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A young boy set up a lemonade stand on the corner of college street and air park boulevard. the temperature in the area climbs to 100 f during the summer. the intersection is near a major university and a large construction site. explain to this young entrepreneur how his business might benefit from economies of scale. what is economies of scale and how could this business benefit from economies of scale. also explain to the owner how diseconomies of scale might impact this business.

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peterdaly
A combination of 100 degrees fahrenheit and at a university and a construction site indicates that the young boy could benefit from an economy of scale or in other words he could have either a large lemonade stand with help to attend to more than one customer at a time or perhaps could have more than one stand and say have one right at the university and one at the construction site and thus be able to sell more lemonade.

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