Economics of learning

This note is primarily directed to students. It is the fourth and final in a series on strategic cost analysis. This note will focus on the experience curve (also called the learning curve).

Economies of scale and economies of scope

This note is primarily directed to students. It is the third in a series on strategic cost analysis. Economies of scope is a term related to economies of scale. I will argue that economies of scope is not a very helpful concept in strategic management.

Apologies, but this note is not very structured :)

Economies of scale and capacity utilisation (economies of capacity)

This note is primarily directed to students. It is the second in a series on strategic cost analysis. Economies of scale is defined as a company's cost per unit being lower when the it produces at a larger volume. This note explains the difference between economies of scale and a related concept called capacity utilisation. Capacity utilisation refers to how much of the existing capacity is used for production.

Economies of scale

This note is primarily directed to students. It is the first in a series on strategic cost analysis. One of the most important cost drivers is economies of scale . A key point to note is that diseconomies of scale, which textbook authors like to describe, hardly exist in the real world.