economies of scale with production

Primary Task: 600 words, APA Format with reference

The decision about relocating manufacturing operations to the United States is so important, the board of directors at AutoEdge continues to systematically discuss every aspect of the situation.

One of the main objectives of any business is to be efficient. Without efficiency, the company is essentially losing money.

What must AutoEdge do to obtain economies of scale with production?

How do we know that it has achieved economies of scale?

Conversely, how do we know if it is achieving diseconomies of scale?

Objective

  • Compare and contrast how production analysis is carried out and be able to evaluate production situations using economy of scale, elasticity and other analytic tools.
  • Demonstrate how metrics such as valuation, economic profit, and related terms are measured and evaluated.
  • Explain the significance and implications of various economic theories pertaining to profit, consumer choice, demand and supply, forecasting and optimization.

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