Unit 6 Lesson 2: Big Business Flashcards
Who was Andrew Carnegie and how did he get rich
Carnegie built his fortune in steel. By adopting innovations such as the Bessemer Process, the Carnegie Steel company produced higher quality steel than anyone else. Plus, they did it more efficiently.
How did Cornelius Vanderbilt earn his money
Vanderbilt’s wealth came via miles and miles of new railroad tracks made of Carnegie steel.Railroads were relatively small, with regional service areas. Vanderbilt bought these small railroads, joined them, and created an interconnecting transportation network.
What did John D. Rockefeller do
Rockefeller was an early investor in the new oil industry.: It replaced whale oil as the fuel of choice for lighting homes and businesses. Anticipating the development of other uses for oil, Rockefeller began buying refineries. By creating a trust to oversee his company, he set the example for other business owners who wanted to monopolize their industry.
Who was J.P Morgan
J.P. Morgan made his money by managing money for others. As a financier, he provided both financial resources and business expertise to leaders in many different industries. His skill at merging companies created some of the most recognized businesses today, including General Electric and International Harvester. Without Morgan’s leadership, some industries would likely have gone bankrupt.
What process enabled Carnegie to produce higher quality steel?
the Bessemer Process
How did the interconnected railroad network affect the market for goods?
The interconnected railroad network made it possible for markets to go national. Companies could now sell their goods and transport them across the country.
What new product replaced whale oil for fuel in homes and businesses?
: Kerosene was a new product refined from crude oil that replaced whale oil as a fuel source for lighting.
What was the lasting impact on America due to these leaders of industry?
America became more competitive in the global market because of the legacies of Rockefeller, Morgan, and Carnegie.
How did Rockefeller affect government legislation of businesses?
Rockefeller established a monopoly by merging companies into a trust which eventually led to the creation of anti-trust laws to protect competition.
What did Cornelius Vanderbilt do in the beigning of his career
Vanderbilt started out as a ferry boat operator between Staten Island and Manhattan in New York. He worked his way up to a steamship captain and eventually became one of the nation’s largest steamship operators.
Where did Vanderbilt’s railroad start and finish
. In the 1860s, he created a railway system between the East coast and the Midwest by establishing a vast system of railroads spanning from New York to Chicago.
Why was the befnit of connecting serveral smaller railroads together
. By connecting several smaller railroads, Vanderbilt was able to simplify processes, transportation schedules, and shipping timetables.
Vanderbilt played a key factor in the building of…
He was a key factor in the building of Manhattan’s Grand Central Depot, which would later be the foundation for the present-day Grand Central Terminal (also known as Grand Central Station).
How did the Vanderbilt University come to be
Later in life, he also donated $1 million to establish Vanderbilt University in Tennessee.
What did Andrew Carneige do in the begning
Andrew Carnegie started as a cotton factory worker. He became a division superintendent in the railroad, then began investing in different ventures, such as iron and oil, to gain success.
What did Andrew Carnegie start his steel empire
s. In the early 1870s, Andrew Carnegie co-founded his first steel company, near Pittsburgh. Over the next few decades, he created a steel empire.
What did Carnegie use vertical integration
Carnegie used vertical integration to maximize his profits and minimize any inefficiencies by controlling every step of production, from raw material to finished product.
What was vertical intergartaion
He bought iron mines, factories, and some of the transportation systems involved in steel-making in order to feed materials to his railroad manufacturing company.
How did Carnegie use the Bessemer Process
One strategy utilized by Carnegie was to implement a new process for steel-making known as the Bessemer Process.
Carnegie was well-known for his philanthropic efforts. What did he do
After leaving the steel industry, he gave money to build libraries, fund scientific research, and enhance music education. He also acquired the land and gave money for the construction of Carnegie Hall, a well-known concert venue in New York City. Carnegie’s charitable contributions were over $350 million during his lifetime.
How does vertical integration work?
Vertical integration is a process in which a company owns the supply chain for its product. Once a company has greater control of its supply chain, there is more flexibility when setting prices.
