A major limiting factor of mass production is

Step 1: Analyze the question The question asks what limits mass production, which means producing goods in very large quantities. Look for the option that would restrict large-scale output.

Step 2: Explain the concept Mass production (large-scale production) only makes sense if there are enough buyers for the huge output. Producing thousands of units at low cost per unit is pointless if the goods cannot be sold. This is the economics principle that the extent of the market limits the division of labour and specialisation (Adam Smith).

Step 3: Evaluate the options

• A. Efficient management: This supports mass production, so it is not a limiting factor.
• B. Adequate labour supply: "Adequate" means enough, so this helps production rather than limits it.
• C. Small size of the market: If demand is low, firms cannot sell large quantities. They cannot enjoy economies of scale, and unsold goods pile up. This is a real limit on mass production.
• D. Adequate supply of raw materials: Again "adequate" means enough, so it encourages production rather than limiting it.

Step 4: Answer The correct option is C. small size of the market.

Tip: When a question asks for a limiting factor, eliminate options that contain positive words like "efficient" or "adequate." Remember the line: "Division of labour is limited by the extent of the market."