The Rise of Big Business

Henry Bessemer Created a cheap and efficient process for making steel

Thomas Edison Perfected the incandescent light bulb Enabled factory work to continue after dark

Alexander Graham Bell Invented the telephone Along with telegraph made communication easier

Mergers/Monopolies Mergers: when one corporation buys out the stock of another company Monopoly: complete control over it’s industry’s production, wages, and prices

Andrew Carnegie Controlled Steel Industry Wrote “Gospel of Wealth”, said those with money should help others

Vertical Integration A company’s taking over its suppliers and distributors and transportation systems to gain control over the quality and cost of its product Used by Carnegie

John D. Rockefeller Oil Industry Company was called Standard Oil

Horizontal Integration Taking over competition in order to create a monopoly within a certain industry Used by Rockefeller

J.P. Morgan Banking and investing

Cornelius Vanderbilt Railroads and transportation

Robber Barons Name given to big business leaders Controlled industry through monopolies Often put smaller companies out of business

Social Darwinism Economic and social philosophy holding that a system of unrestrained competition would result in survival of the fittest Advocated by big business leaders

Horatio Alger Author who wrote “rags to riches” stories Showed how young men could achieve success through hard work

The Gilded Age Term coined by Mark Twain to describe the late 1800’s Prosperity of the few covered up the struggles of the majority