Economics - Economies of Scale
By emilylloyd, Updated
Olivia and Emily
Noah owned a train company, but he soon realised the trains were too small, low quality and didn't cater for all of needs of its customers.
So, Noah then called for a board meeting with the senior executives.
Word of expansion soon got round the office.
Dear Mr N Ark, I am pleased to announce record profit levels for this quarter. Keep expanding.... Regards, C
New trains were produced.
New luxurious carriages were added.
The office expanded to deal with the rapid increase in demand.
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