Talk:Economies of scope

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Mads10580522 (talk) 00:29, 6 October 2020 (UTC)[reply]

Charley.79 (talk) 11:20, 8 October 2020 (UTC)[reply]

--S4485243 (talk) 06:30, 8 October 2020 (UTC)[reply]

Complaint[edit]

This is the first time I see the Economy of Scope concept restricted to "marketing an distribution" issues. In 1983 Goldhar and Jelinek published an article in Harvard Business Review and presented the Eco of Scope as "an efficiency wrought by variety, not volume" (vs Eco of scale), including production issues (i.e. same plant producing two types of cars). If one of you has some information about this marketing limitation, I would be interested to know more about it. Thanks.

This article [1] suggests that economics of scope exist based on weak cost complementarity, where the marginal cost of producing one good decreases when the quantity produced of another good increases. In other words, producing a greater scope of products results in cost savings. For example, a farm that produces corn might benefit from also producing cattle, because the cow manure could be used to fertilize the corn.

By putting all the links to Marketing topics on the right hand side it makes it appear that economies of scope is limited only to Marketing and doesn't apply to other areas such as production. I think we should remove this. Just a thought. —Preceding unsigned comment added by 83.104.86.9 (talk) 13:20, 7 September 2009 (UTC)[reply]

Expanding article Suggestion[edit]

I propose working these materials into the article ...

"The notion of economies of scope is closely associated with the idea of (the) learning curve. This curve is convex to the origin and has a negative slope to confirm that the average cost declines as the size of production increases. There have been many uses of the learning curve in the field of marginal economics such as forecasting the requirements of production, scheduling operations, and pricing both inputs and output."^[1] (page 344)
"The last word about the learning curve is to distinguish its effect from the effect of economies of scale, since both are involved in the cost reduction owing to production increase.^[1] (page 320)

Cheers ... Risk Engineer (talk) 20:45, 8 December 2018 (UTC)[reply]

References

^ ^a ^b Alhabeeb, M. J., and L. J. Moffitt. Managerial Economics: A Mathematical Approach, John Wiley & Sons, Incorporated, 2014. ProQuest Ebook Central

[Alhabeeb2014-1] Alhabeeb, M. J., and L. J. Moffitt. Managerial Economics: A Mathematical Approach, John Wiley & Sons, Incorporated, 2014. ProQuest Ebook Central

[1]