Chapter 16 Industrialization Notes

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Chapter 16 Industrialization Notes

• Vertical Integration-
• Purchase of all Levels of Production.

Horizontal Integration- Purchasing of Competing
companies in the Same Industry.
Ace Meat Industries
Standard Oil company
Delivery Wagons
Meat Packing Plants
Cooled Warehouse
Independent Oil Company
Refrigerated Railroad Cars
Slaughter House
Cattle
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• Factors Behind Industrialization
• Abundant Natural resources
• Cheap immigrant labor force
• High tariffs that reduced foreign goods
• National communication and transportation
  networks

Growth of Business

• Little or no government intervention
• Development of pools, trusts, holding companies,
  and monopolies
• Small businesses could not compete with
  economies-of-scale of large businesses
• Practices of some big businesses sometimes
  limited competition

• Changing Workplace
• Rural migration and immigration created large,
  concentrated workforce
• In large-scale industries, low wages, long hours,
  and dangerous working conditions were common
• First large unions formed but had little
  bargaining power against large companies

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Cause Effect

• Cause
• Railroad Boom spurs business
• Businesses become corporations
• Nation has rich supply of natural resources
• New inventions make business more efficient

• Rise of Industry
• Steel and Oil become giant Industries
• Monopolies Trusts dominate important industries
• Factory workers face harsh conditions
• Membership in labor Unions grows

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Main Topics Review

• Railroads Industry
• After civil war, thousands of miles of new
  railway lines were built, creating nationwide
  rail network.
• Despite man abuses by large railroads, the growth
  of railroads stimulated the nations economy.
• Big Business
• In the 1800s, steelmaking became a huge source
  of wealth power for American Companies.
• Large Corporations formed trusts monopolies to
  control competition and maximize profit.
• A Flood of Inventions
• Advances in communication in the late 1800s
  included the laying of the first transatlantic
  telegraph cable and the invention of the
  telephone.
• At his research laboratory, Thomas Edison
  invented the light bulb, the phonograph, and
  hundreds of the of the other useful devices,
• Through his use of the assembly line, Henry Ford
  made it possible for millions of Americans to
  afford a automobile.
• Labor in the Age of Industry
• Though various labor unions had differing ideals
  and methods, they all worked to improve working
  conditions and pay for workers
• Labor unions made slow progress at first because
  few Americans supported their goals.