three 'economies' you are talking about.
What is the difference between external and internal stimuli?
internal is in and external is out
What is the meaning of economies of product differences?
The meaning of economies of product differences... The greater the difference in products produced by two economies the greater the economic efficiency to be obtained from trade between the two as per the theory of comparative advantage.
What is internal economy of scale?
The difference between internal economy of scale and external economy of scale is that internal economies of scale come from within the business ; external economies come from or affect the world outside the business.
What is the Differences between internal and external cost?
Internal costs are costs that a business bases its price on. External costs are costs that are not included in what the business bases its price on Nicodem
What are differences between internal fertilization and external fertilization?
eternal fertilizer is mostly use for tree while internal is for human being
What is the difference between Internal Styles and External Styles in Martial Arts?
There are many differences between external and internal marital arts. One difference is that external marital arts focuses on the physical abilities while internal martial arts focuses on the Chi energy of a person.
What are the differences between the 3 economies?
That depends on what three 'economies' you are talking about.
What are the relative advantages and disadvantages of internal CD burner and external CD burner?
An external drive will be a little slower because of the speed differences between SATA (internal) and USB (external). The obvious advantage to an external is changeability, ease of access, etc.
What is the difference between external and internal stimuli?
internal is in and external is out
What is the difference between external and internal communications?
What is the difference between external and internal communications
What is the difference between external and internal indicator?
what is the difference between the external & internal indicator
What is Difference between internal and external indicators?
what is the difference between the external & internal indicator
What is the diffrewnt between a internal and a external?
internal = inside external=outside
What is the difference between internal and external reproduction?
its internal and then its external. DEERRR
