Industry requires economies of scale (KMart)

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Economies of scale help producers to lower their cost by producing the next unit of output at lower costs. When new competitors enter the market, they will have a higher cost of production, because they have smaller economies of scale. Economies of scale positively affect KMart. … "Industry requires economies of scale (KMart)" is a difficult qualitative factor to defend, so competing institutions will have an easy time overcoming it. "Industry requires economies of scale (KMart)" is an easy qualitative factor to overcome, so the investment will not have to spend much time trying to overcome this issue.

Affected Investments