College Papers

ons for growth by joining with their competitions

ons of factors led to the development of the industrial systems. In this time, every person was farming, so it was not a necessary. All men then went straight to industrial work. They needed factory workers and different ways of transportation. The people were learning all the things steel and copper so it improved their economy greatly. They also improved on their communication, organizing large corporations, and raising capital. These systems developed the new industrial order. Railroads contribute to the rise of big business because they brought together shorter branch lines and were forced to formulate new managerial strategies to control their growing operations. “Although managers made operation systematic the struggle among railroad companies to dominate the industry was anything but precise and rational” (509). There was huge fixed cost and a couple of massive overexpansion which led to rate wars and many bankruptcies. Consolidation became the best solution to the problems of overcapacity and crushing competition. These alliances were often work of investment bankers who raise large amounts of capital or helped reorganize trouble firms. By the 1900 the new industrial systems had transformed American rail roads” (510). Businesses used many strategies to grow their business. Business grew in part to protect against competition. Some businesses learned a “horizontal strategy” for growth by joining with their competitions in many ways. For some business they learned a “vertical strategy” which led them to both outlets to consumers and sources of raw material. For example, Andre Carnegie did both building a fully integrated steel empire. Though there was growth but it also came with a cost because some Americans defended the new corporate order; others lashed out at its excesses. There were enormous economy disruptions. The banking system could not always keep up with demand for capital, and businesses failed to give enough profits to maintain the purchasing power of workers. With hard times came the fierce competitions as managers try to look for ways to cut cost.  Industrialization changed the lives of workers by a system that required people to work in new ways. For instance, the harsh discipline of productivity, the use of machine for mass productions, the routine of specialized task, and an organized time schedule. A ten-hour day and a six-day week were common to workers. The heavy machinery in increased the danger as well as the tedious factory work. Workers struggled to maintain control of their lives and work, holding the traditional belief in the American dream of success. Women and children also joined the work force, they made less than man. Blacks in the other hand found a few opportunities as strikebreakers but they got paid less than whites. Many Americans lives changed through the industrialization. Workers responded to industrialization in their own interest. For example, workers had to imitate business by organizing and integrating. A Minority tried to create unions and some sought societal changes. While others accepted the wages that the system provided and tried to improve the conditions within it, especially skilled workers. Violence was another respond to industrialization which provoked sharp reactions. Managers fought back with no strike contracts and strikebreakers. In the end the Government joined in suppressing worker resistance.