GK
BUSINESS ECONOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Labour Economies
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Marketing Economies
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Managerial Economies
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Economies of Concentration
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Detailed explanation-1: -External economies refer to all those benefits which accrue to all the firms operating in a given industry. Generally, these economies accrue due to the expansion of industry and other facilities expanded by the government.
Detailed explanation-2: -Marketing economies of scale entails large firms lowering the unit cost of promotion and advertising. Marketing economies of scale may be caused by the ease of access to many effective marketing media markets.
Detailed explanation-3: -External economies of scale boost output levels of all firms in a particular industry, and consequently, encourage the growth of supporting industries, that is, industries that provide raw materials, equipment, and transportation services.