Horizontal integration of industry in late 19C. Compare and contrast Old & New school business historian's approach to explanin Carnegie & Rockefeller - Essay Example

Comments (0) Cite this document
The late 19th century in the United States experienced the widespread institution of factories and mechanical production. With the emergence and rise of big business there also emerged a growing…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER94.8% of users find it useful
Horizontal integration of industry in late 19C. Compare and contrast Old & New school business historians approach to explanin Carnegie & Rockefeller
Read TextPreview

Extract of sample "Horizontal integration of industry in late 19C. Compare and contrast Old & New school business historian's approach to explanin Carnegie & Rockefeller"

Horizontal Integration of Industry in the Late 19th Century The 19th century was a seminal period of industrial growth in Western society. The late 19th century in the United States experienced the widespread institution of factories and mechanical production. With the emergence and rise of big business there also emerged a growing vertical and horizontal integration of large manufacturing firms. Horizontal integration is a business strategy where a firm acquires another firm’s operations at the same level in the value chain. This process functions as a means of consolidating power in an industry and can lead to monopoly situations. This essay compares and contrasts ‘Old School’ and ‘New School’ perspectives of horizontal integration.
The old school perspectives on horizontal business integration emerged from theorists during the early part of the 20th century until the 1970s. This is contrasted with the new school forms that took on varying paradigms between the 1970s and the present day. The old school perspectives on horizontal integration largely emphasized biographical information of the participants. For instance, in the case of Rockefeller conflicting biographical perspectives on his life were considered, with one view emphasizing his contributions to social progress and innovation, and the other casting Rockefeller as a greed obsessed shark. One considers Rockefeller’s horizontal integration through Standard Oil as he systematically Within these perspectives historians such as Mathew Josephson labeled Rockefeller a ‘robber baron’ citing examples such as cheating and unfairness, as well as the diminished living conditions of many of the lower-tier workers involved in his operations. Still, other theorists herald these actions as cutting edge entrepreneurship.
Andrew Carnegie was another prominent individual examined by the old school and new school perspectives on industrialization. Similar to old school perspectives on Rockefeller, old school perspectives divide Carnegie’s horizontal integration through his Carnegie Steel Company along critical progressive lines and that heralded him as an industrial statesman. Individuals such as Harold Livesay, writing in an old school perspective, considered him a ‘master moneyman’ for his financing capabilities. He is also heralded for revolutionizing internal business elements and only engaging in horizontal integration when necessary. New school approaches consider corporate this organizational structure and management strategy. Prominently articulated by Alfred Chandler, this ‘Chandlerian new school view positions external market forces as a key driver of business decisions. While old school perspectives imbued moral dynamics into the equation, new school perspectives on Carnegie Steel and Standard Oil’s horizontal integration worked to establish an objective interpretation of events. Specific sorts of new school insights into these individuals are that the nature of supply and demand and the increasing shifting lines of American society and capitalist production in the late 19th century deterministically propelled Carnegie and Rockefeller’s venture into horizontal integration. In these instances it’s not so much the character of the barons, but the social forces that compel their decisions.
Ultimately, in terms of my own perspectives on Carnegie and Rockefeller’s horizontal integration practices, I currently believe that moral proscriptions are appropriate, but only to the extent that the individuals involved adhered to governmental regulations. While Carnegie may have more outwardly seemed socially responsible this can in part be attributed to external market elements. Although it is possible to retrospectively deride Rockefeller for being overly greedy, the reality is that corporate businesses are like sharks in that they must constantly be moving or die. The moral responsibility of these men then was to ensure that their businesses succeeded within the confines of governmental regulations. To this degree they were both highly successful and upstanding citizens. Read More
Cite this document
  • APA
  • MLA
(“Horizontal integration of industry in late 19C. Compare and contrast Essay”, n.d.)
Horizontal integration of industry in late 19C. Compare and contrast Essay. Retrieved from
(Horizontal Integration of Industry in Late 19C. Compare and Contrast Essay)
Horizontal Integration of Industry in Late 19C. Compare and Contrast Essay.
“Horizontal Integration of Industry in Late 19C. Compare and Contrast Essay”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Horizontal integration of industry in late 19C. Compare and contrast Old & New school business historian's approach to explanin Carnegie & Rockefeller

Compare / contrast

...?This is a comparison and contrast between Cinderella and Ashputtle. Both the stories are very similar with only minor differences which will be discussed below. Both the stories essentially follow the same storyline but there are some changes. Charles Perrault’s focuses on the simplicity and kind heartedness of Cinderella who never wishes badly for anyone. Her father is described as a weak individual and is not a prominent character in the story (Perrault). More focus is kept on Cinderella and her fairy Godmother. The Fairy Godmother keeps on telling Cinderella to be a good girl and Cinderella listens to her. Cinderella is shown as a very kind-hearted and innocent girl who always does good to others. Hence in the end Cinderella... her...
2 Pages(500 words)Essay

Old School Culture and a New Principal

...? CASE STUDY Old School Culture and a New Principal ……………………. College ………………………… ……………………… Introduction In the initial stage of the twentieth century, many schools grew from single-room school into schools with multiple phase, classrooms and grades. It necessitate for someone to manage these more complicated organizations. Even the need was initially filled by teachers themselves or principal teachers, but later most principals stopped teaching because of the increased demand for their time to be spent in the fulfillment of management responsibilities. While schools were continuing to grow, principal teachers became...
14 Pages(3500 words)Research Paper

Horizontal Integration

...above, implementing a horizontal strategy would be painstaking. Unlike Unilever, a corporate conglomerate, a pure horizontal integration would involve two separate brands, with their own set of values, practices, marketing techniques. Either brand may have to lose its identity to the either one. Or a whole new separate brand might be the outcome of the merger. In most cases, it is the one alpha brand which prevails and the business has to lose on the market which the other brand was targeting. The idea of expanding the market size through horizontal integration might not work altogether. In contrast to...
9 Pages(2250 words)Coursework

Vertical and Horizontal Integration

...intensive, and where increased competitive edge translates in increased revenues. Additionally, staying inside an industry reduces the risks of venturing into new areas where the company has no experience (Hill & Jones 2009, p. 286). Hill and Jones opine that the benefits of the horizontal model are only realized in the event the company, through the model, achieves lower costs, increases product differentiation, replicates the business model, reduces competition and increases bargaining power over suppliers and buyers (Hill & Jones 2009, p. 288). Horizontal integration can increase the operating efficiency of a company. For example, if...
10 Pages(2500 words)Essay

Compare and Contrast Integrated and Subjective Approach

...Compare and Contrast Integrated and Subjective Approach No one could effectively dispute that education is the main edifice upon which life opportunities would rest. It invariably determines and predicts the route charted by the youth of any nation. Although no one can predict the future accurately, people in leadership capacities such as teachers should make guesses about the probable future, and then plan appropriately. Teachers need to plan their curriculum such that students are equipped with the proper skills. As much as it sounds like an oft-repeated cliché, the fact remains that there would be hardly any society in any part of the world that would blatantly...
7 Pages(1750 words)Essay

New age hip hop vs old school

...New Age Hip Hop vs. Old School Introduction The changing trends in music can be attributed to the tastes and preferences of the listeners which are as a result of the generations that have different characters. For instance, in the 1990’s Kanye West could not have become a successful musician because he lacked the basics that were required at that time to qualify him as a musician (West 45). The advances that are brought about by technology are a stimulating factor for the changing music which has left the consumers with a variety of music to choose from and listen to. Audience The audience to the different music genre can never be the same. This is attributed to the...
2 Pages(500 words)Essay

Arauco (A): Forward Integration or Horizontal Expansion

...normal lines of operations (Masanel, Tarzijan and Mitchell, 6). Additionally, horizontal expansion eliminates the environmental concerns that would be introduced by forward integration to paper production, such as chemical by-products, gas emissions and the need for recycling and reuse, which were the major environmental issues that the government wanted the players in the industry to address. Through continued horizontal expansion, such concerns will be avoided. Works cited Hill, Charles W. L, and Gareth R. Jones. Essentials of Strategic Management. Mason, Ohio: South-Western/Cengage Learning, 2012. Print. Masanel, Ramon, Tarzijan, Jorge and Mitchell, Jordan. Arauco...
2 Pages(500 words)Case Study

Old School Research

...their light in all directions rather than directing their light towards the streets and the unnecessary lighting in homes. Effects of lighting lead to disrupting the sleeping cycle and corrupt kids curious nature (Peirce, 88). Thermal pollution Increasing of temperatures due to human activities leads to thermal pollution. These are the areas with vehicles and concretes or generally, a busy town this can also be because of excessive emission of carbon to the atmosphere by the industrial activities, thus, damaging the ozone layer. Increased temperatures lead to the death of aquatic animals and disrupt growth of plant life (Best, 80). Therefore, temperatures should be regulated. Visual pollution These are...
2 Pages(500 words)Essay

Vertical and horizontal integration strategy

...that will be later distributed in the market and sold. For a time, this strategy became very effective and contributed to Ford’s success. This strategy of vertical integration however eventually became obsolete as supply chain became complex and competition became stiffer. The introduction of new supply chain and inventory control such as Toyota’s Just-in-Time rendered vertical integration out of fashion. The recent recessions also exposed the vulnerability of vertical integration to economic and cyclical downturns. Thus, the strategy evolved to horizontal integration which is more appropriate for its global market. ...
1 Pages(250 words)Assignment

Supply Chain Management, Vertical Integration and Horizontal Integration of Business Structure

...the coal was cooked. SteelOne was as well focused a lot on developing talent within from the bottom up, relatively than bringing in it from other corporations (Folsom & McDonald, 2007; Supply Chain Integration, 2008). Now I will discuss the horizontal integration based corporate supply chain strategy. Dell is a supreme corporation in the PC industry. The business of Dell is operating by using the horizontal integration based corporate supply chain strategy. The new and enhanced supply chain strategy has made the Dell’s dominance of the PC business that has terrible outcomes for...
10 Pages(2500 words)Research Paper
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Horizontal integration of industry in late 19C. Compare and contrast Old & New school business historian's approach to explanin Carnegie & Rockefeller for FREE!

Contact Us