Illustrate economies of scale or scope

Reference no: EM132151382

Question: Elevators generally break down at random times and for different reasons.Elevator maintenance con... Elevators generally break down at random times and for different reasons. Elevator maintenance contractors must have trained service personnel to provide routine and emergency service. Shan On Elevator has 200 service personnel to maintain 1,000 elevators.

a. Suppose that Shan On has received a contract to maintain an additional 1000 elevators. Does the example in (a) illustrate economies of scale or scope?

Reference no: EM132151382

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