(i) Labour disputes and industrial unrest.
(ii) Under-utilization of resources if it is producing below capacity.
(iii) Use of obsolete technology/ technical diseconomies.
(iv) Difficult/ complexity in management/ managerial diseconomies.
(v) Increase in overhead costs of production, marketing and promotion.
(vi) Slow decision making.
(vii) Wastage of resources due to lack of close supervision.
(viii) Lack of enough market to sustain capacity/ marketing diseconomies.
(ix) Staff laxity, apathy and poor morale which decrease productivity.
maurice.mutuku answered the question on July 24, 2017 at 06:43
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