The Growth of Business and a National Market

Importance of transportation Foods able to be sold to other regions in the US Great Plains (wheat) Ranges on the west (beef) Gustavus Swift Refrigerated Car Citrus fruits/meats

Rise of Corporations McCormick Harvesting Machine Co. Mechanized farm equipment

Woolworth’s 5 and 10 cent stores National chain Changed the way people shop John Wanamaker Fixed pricing Gives way to advertising

The Robber Barons ) Modern-day businesspeople who allegedly engage in unethical business tactics and questionable stock market transactions to build large personal fortunes

Andrew Carnegie Rags to riches story Began working for the railroad Made his money through the Carnegie Steel Company

JD Rockefeller Made money with the Standard Oil company

JP Morgan Bought the Carnegie Steel Company Made money building railroads

Capitalism An economic system in which the means of production and distribution are privately or corporately owned and development is proportionate to the accumulation and reinvestment of profits gained in a free market Capitalism is a social system based on the principle of individual rights.

Big Business The structure of a company Owners are stockholders Run by a Board of Directors Headed by the CEO No laws regulate the conduct of business

Mergers Vertical—obtain all materials that produce a product Horizontal --- purchase all of the competition Monopoly Made illegal after the Sherman Anti-Trust suit (1890) Was not enforced until Roosevelt Oligiopoly When few companies control a market Pepsi/Coke/

Social Darwinism Survival of the fittest Theory of natural selection Natural process that weeds out the weak or less suited individuals