economy of scale
11
4.3
- noun
- /ɪˈkɒnəmi əv skeɪl/
- Specialized
:
economía de escala
- By increasing production volume, the company was able to achieve economies of scale and lower prices for consumers.
- achieve economies of scale
- advantage of economies of scale
- enjoy economies of scale
Just with economies of scale, it'll be, it'll be cheaper.
- Just with economies of scale, it'll be, it'll be cheaper.
- Others argue that prices will fall due to economies of scale as more people make the switch to EVs.
- And if we're breaking down global transport and intermediate goods trade, then we're losing the economies of scale that make that model work.
- And then after you expend a bunch of money on R&D;, you have what's called economies of scale to actually make the vaccination or make the pill.
- We're bringing the smartphone into the government customers so that they can take advantage of the economies of scale for the chipsets that run those things.
- And you know, maybe obviously maybe there would be economy of scale these things would be cheaper.
- Then it's network effects, economies of scale.
- And centralisation, it can you see, we're led to believe it's efficiency, it's economies of scale, you know, it's production, it's growth.
- And with that we have economies of scale and also a sort of expertise developing so that are the people making mice for us.
Examples
-
The rationale for merging offices was to eliminate redundancies, reach economies of scale, and strengthen weak offices.
Academic text (1999) -
Conventional generation requires a grid because there are great economies of scale in baseload generating units.
Blog text (16) -
To really make it work, we need what they call the economies of scale.
-
And in so doing, creating wonderful economies of scale from which everyone and the whole economy benefit.
-
And if we're breaking down global transport and intermediate goods trade, then we're losing the economies of scale that make that model work.
-
For a factory, the experiment's large size produces an economy of scale.
Academic text (1995) -
For one thing, many Latin American countries constitute markets too small to achieve effective economies of scale.
Academic text (1993) -
The second benefit is the enlargement of the domestic market, which can lead to economies of scale.
Academic text (1995) -
The merged operations will create economies of scale... ...to deliver the best products to the consumer at the lowest possible prices.
-
A third advantage of large-scale mitigation is that it allows for economies of scale.
Academic text (1994)
Surface Forms
Morphology
The phrase transparently links 'economy' and 'scale' so a learner can infer it concerns economic effects related to size, and similar constructions exist cross-linguistically (e.g. Spanish 'economía de escala'), which aids comprehension. However, the technical sense — that unit costs fall as production volume increases — is a domain-specific inference not directly predictable from the words alone, so learners without prior exposure may not grasp the precise meaning.
Etymology
The noun economy of scale comes from the simple idea that economy means 'saving' and scale means 'size': when a factory grows and makes many items, the same machines and workers are used for more pieces, so the cost of each piece falls. That's why the phrase means 'a reduction in cost when production is large'.