Economies of Scale Case study Auto Industry

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Global Review: 

Global Review

Global Review: 

Global Review

Exports and Imports: 

Exports and Imports


Economies of Scale: High Fixed Cost of setting up the Plant


HONDA of CANADA MFG (HCM) Location:Alliston, Ontario Start-up:November, 1986 Investment:$1.73 billion Vehicles Built: Plant 1: Civic coupe & sedan, Acura CSX, Plant 2: Acura MDX, Pilot, Ridgeline Employment:4,300; Production:385,491- 2005; Exports: 318,995 – 2005; Total 2-Shift Capacity: 390,000

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