Business GCSE
Purchasing economies of scale
What Purchasing economies of scale means in Business GCSE, as defined for AQA.
Definition of Purchasing economies of scale
Check what you remember
Read the wording for your board, then hide it and explain Purchasing economies of scale in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
Cost advantages from a bigger business buying in bulk, negotiating lower prices per unit, obtaining trade discounts and reducing delivery costs per item.
Topics that use Purchasing economies of scale
- Expanding a business (AQA GCSE)
Related terms
- Diseconomies of scale
- Economies of scale
- External growth
- Fixed Costs
- Franchising
- Horizontal, vertical and conglomerate integration
- Internal (organic) growth
- Internal and external factors
Using Purchasing economies of scale in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
Practise Business questions
Create a free account to answer exam-style questions on this topic and get feedback on your answers.
Start free
All Business GCSE termsA week of Premium from your first lesson · Then the free plan continues · No card, no charge