Advantages of Big Business?
Greater Efficiency, economies of scale (savings in cost), manager system (Delegation of power), productivity studies (Frederick Taylor suggested the assembly line)
Disadvantages of Big Business?
unfair competition practices, corruption and bribery, destroyed labor union movements
Tactics used by labor unions?
Strikes, Collective Bargaining, Arbitration(federal judge)
Injunction Definition
Court orders that required workers to stop striking or engaging in certain labor activities. (greatly weakened powers)
Strikes Definition
Organized work stoppages to demand better wages, hours, conditions.
Boycotts Definition
Organized refusal to buy products from a certain company.
Lockouts Definition
Employers closed workplaces to prevent employees from working during labor disputes
Blacklists Definition
Lists of workers who were considered troublemakers and denied employment
Collective Bargaining Definition
negotiation between workers and employers over wages, hours and working conditions.
Trust Definition
Business arrangement where multiple companies were managed under a single board to reduce competition (Led to monopolies)
Holding Company Definition
A company that owned enough stock in other companies to control them
Merger Definition
the combining of two or more companies into 1 larger one
Importance of Andrew Carnegie
Carnegie→ Steel “Gospel of Wealth” (Duty to take care of less fortunate)
Importance of John D. Rockefeller
Rockefeller→ Oil
Importance of JP Morgan
JP Morgan → Investments + Banking Eventually buys out Carnegie, forms General Electric.
Importance of Andrew Carnegie, John D. Rockefeller, and JP Morgan
Look great to the public because of philanthropy but below the surface are all corrupt and abuse their workers.
Explain business techniques of Vertical Integration
Vertical →controlling business related to primary. all means of Production.
Explain business techniques of Horizontal Integration
(U.S. Oil) Bought Independent Oil Refineries to send it to the company. Controlling the Same type of business becoming a monopoly.
Important inventions and inventors that revolutionized business in America
Telephone - Alexander Graham Bell
Light bulb - Thomas Edison
Electric Power - Nikola Tesla (AC POWER)
Bessemer Process - quick easy way of making steel
typewriter - Christopher Sholes
photography
phonograph (record player)
radio - Nikola Tesla
retail stores - sears
canned foods
Haymarket Square Strike
Chicago strike of 1886 (strike over police brutality) bomb thrown at protest. Several people were killed (7 police, 3 workers). Union activity was blamed for the violence, several union leaders were convicted and executed, leading to a decrease in labor unions.
Great RR strike of 1887
Baltimore and Ohio RR workers protest wages, strikes spread to others. Violente protests. Federal troops sent to restore order.
Pullman Coach Strike (1894)
United RR Workers, government steps in, Debs is jailed. Debs leaves prison as a socialist.
Homestead Strike
violent strikes between workers and owners, damaged Carnegie (working conditions)
Ludlow Strike
violent strike in a mine owned by Rockefeller