Small Scale Industries

Small Scale Industries Small Scale industries definition has undergone many changes from time to time since 1950. To the definition of SIS is on the basis of investment. In  February 1997 the investment limit in S5I and ancillary industries were raised to Rs. 3 crore...

Survival of Small Businesses

Survival of Small Businesses The advantages enjoyed by small- scale business enable it to compete successfully against big business. There are, besides, other circumstances which help a small business and in which large-scale production is not economical. When, for...

External Dis economies (Its effect)

External Dis economies (Its effect) Due to external dis-economies, (if they are more powerful) will shift the LAC (Long run average cost curve) upward to LAC’. In this case the firm will be producing ‘OQ’ amount of quantity earlier at...

Relation between internal and external economies

Relation between internal and external economies No hard and fast line can be drawn between internal and external economies. When a number of firms combine into one external economies become internal economies. Whether particular economies are internal or external...

External Economies

External Economies External economies are those economies which accrue to each member firm as a result of the expansion of the industry as a whole. Expansion of an industry may lead to the availability of new and cheaper raw materials, tools and machinery, and to the...