Identify a True Statement About Economies of Scope

question 16

Multiple Choice

Identify a true statement about economies of scope.

• A)They exist when costs are reduced by increasing the volume of a specific activity.
• B)They exist when costs are reduced by expanding the scope of a company's operations to related activities.
• C)They occur when a company decreases its output below the minimum efficient scale.
• D)They occur when a company increases its output beyond the minimum efficient scale.

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Definitions:

Lewin's Change Model

A framework for managing change in organizations, consisting of three stages: unfreezing, changing, and refreezing.

Status Quo

The current situation or the existing state of affairs, often used in the context of maintaining the same conditions without change.

Rationale

The underlying reason or explanation for something, often presented as a logical argument.

Organizational Development Model

A strategic, evidence-based approach aimed at improving an organization's effectiveness, health, and capacity for change through interventions in its processes, practices, and structures.