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Economies of Scale

(c) Analyse one economy of scale and one diseconomy of scale that may affect JS. [8] Summer 2019 Paper 22

Marketing economies of scale Because JS has an outlet in every major town and city, JS can use nationwide advertising campaigns which are likely to have less cost per potential customer who sees it. This means JS has more money to spend on finding people jobs. Communication diseconomies of scale. Because JS is spread out over the whole of country X This means that messages may not get properly communicated, and some jobs might not get filled. This means that JS does not get as many people out of unemployment.