John D Rockefeller Flashcards
Rocky was raised by a
“Snake oil” dealer
John D Rockefeller monopolized what industry
Oil
What did Rockys father do
He sold fake cancer cures
In 1865 by age 25, rocky owns
The largest oil refinery in Cleveland
Rocky would leverage the size of his company to get deals with
The railroads, gets a shipping discount based on volume
Rocky demands from the railroads a
Kickback (rebate) on oil shipped by his competitors
How did Rocky bankrupt his competitors
He would enter new oil markets and sell his oil at bankruptcy prices, then he would wait…
And buy their company for 10 cents on the dollar
Rocky invested in lawyer and designs a business model called
The Trust
The Trust’s purpose was?
To hide his ownership of a vast majority of the oil industry
Explain Rocky’s “trustees”
Appoints shareholders on the board of directors
Trustees are Rocky’s puppets
What is Rocky’s business plan called
Horizontal integration
What is horizontal integration
Monopolizes the refineries only at first
What is the name of Rocky’s refinery company
Standard oil
Rocky shifts standard oil to a
And his business plan to
“Holding company”
Vertical integration
Rocky was Americas first
Billionaire
Who is Ida Tarbell
She’s a journalist
Her father was destroyed in business by Rocky
Ida Tarbell writes a
“History of the standard oil company”
A tell all about Rocky’s dirty dealings
What was the primary media of this time period
“General interest” magazines
Ida wrote for what magazine company
McClures magazine
What is Rocky’s response to Ida’s death by 10000 cuts
He ignores her
By doing this he violates a law of media, “the 48hr rule”
How did America view rocky
Most hated man in America
Symbol of the cold heartless corporation
