IB Business Management 1.6

scale of operation

economies of scale

Types of economies of scale

Diseconomies of scale

Types of diseconomies of scale

Merits of small organizations on economies

Reasons to grow businesses

Internal growth

external growth

Backwards vertical integration vs forward vertical integration

Horizontal integration vs conglomerate diversification

Merger

Takeover

Joint venture

Strategic alliance

Franchise

Pros, cons, stakeholder impacts of horizontal integration

Pros, cons, stakeholder impacts of forward vertical integration

Pros, cons, stakeholder impacts of backward vertical integration

Pros, cons, stakeholder impacts of conglomerate integration

Advantages of joint ventures

Risks of joint ventures

Strategic alliance types (examples)

Pros and cons of franchises

globalisation

free trade

protectionism

Benefits of globalisation

multinational company or business

Why become multinational?

Potential problems for multinationals

Benefits of multinationals on 'host' countries

Drawbacks of multinationals on 'host' countries