Insurers that have stopped writing new annuities are likely to focus on selling off blocks of closed annuities business to allow them to deploy capital in other business lines and avoid diseconomies of scale
as policies run off.
We'll distinguish between the internal and external sources of economies of scale and diseconomies of scale
Over time, higher factor prices as well as diseconomies of scale
will cause capital and skill to gravitate away from wealthier regions towards poorer ones.
Don't even get me started on the diseconomies of scale
that occur because client marketing managers are dealing with multiple agencies to do different bits of the very same thing.
Passed a certain size diseconomies of scale
mainly relating to loss of flexibility and responsiveness rapidly start to take their toll.
It is found that industries should reduce their size as there is evidence of diseconomies of scale
in our results.
These large diseconomies of scale
for R&D investment add new evidence to the problems that large pharmaceutical companies have to face.
In many instances, low levels of production are characterized by diseconomies of scale
with rising average costs, followed by scale economies after a given threshold (Dollery et al, 2012).
Even if only this kind of restriction will be implemented, it will go a long way in enhancing environmental conditions and mitigating the diseconomies of scale
that we are currently suffering in the metropolis.
2] reveal the presence of economies and diseconomies of scale
Even the private industrial sectors are growing sick due to deficient management, under-utilization of existing resources due to unavailability of raw materials, diseconomies of scale
of production, etc.
But more labour, with no improvement in either management structures, governance or operational efficiency will finally lead to what economists call diseconomies of scale
or the forces that cause larger inefficient organisations to produce goods and services at increased per-unit costs.