Rise of Big Business

Question 1

Partnerships

Answer 1

worked well for small businesses (ex clothing factories), but bigger businesses needed more capital than a couple people could provide (ex railroads)

Question 2

Corporations

Answer 2

a business that is owned by many investors
raises $ by selling stock- get dividends (percent of a company’s profits) from companies
Board of Directors-to ensure good use of $ - elected by stockholders

Question 3

Trust

Answer 3

group of corporations run by 1 BOD

Question 4

Rockefeller’s Oil trust

Answer 4

Bought enemies’ companies or ran them out of business
combined all of his businesses into the Standard Oil Trust- was a monopoly
inspired other entrepreneurs to do the same

Question 5

Robber Barons

Answer 5

Owners of trusts, called that bc while they were wealthy, they played dirty do gain wealth and ‘stole’ money from their workers

Question 6

Free Enterprise

Answer 6

depends on competition among businesses to give fair wages + quality products for good $