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Explain Why Diseconomies of Scale Occur

question 139

Essay

Explain why diseconomies of scale occur. Do you think diseconomies or economies of scale are more prevalent? Why?


Definitions:

Cognitive Dissonance

The state of having inconsistent thoughts, beliefs, or attitudes, especially relating to behavioral decisions and attitude change.

Fundamental Attribution Error

The tendency for people to over-emphasize dispositional or personality-based explanations for behaviors observed in others while under-emphasizing situational explanations.

Central Persuasion

A method of influencing that relies on direct, logical, and thought-provoking messages aiming at the central route of the cognitive process.

Peripheral Route Persuasion

A method of persuasion that influences individuals indirectly, by focusing on cues other than the direct message, such as the attractiveness or credibility of the source.

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