Describe economies of scale and diseconomies of scale

Reference no: EM132299964

Question: Long-Run Average Cost and Economies of Scale [WLOs: 3, 4] [CLOs: 1, 2, 3]

Prior to beginning work on this discussion, read David Trainer's article, Sysco Feasts on Economies of Scale for Strong Competitive Advantage, as well as Chapter 8 in your textbook, and respond to the following:

• How can the long-run average cost (LRAC) curve be derived from the short-run average total cost (SRATC) curve?

• Describe economies of scale and diseconomies of scale.

• What are the determinants of economies of scale and diseconomies of scale, respectively?

• Using a real-world company (other than Sysco), explain the causes of economies of scale for your company.

• How would economies of scale help your company compete in its industry?

Your initial post should be a minimum of 300 words.

Reference no: EM132299964

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