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Why would a firm experience diseconomy of scale

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Discussion 1: Discuss the need for an MNC to "be global and act local." What are 2-3 specific examples of this? How can a MNC design its organization to enable it to act more locally?

Discussion 2: Empirical evidence on the shape of the average cost curve across industries is mixed. A 1992 study, by Robidoux and Lester, found that 57 % of Canadian firms had economies of scale, 23 % had neither economies or diseconomies of scale, and 14 % experienced diseconomies of scale. Can you think of examples of firms or industries that might fall into each category? Why would a firm experience economy of scale? Why would a firm experience diseconomy of scale?

Reference no: EM132235818

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