Economy of Scale Questions
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David Hopkins

"dropkins"

Subject: Economy of Scale Questions
posted Sunday, September 14th 2008 @ 10:26 AM

So I was re-listening to the wonderfull tapes that R. Heppell <sp> has posted online at the funeral manager webite and in the first one the guest talks about creating this economy of scale.

Which means , as far as I can tell, making or having needs in quanity so that suppliers give you a price break or discount. The guest then said that we should try to create an alliance with other homes in our area to make this ecomony of scale.

Has any one done this in their service area?

If so how has it worked out?

I have been thinking of this and trying to mentaly create ways that it would work. I have not been able to think of many. If you were to create this allaince how do you realy save money and do you pay to belong. Will the supplier realy take 5 funeral homes in Northern California for real. If you make the partners to far then do you realy benfit from what you are doing or are you creating a new "funeral association" that does nothing.

This comming week I plan on calling up Mortuary Managment and seeing if they have done any articles on it. Any feedback would be great.

David R Hopkins

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Economy of Scale Questions

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