Andrew Carnegie And John Rockefeller And Their Impact On Us Economy
After the Civil War, the US economy was in a rough patch but with the help of Andrew Carnegie and John D. Rockefeller, the US economy would be back in business and would stand on top from the rest of the world. Andrew and John were one of the most successful businessmen in America during the 1800s and early 1900s. They both owned massive empires worth millions and billions and their businesses helped contribute to America in many ways. Andrew was a Scottish immigrant who migrated over to the U.S. and in 1873 he decided to open his own steelworks company. Soon after the opening of his company Andrew Carnegie was on top of the industry by holding most of the market. The success of the business made him one of the world's wealthiest men. Although the Steel Industry was a massive market the Oil Industry was also huge. John D. Rockefeller was the owner of Standard Oil and just like Andrew Carnegie, Rockefeller was of the richest men in the world but also owned most of the Oil market. Rockefeller was born in New York and had worked with Oil almost all his life. Both of these successful businessmen changed their industries and showed power and dominance for years.
When looking at Andrew Carnegie and John Rockefeller, they both had many things in common. One of them being that they both grew up poor and both started with low paying jobs at a young age. They started their own companies in major industries during the mid-late 1800s which both companies would then go on to dominate each industry. During the process of their growth, they each eliminated their competitors. At the same time they both had branches of the company around the united states and even both had a factory/plant in Pittsburgh. Both had bought a means of transportation in order to be able to ship their products around the nation. Soon they would become some of the wealthiest men in the world and their companies would turn into monopolys. Not only did their companies help them personally but they helped the nation's economy tremendously after the civil war. They both were philanthropists, giving away millions to multiple causes, including research, charities, and education. By having such similarities goes to show why their business was so successful and why they are known as such powerful influencers.
Even with all their similarities, they can also differ in a lot of ways. Starting with Andrew Carnegie, he was born in Dunfermline, Scotland in 1835 and moved to America at the age of 13. Shortly after Andrew worked for a number of factory and railroad jobs before starting his own company. After choosing to leave work to focus on the steel industry, he then decided to start a business named Carnegie Steel Company. His methods during this time were revolutionary on how his steel manufacturing plants worked. This technology made it faster and more productive which is one reason why his company grew the way it did. Another reason why Andrew was so dominant was because he used vertical integration. This method meant that he controlled on only the steel industry but he had control over certain products that help contribute to the steel industry. By 1889 his steel company was the largest in the world and had dominated his competitors. In 1901, Andrew sold his company to the United States Steel Corporation for around 200 million. Later in Andrew Carnegie's life, he decided to donate almost all of his money towards thousands of libraries and even universities across the nation before he passed in 1919. John D. Rockefeller was born in New York in 1839 but moved to Cleveland at the age of 14. In 1939, John opened his first company, working as a commission merchant in hay, meats, and grains. The company grossed about $450,000 in its first year. After a while. John saw an opportunity in the Oil industry and in 1863 he opened his first refinery company. 7 years later he incorporated the Standard Oil Company and became widely successful. He treated his workers well and gave them good pay and rest. He wanted his workers to feel like they were a part of his family and with that they worked hard for him. In his growth he used horizontal integration to grow his business. Also counting towards the success of his business he would lower the prices of his products so that his competitors could not match and would leave them to go out of business. He would buy out his competitors in order to be more dominant in the industry. Eventually John's company would own almost all of the oil business in the United States. Unfortunately for John Rockefeller, congress saw how the Standard Oil Company was too dominant for public goods. The Sherman Antitrust Act would pass meaning his company would have to branch out and run by others. After branching out congress still saw a resembling company and how it was still illegal under the Sherman Antitrust Act. This forced the company to dissipate. Rockefeller would eventually retire in 1895. While both John and Andrew gave away million, John ended up giving about 530 million to various colleges and research which is about 180 million more than Andrew did. Rockefeller passed away in Florida in 1937.
Andrew Carngie and John Rockefeller legacy will live on forever. Both of these men change the way business was run and how they shaped the US economy for the better. By having certain techniques and technologies to help their business run faster and make products cheaper paved the way on how businesses are run today. With the way they treated their works with respect and gave them better wages and gave them more breaks. All of this with the fact that they both gave millions of dollars to help fund universities and create thousands of libraries. They both had education as an important role towards their donations. To the way they showed dominance in the workforce and how they changed America forever, their legacy will continue to be a major factor in the way business is conducted today.
As we are able to learn from such powerful and smart business men who show us the power of monopoly. These men have contributed billions to the United States in a time when it was in need. Throughout the generations, people will continue to talk about what Andrew Carnegie and John D. Rockefeller did for the US economy and for future business in America. Their sacrifice and legacy will continue to live on forever.
