Which of the Following Best Illustrates an Economy of Scope

A-a shoe brand outsourcing its production unit to manufacturers in less developed nations b-a chocolate manufacturing company setting up its own cocoa plantations. Which of the following statements illustrates economies of scope.

Understanding Economies Of Scope Vs Economies Of Scale

Example of Economies of Scope.

. Therefore S would be greater than 0 when economies of scope exist. A Being able to eliminate or reduce costs by combining related value-chain activities of different businesses into a single operation B Being able to eliminate or reduce costs by performing all of the value chain activities of related sister businesses at the same location C Being. Stem from cost-saving strategic fits along the value chains of related businesses D.

Economies of Scope S is the percentage cost saving when the goods are produced together. Toshiba uses its designers and specialized equipment to make the hard drive for the iPod. It should try to produce less.

Creation of economies of scope for the firm. Which of the following best illustrates an economy of scope. Being able to eliminate or reduce costs by operating over a wider geographic area.

Question 18 Not yet answered Marked out of 600 Flag question Question text Which of the following is the best example of economies of scope. 2 The Polyface case illustrates which of the following contrasting strategies in food production systems. A synonym for economics of scale.

Which of the following is the best example of economies of scope. Nontrivial search costs to be borne by the firm. D-creation of economies of scope for the firm.

Manufactures stationery and sells it in bulk to book shops and supermarkets. Low-powered incentives for an individual to work as an entrepreneur for the firm. 5 Which of the following best illustrates economy of scope.

Being able to eliminate or reduce costs by offering customers a bigger selection of models styles and product versions to choose from. The concept of economies of scope is best described as a. Extending existing distribution channels to reach new customers.

Which of the following statements illustrates economies of scope. Being able to eliminate or reduce costs by operating over a wider geographic area. Which of the following best illustrates backward vertical integration.

A Profitability of red meats vs. CBeing able to eliminate or reduce costs by expanding the size of a companys manufacturing. Refer to the cost-savings that flow.

High administrative costs due to increased bureaucracy. Which of the following best illustrates an economy of scope. Economy of Scope Explained.

Coca-cola expands its global operations to sub-sahara africa. On the other hand a company that benefits from economies of scale has a lower average cost because costs decrease as. Stem from the cost-saving efficiencies of operating over a wider geographic area B.

A producer of pet foods acquiring a maker of bicycles A manufacturer of canned vegetables acquiring a producer of bottled salad dressings A producer of athletic footwear acquiring a manufacturer of snow ski equipment and soccer equipment A greeting card manufacturer. The law of diminishing returns has not taken effect. Up to 256 cash back 3 points.

D Personality driven marketing vs. The cost of separately producing 1000000 hamburgers is 050 each. Microsofts profit doubled in the last quarter of 2014 4.

Alchohol for car fuel is produced from corn. Why buy extra books when you can get all the homework help you need in one place. 278 Economies of scope A.

ABeing able to eliminate or reduce costs by offering customers a bigger selection of models styles and product versions to choose from. -Being able to eliminate or reduce costs by combining related value-chain activities of different businesses into a single operation 6 Which of the following is NOT part of the task of checking a diversified companys business line-up for adequate financial and nonfinancial resource fit. Which of the following best illustrates an economy of scope.

C East Coast farming vs. Which of the following best illustrates a small business operating in a retail industry as opposed to wholesaling its products. Your firm earns 2 million per quarter in total revenue and your accounting profits are 100000 per quarter.

In economies of scope businesses save money by diversifying their product lines and getting more value out of fixed costs. For example a restaurant produces both hamburgers and sandwiches. Using existing channels of distribution to introduce a new product.

West Coast farming methods in the US. It has too much fixed overhead relative to its variable cost. Written by the MasterClass staff.

Which of the following is the best example of related diversification. Lean meats such as chicken. Sonys average total cost starts falling as it increases the production of TV sets.

A disadvantage associated with obtaining goods and services externally includes A. B Economies of scale based vs. Economies of scope work best when production or consumption is complementary.

3 Examples of Economies of Scope. Janet bakes cakes and sells them to other restaurants and cafes in malls. Have to do with the cost-saving efficiencies of distributing a firms product through many different distribution channels simultaneously C.

A company reduces its cost by getting bigger discounts for bulk purchases. You do not charge the firm for the use of an old building that you own because it. Sonys average total cost starts falling as it increases the production of TV sets.

The use of brand extensions. Can I get help with. Toshiba uses its designers and special ized equipment to make the hard drive for the iPod 2.

Feb 25 2022 2 min read. None of the above. As a Chegg Study subscriber you can view available interactive solutions manuals for each of your classes for one low monthly price.

Economy Of Scope Explained 3 Examples Of Economies Of Scope 2022 Masterclass

Economy Of Scope Explained 3 Examples Of Economies Of Scope 2022 Masterclass

Economy Of Scope Explained 3 Examples Of Economies Of Scope 2022 Masterclass