Internal economies of scale can provide significant advantages to businesses. They enable companies to reduce costs by streamlining the production process, increasing efficiency, and reducing the number of resources needed to produce goods. This can result in higher profits and better customer service. Additionally, internal economies of scale can create specialized areas of expertise, allowing a company to focus on specific areas of production and become more competitive in the marketplace. Finally, they can help companies reduce the risk associated with entering new markets, as they can be used to create a competitive advantage over other businesses.