economies of scale 
economies of scale
Definition
economies of scale
circumstances, conditions, etc. which encourage mass production of a commodity by lowering its unit cost as greater quantities are produced
economies of
scale Finance Definition
An economic principle that says as production or sales
increase, the cost of each unit decreases. For example, a company that
increases the production capacity of a factory by adding a second shift can
create economies of scale because many costs (such as the lease for the
property) do not increase, or increase only slightly, while output doubles.
Executives announcing merger agreements often tout economies of scale as one of
the advantages of merging.
Browse dictionary entries near economies of scale
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