Do Now --- 10/22
Do you think Wal-Mart is good for America?
Why or why not?
Rise of Big Business
Rise of Big Business
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Rise of Big Business
Robber Barons
Captains of Industry
•Increased # of
•Steal!
goods
•Drain Resources •Expand markets
•Influence Govt
Provide jobs
•
•Defeat competition •Higher standard of
•Low wages &
living
conditions
•Public service
Big Business
Big Business
Social Darwinism - survival of the fittest
Advantages of Big Business
Larger pools of Capital - Loans
National Market
Take over all stages of production
Owners take a decreased role
New managements techniques
Capitalism
Capitalism
Total motivation for profit - go all out (cheating and
all)
Capitalism
Total motivation for profit - go all out (cheating and
all)
Oligopoly - a few rule at the top
Capitalism
Total motivation for profit - go all out (cheating and
all)
Oligopoly - a few rule at the top
Monopoly- one rules at the top
Capitalism
Total motivation for profit - go all out (cheating and
all)
Oligopoly - a few rule at the top
Monopoly- one rules at the top
Cartel - alliance to keep prices low between
competitiors
Carnegie Steel
Carnegie Steel
1889 by Andrew Carnegie
Carnegie Steel
1889 by Andrew Carnegie
Gain enough $$$ to control all aspects of
production
Carnegie Steel
1889 by Andrew Carnegie
Gain enough $$$ to control all aspects of
production
Keep prices lower than competitors
Carnegie Steel
1889 by Andrew Carnegie
Gain enough $$$ to control all aspects of
production
Keep prices lower than competitors
Drive out competition
Carnegie Steel
1889 by Andrew Carnegie
Gain enough $$$ to control all aspects of
production
Keep prices lower than competitors
Drive out competition
Vertical consolidation
Standard Oil
Standard Oil
John D. Rockefeller founder
Standard Oil
John D. Rockefeller founder
Make a big company that could buy out the
competition
Standard Oil
John D. Rockefeller founder
Make a big company that could buy out the
competition
Drive out by lower pricing than competitors
Standard Oil
John D. Rockefeller founder
Make a big company that could buy out the
competition
Drive out by lower pricing than competitors
Get full control of an industry and set prices to
what you want!
Standard Oil
John D. Rockefeller founder
Make a big company that could buy out the
competition
Drive out by lower pricing than competitors
Get full control of an industry and set prices to
what you want!
Horizontal consolidation
Public feelings
Public feelings
Competition too limited?
Public feelings
Competition too limited?
Wanted a govt break-up to increase competition
Public feelings
Competition too limited?
Wanted a govt break-up to increase competition
Worker conditions needed to be improved
Public feelings
Competition too limited?
Wanted a govt break-up to increase competition
Worker conditions needed to be improved
Growing skeptical of big comanies
Public
Public
Knew that they were doing good - Carnegie
donated 80% of his profit to public!
Public
Knew that they were doing good - Carnegie
donated 80% of his profit to public!
Lowered prices of products and benefit society?
Sherman Anti-Trust Act
Sherman Anti-Trust Act
Outlawed competition that restrained interstate
trade or commerce
Sherman Anti-Trust Act
Outlawed competition that restrained interstate
trade or commerce
Backfired - Made it tougher to form labor unions
Checkpoint
Checkpoint
Why were “industrialists” called Robber Barons
AND Captains of Industry?
Checkpoint
Why were “industrialists” called Robber Barons
AND Captains of Industry?
How did Social Darwinism affect American views
on big business?
Checkpoint
Why were “industrialists” called Robber Barons
AND Captains of Industry?
How did Social Darwinism affect American views
on big business?
In what ways did Big Business differ from small
business?
Checkpoint
Why were “industrialists” called Robber Barons
AND Captains of Industry?
How did Social Darwinism affect American views
on big business?
In what ways did Big Business differ from small
business?
How did industrialists gain a competitive edge
over their rivals?