Free Cash Flow Projects - Operating Margin

Hi WSO Community,

I had a question regarding projecting the operating margin in a free cash flow calculation. According to Breaking into Wall Street, "you could make an argument for decreasing this percentage over time due to economies of scale..."

Shouldn't it be the other way around and economies of scale would cause the operating margins to increase due to cost advantages?

Thank you in advance!

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Free Cash Flow Projects - Operating Margin

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Free Cash Flow Projects - Operating Margin

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