An Economy of Scope Is BEST Illustrated by Being Able

Multiple Choice

An economy of scope is BEST illustrated by being able to eliminate or reduce costs by

A) combining related value-chain activities of different businesses into a single operation.
B) performing all of the value chain activities of related sister businesses at the same location.
C) extending the firm's scope of operations over a wider geographic area.
D) expanding the size of a company's manufacturing plants.
E) having more value chain activities performed in-house rather than outsourcing them.