Which of the following business would have the greatest economies of scale because of cost advantages gained by an increased level of production?

Group of answer choices

Bee Great

Froberg's

North Country

Tyson

Moovin Milk

Brazos River Provisions Company

1 answer

Among the companies listed, Tyson (Tyson Foods) would likely have the greatest economies of scale due to the nature of its business in the meat processing industry. Tyson Foods is a large-scale producer of meat products, and as such, it benefits from significant cost advantages through bulk purchasing, efficient production methods, and widespread distribution networks that come with higher levels of production.

In general, companies in the food processing and agricultural sectors, such as Tyson, can achieve significant economies of scale compared to smaller companies or those in less capital-intensive industries. This allows them to lower costs per unit as production increases, leading to higher competitiveness in pricing and profitability.