A transformation of a figure in which all of the dimensions of the figure are multiplied by the same scale factor is called a dilation.
Effect of Dilation on Perimeter
Whenever a figure is dilated by a scale factor, the perimeter of the figure changes according to the same scale factor.
Effect of Dilation on Area
When a figure is dilated by a scale factor of
, the area of the figure is dilated by a scale factor of 
Example-
Lets imagine a rectangle with length 10 cm and width 8 cm
So area becomes = 10*8 = 80 square cm
Lets suppose the rectangle is reduced by a scale factor of
to produce a new rectangle.
So we will find the square of scale factor = 
Now to find the area of the new rectangle(dilated one) we will multiply the area of the original rectangle by 1/4
= 
Hence, area becomes 20 square cm.