1. Presented by
Group # 3(BBA Hons.I)
Seetal Daas(Leader)
Bhawan Kumar
Shoaib Salman
Zahid Hussain
Haresh Kumar

2. 
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Definition:
Scale of Production is set by the size of plant,
the number of plants installed and technique of
production adopted by producer.
Example:Mills,Factories etc.

3. 
The Scale of production is classified as under;
(1)Small Scale Production
(2)Large Scale Production

4. 
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Definition:
If a firm produces goods with small
sized plants, the scale of production is said to
be small scale production. Small scale is
associated with low capital output and capital
labor ratios.
Example:
Handicrafts, House Jobs, Flour Chaki, Bakers,
Tailor’s Shop etc.

5. 
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Definition:
If firm uses more capital and larger
quantities of other factors and produce more
goods/products, it is said to be large Scale
production.
Example:
Steel Mills, Sugar Mills, Agricultural Industries, Textile
Industries, Film Industries, Cement Factories, Motor
Industries etc.

6. 
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Close Supervision
Nature of Demand
More Employment
Need of small Capital
Direct relation b/w Workers and Employers
Easy Management
Freedom of Work

7. 
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High Cost of Production
Less use of Machines
Difficulty in getting Loans
Difficulty to face Economic Crisis
Costly Raw Materials
Lack of Standardized Goods
Old Techniques
Difficult to face competition with Large Scale
Producers

8. 
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Division of Labor
Use of machines
More production
Cheap and Easy Loans
Standard Goods
Research
Economy of Buying and Selling

9. 
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Evils of Factory System
Danger of Over-Production
Less Supervision
Class Struggle
Dependence on Foreign Market
Unequal Distribution of Wealth