1. Andrew Carnegie
1899 Carnegie Steel
Improved quality and cut costs

3. John Rockefeller Standard Oil Trust Employees paid low wages
Drove out competitors with low oil prices
When he controlled 90% of the oil, he then hiked up the prices

5. Vertical Integration Bought out all his suppliers
Coal and iron mines → ore freighters → railroad lines
Controlled the entire manufacturing process

6. FOR SALE TO CONSUMERS
DISTRIBUTION
REFINING
TRANSPORTING
DRILLING AND EXTRACTING CRUDE OIL
DEPOSITS

9. Horizontal Consolidation
Tried to buy out competing steel producers
When he sold his company in 1901, it was producing 80% of the nation’s steel!

11. Social Darwinism and Big Business
Natural selection of weeding out the weaker individuals and enabling the strong to survive
Rich deserve their wealth and poor deserve to be in poverty

13. Robber Barons
Ruthless business men who stop at nothing to achieve wealth
Accused of exploiting workers, unfair labor practices, horrible working conditions

15. Captain of Industry
Leaders who transformed the American economy with their business skills
Philanthropic
(charity work)

16. Holding Company
Corporation that does nothing but buy out the stock of other companies
Creates monopolies
Example: JP Morgan bought Carnegie Steel in 1901 and combined it with his U.S. Steel