From Invention to Industrial Growth

ASU HST 200 (Historical Themes) Industrialization and the Rise of Big Business, 1870-1900 From Invention to Industrial Growth As was previously said, innovations in the domains of communications and electricity, together with novel techniques in steel refining, revolutionized the nineteenth-century corporate environment. With the appropriate combination of ambition and commercial ability, along with sufficient financial support, entrepreneurs may generate significant profits from the exploitation of these new technology. In the past, some of these newly wealthy individuals were referred to as "robber barons," a derogatory epithet that implied that they had taken advantage of employees and broken the law in order to prosper. Whatever one's opinion of them, these entrepreneurs and the businesses they founded transformed American commerce. The forces of industrialization and the emergence of big business caused a major upheaval of the American economy between 1870 and 1900. Communication innovations like the telephone and telegraph made it possible to communicate over great distances more quickly and effectively. In the meantime, advances in electricity led to the creation of electric power and lighting systems, which transformed industries and accelerated urbanization. The improvement of steel production methods was one of the major breakthroughs of this era. Large-scale production of high-quality steel was made more affordable and simpler by innovations like the Bessemer process, which proved crucial for the building, transportation, and many other sectors. Buildings like skyscrapers, bridges, and railroads were made possible by this spike in steel output, which served as a metaphor for the rapid expansion of American industry. The chance to profit from these new technology was grabbed by businesspeople who saw their potential. Equipped with aspiration, business savvy, and financial means, they established companies that would go on to rule their respective markets. These businesspeople, also known as "robber barons" or "captains of industry," were instrumental in determining the direction of the late nineteenth-century economy. The phrase "robber baron" wasn't always accepted. Some praised these people as geniuses whose inventions spurred economic expansion and employment creation, while others denounced them for their brutal business methods. Certain industries, like oil and railroads, have monopolistic tendencies, which has given rise to claims of unfair competition and exploitation. Opponents said that these firm owners used unethical business tactics, such as bribery and collusion, to abuse employees in order to accumulate their fortune. There is no doubting the significant influence these business owners had on American trade, even in light of the morally dubious nature of their activities. Their companies changed entire sectors of the economy, resulting in more output, cheaper consumer costs, and the emergence of new markets. For example, the building of more railroads made it easier for people and products to travel across the nation, establishing connections between far-flung areas and promoting economic development. But the emergence of large corporations also brought with it serious social and economic problems. Large businesses grew to dominate important industries, giving them tremendous influence over the government, the workforce, and customers. Workplace conflicts, like the historic Pullman Strike of 1894, brought attention to the escalating hostilities between employees and business interests. Labor unions were a potent force fighting for workers' rights and improved working conditions in reaction to these confrontations. Concerns over income disparity and the deterioration of democratic ideals were also raised by the concentration of wealth in the hands of a small number of extremely wealthy people. Reformers and politicians advocated for government action to control corporate behavior and weaken the influence of monopolies. For instance, the Sherman Antitrust Act of 1890 forbade monopolistic and anticompetitive conduct in an effort to foster competition. In conclusion, American industry saw unparalleled expansion and innovation between 1870 and 1900. Technology and transportation advances were seized upon by entrepreneurs to create enormous corporate empires that completely changed the country's economic structure. However, social unrest and economic injustice were also brought about by this industrialization age, which sparked discussions about the proper role of the state and the morality of capitalism. Notwithstanding these difficulties, the emergence of large corporations established the framework for the contemporary industrial economy and influenced the course of American society for many years.