Productivity: Measures how efficiently inputs (such as labor and capital) are converted into outputs (goods/services). Higher productivity means achieving more output with fewer resources.
Division of Labor: Breaking down complex tasks into smaller specialized tasks performed by different individuals or groups can enhance efficiency by allowing people to focus on what they do best.
Economies of Scale: Refers to the cost advantage that arises when a company increases its production levels. As output increases, per-unit costs decrease due to spreading fixed costs over more units.