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Rudik [331]
3 years ago
10

It is common in large breweries for the long-run average total cost to decline as output increases. this indicates that many bre

weries operate with:
Business
2 answers:
AnnyKZ [126]3 years ago
5 0
They indeed indicate that many breweries operate with something called economies of scale but let me explain that a little further. Economies of scale  is defined as a proportionate saving in costs gained by an increased level of production. Basically said is is the cost advantage that arises with increased output of a product. The basis for that is the principle that says <span>the greater the quantity of a good produced, the lower the per-unit </span>fixed cost. 
Aliun [14]3 years ago
4 0
This indicates that many breweries operate with economies of scale.
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