6.2

What were some features of the new big businesses?

Large amounts of capital Wider geographic span Broader range of operations Revised role of ownership New methods of management

How did the theory of social Darwinism affect the government's relationship to big business.

It affected the business because people who were not born into business could not become business men. This means that the big businesses would just get even bigger.

Why did the Sherman Antitrust Act seek to stop big business from forming trusts?

This kept two companies have an unfair advantage over other businesses to make the playing field even. This way no two or three companies could be way more successful than other companies.

How did methods such as vertical and horizontal consolidation, and factors such as economies of scale help companies dominate their markets?

Through horizontal consolidation, companies purchased competing companies. Through vertical consolidation and economies of scale, companies lowered production costs so much that other companies could not compete.

Andrew Carnegie and John D. Rockefeller were both giant industrialists. Compare and contrast the way they entered into, controlled, and dominated their respective industries?

andrew carnegie made his money through "vertical integration" -he became wealthy for his steel . through vertical integration, he owned US STEEL and ALL the steps to make the final products (steel). J.D. rockefeller made his money through "horizontal integration" for his OIL. It was STANDARD OIL actually. They both monopolized their industries using brutal tactics