As always you killed it. You really hit some good points and really made me think. You really have a very in depth post on the economies of scale. Your explanation and descriptions of both internal and external truly clarifies the difference. I always thought that economies of scale was a win win situation, however after reading some of these posts I find my mind being open more and looking at it from a different aspect. Do you see economies of scale as a revolving concept? Where it will peak at a certain point, fizz down, and then restart up again?
Reply 100 words to instructor class 352 wk 8 :
Thanks for covering the advantages and disadvantages of economies of scale in the transportation industry. Let’s drill down to a specific type of company. There are several small businesses that provide transportation services. It seems these businesses can suffer financially as a result of limited economies of scale.
Discuss specific examples.