Economies of scale: related pages

Costs that rise faster than an increase in output; negative economies of scale.

The removal of intermediaries from a process, supply chain or market. The commonest financial example is the issue of bonds to replace bank borrowing.

Horizontal integration

The widening of a business by widening its operations at the same point in the supply chain.

First mover advantage

The competitive advantage that the first company to launch a new type of product should have over those that start later.

Synergy

The gains made by combining parts, for example the cost savings that result from an acquisition.

Vertical markets

Markets defined by type of customer rather than type of product.