Apple hires...

An error of scale is when you look at what other people do and ignore how large their company is, while thinking they have a really good idea. For example, some really large operations devolve their toner-cartridge exchange process to the guys who also replenish their toilet rolls: in a small operation with only two IT staff this would be madness. Not just due to the potential for error, but also because a quick visit to do a simple job can often produce quite unexpected snippets of feedback and diagnosis.

Other businesses that have very large repetitive data sets (distributors of glasses and cable ties, for example, would fall into this category) sink years of work into compiling a data warehouse: not really appropriate if, for example, your yearly business is only a dozen orders and each one is bespoke.

There are converse errors of scale too: the most common is to decide that because you're a small business, tools with "Small Business" stuck on them are appropriate to you. Those tools are for businesses with small demands on hardware and software, which is increasingly rare these days. Don't feel bad if you have outgrown some arbitrary market division metric dreamed up to justify staggered pricing in a marketeer's fantasy.