Justify capacity expansion using economies of scale

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Why is it dangerous to justify capacity expansion using economies of scale?

A. It is far too specific to use as a basis for capacity decisions       

B. It requires consideration of quality, dependability and flexibility          

C. Because volume, capacity, and process considerations are looked at individually         

D. Because the common notion that unit costs will decline for larger facilities due to size is not necessarily accurate

Reference no: EM13899225

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