Pages in this set

Page 1

Preview of page 1
Business Angela Emma Rudd BMA
27th January 07



Operations Management
Output and Capacity

The scale of production refers to a firm's output level this will depend on its capacity. The
capacity is the maximum output that an organisation can produce at any moment, given its
resources.

The capacity of a…

Page 2

Preview of page 2
Business Angela Emma Rudd BMA
27th January 07





Why do Economies of Scale Matter?
Economies of scale can be important because the cost of producing a unit can have a
significant impact on a firm's competitiveness. If an organisation can reduce its unit costs, it
can either keeps its price…

Page 3

Preview of page 3
Business Angela Emma Rudd BMA
27th January 07



Agreeing to produce products for other firms ­ Sometimes producers of
wellknown brands also produce items for the supermarkets, which are sold with the
supermarkets name on them (these are called own label items). Although this may
seem strange, because it is…

Comments

No comments have yet been made

Similar Business Studies resources:

See all Business Studies resources »