Production capacity utilization started to decline around the end of world war 1 because of Firms that held dominated their respective industries before the war carried their positions due to lack of competition.
<h3>Why did production capacity utilization started to drop around the end of world war 1?</h3>
World War I or the First World War, often shortened as WWI or WW1, started on 28 July 1914 and ended on 11 November 1918.
Capacity utilization or capacity utilization stands for the extent to which a firm or nation operates its installed productive capacity. It stands for the relationship between output that stands produced with the installed equipment and the potential output which could be constructed with it if capacity was fully utilized.
Capacity utilization guides how much of a factory's production capacity is currently being utilized. The KPI follows how much of a manufacturing operation's potential output exists being met and includes everything from machinery capability to available resource utilization.
Hence, Production capacity utilization started to decline around the end of world war 1 because of Firms that held dominated their respective industries before the war carried their positions due to lack of competition.
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