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Scale and Scope in Professional Service Firms

By: Ashish Nanda
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Abstract

This case discusses why economies (and diseconomies) of scale and scope exist in professional service firms (PSFs) and how they influence the amount and range of services that PSFs offer. It is distributed with a case that focuses on determining the optimal scale/scope of a PSF.

Keywords

Cost Management; Operations; Microeconomics; Service Industry

Citation

Nanda, Ashish. "Scale and Scope in Professional Service Firms." Harvard Business School Background Note 903-117, March 2003. (Revised April 2006.)

About The Author

Ashish Nanda

Strategy
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