Explain how globalisation can increase operational efficiency?

There are many ways in which globalisation can help increase operational efficiency, for example; economies of scale. Globalisation can help lower production costs as a result of a wide spread production, by spreading production over greater units of output economies of scale can be achieved. Thus increasing efficiency through offering lower operational costs. Globalisation can also result in an investment in capital. Thus directly effecting production on a wide scale. Therefore increasing productivity, increasing operational efficiency.

EA
Answered by Ella A. Business Studies tutor

3172 Views

See similar Business Studies A Level tutors

Related Business Studies A Level answers

All answers ▸

Explain one influence on the choice of suppliers for a large discount supermarket.


In what way does the seasonality affect operations of a busness?


How do you calculate capacity utilisation for a restaurant that has 65 seats but only 42 people dining each night?


To what extent is competition the main threat to British Airways’ future profitability? (20)


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2025

Terms & Conditions|Privacy Policy
Cookie Preferences