Long-Run Average Cost And Economies Of Scale

Prior to beginning work on this discussion forum, read David Trainer’s Sysco Feasts on Economies of Scale for Strong Competitive Advantage (Links to an external site.) as well as Chapter 8 of the textbook.

Based on this information, respond to the following:

  • How can the long-run average cost (LRAC) curve be derived from the short-run average total cost (SRATC) curve?
  • Describe economies of scale and diseconomies of scale.
  • What are the determinants of economies of scale and diseconomies of scale, respectively?
  • Using a real-world company (other than Sysco), explain the causes of economies of scale for your company.
  • Explain how economies of scale help your company compete in its industry.

Your initial post should be a minimum of 300 words

Long-Run Average Cost And Economies Of Scale

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Link to article : Sysco Feasts On Economies Of Scale For Strong Competitive Advantage (forbes.com)


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