If production technology displays significant economies of scale,many local locations are the most effective.

Question

Quizplus · Accepted Answer

If production technology displays significant economies of scale, centralized production in a single or a few large facilities is generally more efficient and cost-effective than producing the same quantity of goods across multiple smaller local locations. This is because larger facilities are able to achieve greater specialization, use more advanced equipment, and take advantage of bulk purchasing and other economies of scale.

If Production Technology Displays Significant Economies of Scale,many Local Locations