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One of the big weaknesses of organization structures that do not have cross-business collaboration is
Fixed Costs
Costs that do not change with the level of output produced by a firm, such as rent, salaries, and equipment costs.
Average Total Cost Curve
A graphical representation of the total cost per unit of output, calculated by dividing the total cost by the quantity of output produced.
Diminishing Marginal Returns
A principle stating that as more of a variable input is added to a fixed input, the additional output from each new unit of input will eventually decrease.
Average Total Cost Curve
A graphical representation showing the cost per unit of output when fixed and variable costs are summed up and divided by the total output.
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