Division of labor refers to the separation of a complex production process into small tasks that are assigned to different workers. While this strategy can lead to increased productivity and efficiency, it is limited by the extent of the market and the availability of specialized skills.
The extent of the market refers to the size of the potential customer base. If the market is small, it may not be possible to divide the labor efficiently, as the production volume may not justify the cost of specialized workers or equipment.
Similarly, the availability of specialized skills is a critical factor in division of labor. If the required skills are not available, it will be challenging to assign tasks effectively, leading to a decrease in productivity and efficiency.
In contrast, the problem of mass production and non-availability of money are not direct limitations on division of labor. Mass production can benefit from division of labor, while non-availability of money may affect overall production levels but not the ability to divide labor.