Difference between economies of scale and economies of scope


Question 1: Classify the following types of processes as: continuous, assembly line, batch, job shop, or project and explain why you selected the classification you chose.

  • Doctor's office
  • Automatic car wash
  • College curriculum
  • Studying for an exam
  • Registration for classes
  • Electric utility

Question 2: What is the difference between economies of scale and economies of scope? Describe three approaches can be used to achieve mass customization in practice.

Question 3: A company is in the business of making to-order souvenir spoons for customers. The customers select the size of the spoons and may specify the design to be embossed on them. One or more spoons may be ordered. The company is considering going into the make-to-stock spoon business for souvenir spoons and everyday tableware as well. What will the company have to do differently? How is the business likely to change? Explain your answer using product-process matrix.

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Other Management: Difference between economies of scale and economies of scope
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