2. Internal economies of scale External economies of scale Internal diseconomies of scale External diseconomies of scale It’s simple. You’ll be presented with an example and you have to say whether it is an internal or external economy or diseconomy of scale. Each example (apart from the first) only stays on the screen for 3 seconds. Easy? Maximum score of 16. Good luck! It’s simple. You’ll be presented with an example and you have to say whether it is an internal or external economy or diseconomy of scale. Each example (apart from the first) only stays on the screen for 3 seconds. Easy? Maximum score of 16. Good luck! Click to start

3. Internal economies of scale Internal economies of scale Internal economies of scale Internal economies of scale External economies of scale External economies of scale External economies of scale External economies of scale Internal diseconomies of scale Internal diseconomies of scale Internal diseconomies of scale Internal diseconomies of scale External diseconomies of scale External diseconomies of scale External diseconomies of scale External diseconomies of scale Firm experiences loss of managerial direction This is the first example. Is it an internal or external economy or diseconomy of scale? 22 There’s no time limit. Click an answer when ready.

4. Internal economies of scale Internal economies of scale Internal economies of scale Internal economies of scale External economies of scale External economies of scale External economies of scale External economies of scale Internal diseconomies of scale Internal diseconomies of scale Internal diseconomies of scale Internal diseconomies of scale External diseconomies of scale External diseconomies of scale External diseconomies of scale External diseconomies of scale Shortage of input factors for entire industry 22

5. Internal economies of scale External economies of scale Internal diseconomies of scale External diseconomies of scale You ran out of time! 22 Start again

6. Internal economies of scale External economies of scale Internal diseconomies of scale External diseconomies of scale Wrong answer! 22 Start again

7. Internal economies of scale External economies of scale Internal diseconomies of scale External diseconomies of scale Well done – your scored 16 Start again

8. NoExampleCategory 1Firm can afford to diversify product range1 2Firm receives lower rate of interest on loans1 3Firm can afford to employ specialist workers1 4Firm can afford more affective managers1 5Firm can justify buying bulk purchases of raw materials1 6Firm can afford to purchase specialist equipment1 7A more effective local transport network2 8Local university opens up a research department2 9Specialist supplier locates in the firm’s region2 10Increased use of internet to purchase firm’s goods2 11Poorer communication with larger workforce3 12Poorer levels of motivation among workers3 13Firm experiences loss of managerial direction3 14Inefficient practices as market becomes less competitive4 15Shortage of input factors for entire industry4 16Increased duty on products implemented by Government4 NoCategory 1Internal economies of scale 2External economies of scale 3Internal diseconomies of scale 4External diseconomies of scale Editing: Edit the table above to set the four different categories. Edit table to left and include a category number for each example using the category code from the table above. 133 154 123 92 164 144 51 82 61 21 102 113 41 31 11 72