Scaling is necessary because it allows the market to be more efficient. It allows businesses to grow and expand more easily, which saves time and money for both consumers and producers. Additionally, it creates competition between companies that drives innovation forward, leading to better products or services being produced at lower costs over time.
Scaling is a key component of economic growth, allowing new ideas to spread from one business to another easily and quickly. Of course, there are risks involved with scaling as well - if a company grows too fast or focuses on expanding in the wrong areas, they may find themselves unable to keep up with demand or facing significant financial losses due to poor decision making.
However, overall, most economists agree that scaling is beneficial for businesses and economies, and therefore is an important piece of continued economic development.