The Visible hand : the managerial revolution in American business by Chandler Alfred D

The Visible hand : the managerial revolution in American business by Chandler Alfred D

Author:Chandler, Alfred D
Language: eng
Format: epub
Tags: Gestion d'entreprise, Industrie, Industries
Publisher: Cambridge, Mass. : Belknap Press of Harvard University Press
Published: 1977-03-15T05:00:00+00:00


Coming of the Modern Industrial Corporation [313

For these reasons enterprises that grew large in the 1890s by building their own marketing and purchasing networks continued to cluster in the food and machinery industries. In the 1890s Andrew J. Preston created a refrigerated distribution network comparable to that of meat packers to sell bananas in the national market. 48 In 1899 his firm, the Boston Fruit Company, became the core enterprise in the United Fruit Company, which, in addition to its distribution system, came to own a fleet of refrigerated steamers and a vast acreage of plantations in the Caribbean region. In the same years William Wrigley and Asa Candler followed the model of American Tobacco and Quaker Oats to create giant business enterprises in the chewing gum and soft drink trade. Wrigley of Chicago made his fortune in chewing gum by integrating high-volume production with a global marketing organization and a supply department that became one of the world's largest buyers of chicle. 49 Candler of Atlanta became a multimillionaire from the making and selling of Coca-Cola in the same manner. The success of the Coca-Cola Company was based on his realization of the possibilities of high-volume sales by marketing syrup directly to druggists and other retailers rather than bottling the finished product. 50 His company quickly became an integrated enterprise with a global sales force and a purchasing organization that operated its own cooperage. In addition, the company began to build branch processing plants to supply distant markets at home and abroad.

In machinery the same pattern held. The makers of newly invented office machinery followed the examples of Remington Typewriter and National Cash Register. In the late 1890s, A. B. Dick & Company, the developers of the mimeograph machine, began to market their product on a national scale. Around 1900 William S. Burroughs began to mass produce and mass distribute his adding machines. Their integrated enterprises dominated their markets from the beginning. 51 In the next decade the two pioneering makers of time clocks and of computing and tabulating machines put together similar organizations. These were to merge in 1911 to form the Computing-Tabulator Recording Company, the forerunner of International Business Machines. It is safe to say that all office machines, from the typewriter to the Xerox duplicator, were from their initial development produced and marketed through large integrated enterprises.

In the 1890s makers of large, complex, standardized machinery set up marketing organizations similar to those of the electrical companies and Otis Elevator. These firms included Ingersoll Sergeant Drill (which in 1905 joined the Rand Company to become Ingersoll Rand), Mergan-thaler Linotype, producers of a new form of typesetting machine, and E. W. Bliss, manufacturers of dies, presses, and similar machinery. 52 Comparable, too, was the Owens Bottle Machine and Crown Cork and Seal. 53



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