Horizontal Integration, Vertical Integration, and Social Darwinism

Horizontal Integration Joining together and controlling as many firms from the same industry as possible. Ex.- Standard Oil Company bought up all the refineries to gain control of the refining industry.

Vertical Integration Taking control of each step in the production and distribution of a product, from acquiring raw materials to manufacturing, packaging, and shipping.

Social Darwinism Based on Charles Darwin’s theory of evolution, this belief held that the best run businesses led by the most capable people would survive. It is “survival of the fittest” in the business world.

Laissez-faire People who believed in big business and little government interference believed in laissez- fair. It is from the French, meaning “allow to do.” To businesses, it meant “leave business alone.”