Industrial clusters are established in the bottom-up and top-down processes in which they are affected by natural resources, transportation cost, economy of scale, externalities, as well as the support from related industries, foreign direct investment, entrepreneurship, institution and government policies.
Classical Economics and New Classical Economics hold that labor division is the source of social wealth and economic growth, and that the economy of scale based on labor division is different from that not based on labor division, in other words, vertical integrated organization is different from decentralized organization.
Network industries are the research object of the theory of industrial organization and economics of regulation all the time, but in the past ,the research mainly focuses on the regulatory behavior of government, pays less attention to the problems of economics of scale and competition of these industries.
Network industries are the research object of the theory of industrial organization all the time, but in the past, the research mainly focuses on the regulatory behavior of government, pays less attention to the problems of economics of scale and competition of these industries.
Clearly, the economies of scale will be different for each of these interests as will the margins within which they operate.
To account for economies of scale a log-linear setting has been applied.
This is generally overcome by constructing large facilities having satisfactory economies of scale, thus making financing onerous and hindering the development of suitable technologies.
We investigate the product cycling problem (also known as the common cycle scheduling problem) when there are economies of scale due to increasing yield rates.
In this study the order picking function is modeled to explore its role with respect to inventory deployment and centralized distribution planning, in the presence of production economies of scale and deterministic demand.