1.  Model Document 1 as a class  Work on Document 2 in small groups  Documents 3-9: If you’d like to get points back on this assignment, you need to complete it for homework. Fresh copies of the worksheet and scans of the documents are available on the class website. Corrections are due by Friday, April 11 th at the latest (when all reading analysis worksheets need to be completed and submitted)

2.  Warm Up #1: It’s April Fool’s Day! Tell me the best (school appropriate!) joke that you know.  P.S. Ms. Gammie loves puns!

3.  Warm Up #2: What do you think of when you hear the word “corporation”?

5.  In response to the higher demand for goods, business owners were seeking to increase their production and therefore make a greater profit  Andrew Carnegie introduces new business techniques, and other owners borrow his ideas  Incorporates the latest technology  Offers stock in his company

6.  Ownership of a piece of a company  Also known as “shares” or “equity”  Why purchase stock?  You could get rich!  Imagine I purchased on share of Google in 1998. If I still owned that stock today, it would be worth $767!  BUT the stock is only worth something when you sell it. Until then, it is virtual money.  Therefore, speculation about when stock prices will go up and down drives the stock market

7.  Company #1 – Shekkie’s Shack:  This company is a fast food restaurant that has been incorporated for one year (meaning that they now sell stock in the company and are not a privately owned company). They are a restaurant chain that focuses on burgers, fries, and shakes. They have expanded from 30 restaurants to 300 restaurants in the last year. Their mascot is Shekkie the Clown and they plan on maintaining a small, limited menu of high-quality fast food.

8.  Company #2 – General Electric:  This company is reliable and stable and has been incorporated for over 100 years. They have a diverse product line that includes electric appliances for home and businesses.

9.  Company #3 – Crimean Adventures:  This company has been incorporated for 30 years. They are a travel company that focuses to Crimea, a region of Ukraine on the Black Sea. They are knowledgeable on what is available in Crimea and can plan a luxury vacation or a backpacking adventure – whatever the customer desires.

11.  Corporations are considered “legal persons,” meaning they can be tried or can sue as if they were a human being.  Example: Apple suing Samsung for patent violations on the iPhone

12.  Owned by shareholders  Managed by a board of directors

13. ….The risk is assumed by the stockholders Remember this for later!

14.  A business strategy where a company acquires ownership over similar products.  The goal: Create a monopoly over that product  Example: Carnegie bought out competing steel producers  Think: Buying out across the market

15.  A business strategy where a company buys out all stages of production  The goal: Control the making of the product from beginning to end and not have to rely on suppliers  Example: Carnegie bought out coal fields and rail lines to produce his steel  Think: Buying out below the final stage of production

17.  In the groups at your tables (between 2-4 students), create a visual representation of HORIZONTAL and VERTICAL integration.  You will be assigned an industry.  See Ms. Gammie’s example

18.  Two different names for the same job  Let’s take a closer look….

20.  Business leaders who made a fortune by stealing from public.  Drained natural resources, paid low wages to workers, required long hours of employees

21.  They persuaded public officials to interpret laws in their favor.  They ruthlessly drove their competitors to ruin. Paid their workers meager wages and forced them to toil under dangerous and unhealthy conditions.

22.  The business leaders served their nation in a positive way.  Increased the supply of goods by building factories.  Raised productivity and expanded markets.

23.  Created jobs that enabled many Americans to buy new goods and raise their standard of living. Also created museums, libraries, and universities, many of which still serve the public today. Carnegie Hall Carnegie Mellon University

24.  Concern for human welfare, usually manifested by donations of money, property, or work to needy persons. Usually through institutions of learning and hospitals, and by generosity to other socially useful purposes.

25.  Robber Baron – negative Captain of Industry – positive

26. Andrew CarnegieJohn D. Rockefeller