Written Assignment 2

Written Assignment 2 - Swift took many business risks, but...

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Amy Rice 1/22/08 Assignment two: Read “Gustavus Swift and the Refrigerator Car”. 1. Earlier we discussed the factors of production: natural resources, capital resources, labor resources, and entrepreneur resources. As an entrepreneur how did Swift tie together the other three resources to create a major industry? Swift used natural resources in that he was dealing mainly with animals- cows in particular. In the same way, he used other resources, specifically capital resources by dealing shrewdly with the people who sold meat to him. He was able to get a good bargain, and make sure both parties felt as though they were getting the upper hand. Last of all, he used labor resources by paying people to work for him and by having one of his engineers develop the refrigerator car. 2. What risks do you see Swift taking to build his business?
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Unformatted text preview: Swift took many business risks, but luckily they all worked out well for him. He took a big risk in trying to bring meat to the people; there would have been much less transportation issues if the meat was sold in the same town that it was slaughtered, He also took a risk in shipping the meat after it had been butchered, instead of before. It could have easily become spoiled during the trip, leaving many people sick and unhappy. Probably one of the biggest risks he took was developing the refrigerator car; the idea could have flopped, losing him a lot of money. 3. Can you see a fifth resource in this article? If so, what would it be? Give an example. I think that a fifth resource he may have used was machinery. Examples of this include the machines at the slaughterhouses and, of course, the famous refrigerator car....
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This document was uploaded on 03/03/2010.

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