Explain from where scale economies come


According to its Web site, Netflix is the world's largest online entertainment subscription service. It ships over 2 million DVDs daily to its more than 15 million members. On its Web site, Netflix indicates that its growth strategy is to "focus on subscription growth in order to realize economies of scale." In this business, where do you think scale economies come from?

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Microeconomics: Explain from where scale economies come
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