Size Structure Of Firms Introduction - Business Environment

Over the last one hundred years there has been an increase in the level of industrial concentration in the United Kingdom. Largest hundred companies produced only 16 per cent of manufacturing output in 1909; but, by 1990 this had risen to around 30 percent. Such an increase in the size of business organisations gives rise to worries about the concentration of power in the hands of a few producers and abuses of this power. If the companies are multinationals, they may be beyond the control even of national governments. More recently the trend towards greater concentration has been reversed, and there seems to be a movement towards employment in smaller units. So here in this section we will look at the following things:

  • the size structure of British industry
  • the reasons for such a structure with some international comparisons.
  • the role of small and large firms in the economy.
  • the reasons for growth,
  • the ways in which organisations grow,
  • the financing of growth and the limits to growth and

the recent trend towards co-operation in production, rather than competition, through activities like joint ventures and networking.

All rights reserved © 2020 Wisdom IT Services India Pvt. Ltd Protection Status

Business Environment Topics