Reasons why some firms get large and some stay small

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  • Assess reasons why some firms get large and some remain small
    • Small: Nature of business e.g. hairderssing
    • Big: Aim to increase market power/share
    • Small: Niche markets
    • Big: Economies of scale
      • Eval: Diseconomies of scale
    • Small: Managerial failure
    • Big: successful growth strategies such as sales max

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