# Scale efficiency

- Canonical URL: https://www.gerhardmerk.de/scale-efficiency
- Post ID: 593449
- Modified: 2023-07-25T21:12:20+00:00
- Language: en

## Definition

Unless otherwise defined, the benefits that banks achieve through consolidation, sometimes called scale effects. - Economies of scale are primarily achieved in the cost-intensive areas of research, risk management, investment banking, legal services and many back-office activities. - However, this must always be set against the costs of integration associated with a merger. These inevitably arise from the merger of different organizational cultures (corporate culture). This has an impact with a cost of alignment in almost all areas, such as above all decision-making, relationships with colleagues, superiors, customers and suppliers, as well as forms of communication. - See bank size, optimal, blind-deaf link, bloodbath, big bank bonus, size confidence, G-Sifi, consolidation, deadwood. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

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