Advantages and Disadvantages of Business Growth
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Benefits of a Growing Buisness
These the Benefits of a Growing Buisness: Purchase cost one dollar per unit Sale Cost one dollar per unit
Economies of Scale
Economies of Scale is when a buisness has lower unit cost because of its large size
Methods of Expansion
Methods of Expansion is when a buisness can grow in size through: Internal Growth External Growth Franchising
Internal Growth is when the buisness grows by hiring more staff and equipment to increase its output
External Growth is when a buisness merges with or takes over another organization
Disadvantages of Expanding
Some Disadvantages of Expansion is: Larger Debts More Competition
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