Corporate consolidation movement

pools were ineffective because

Companies could leave the cooperative arrangement or change its terms on a whim. In highly competitive markets, pools were exceptionally unstable and ineffective in promoting long term growth

Vertical Integration

Practice where a single entity controls the entire process of a product, from the raw materials to distribution as a way to predict cost of production

what did this movement allow

industrialists created and managed national enterprises

Corporate consolidation movement tried to do what as a whole

make competitive industrial economy more predictable

the pool was created to prevent

ruinous competition among tightly clustered competitors

what was the first try

the pool

economic of scale were a double edged word why

while additional production provided immense profits, the high fixed costs of operating expensive factories dictated that even modest losses from selling under-priced goods were preferable to not selling profitably priced goods at all