| part | more |
| New Production Methods, Inventions, and Advertising | Assembly Line New inventions
Advertising |
| Assembly Line | Allowed businesses to mass produce goods
Led to cheaper goods |
| Henry Ford | Perfected the assembly line
Model T-first affordable car |
| New inventions | Light Bulb Telephone |
| Light Bulb | Thomas Edison
allowed factories to stay open later=more production=more money |
| Telephone | Alexander Graham Bell
Faster communication made it easier to place and receive orders |
| Advertising | Convinced people to buy products that were massed produced |
| Examples of Advertising | billboards
Newspaper
Catalogs
Pop terms
Street cars
Magazines |
| The Railroad Changes American Industry and Life | Created faster and cheaper transportation
Railroad expansion led to the growth of other industries
Railroad Barons controlled railroad traffic |
| Created faster and cheaper transportation | Refrigerated rail car-made it possible to ship meat without spoiling |
| Railroad expansion led to the growth of other industries. | Allowed business to ship products faster. |
| Examples of industries that grew. | Steel Lumber Coal |
| Railroad Barons controlled railroad traffic. | Vanderbilt, Huntington. Stanford.
Consolidated the railroads.
Gave rebates, or discounts to gain customers
Created pools for secrete agreements, to cut out the competition. |
| The Rise of Big Business | Factors of production
Raising capital
Business Practice
Captains of Industry/Robber Barons |
| Factors of Production | Land
The land itself |
| Natural resource | Coal
Lumber
Iron
Ore
Oil
Steel |
| Labor | Workers
turn raw material into goods |
| Capital | machines
Buildings
Tools
money for investment- selling stock and savings |
| Raising capital | Needs to
pay workers
Buy Materials
Pay for advertising |
| Selling stock
corporations-companies that sell stock to the public
Stock is a share of ownership in the business |
| Horizontal Integration | the purchase of companies in the same industry
Example: An oil company buys other companies |
| Monopoly | When a single producer/company has control of an entire industry
Vertical and horizontal integration can lead to a monopoly |
| Captains of Industry/Robber Barons | John D. Rockefeller
Cornelius Vanderbilt
Andrew Carnegie |
| John D. Rockefeller | Oil industry
Bought out other companies
Controlled 90% of the country’s oil.
Started his own oil refinery that became the biggest in Cleveland
Owned 50 of ‘em |
| Cornelius Vanderbilt | Railroad industry
Invested money in railroad industry.
Steamship captain nicknamed “Commodore.” Made a fortune with his own steamship line. |
| Andrew Carnegie | Steel Industry
Started his own business
Sold his steel company to J.P. Morgan for $447,000,000. |
