As Standard Oil continued to grow, consuming all competitors in its path, both other members of the industry, society, and political forces began to find fault with the methodsemployed. The monolithic size of Standard Oil pushed legislators to finally take action by initiating laws, such as the Sherman Antitrust Act, to not only stunt the expansion, but literally dismantle the monopoly build by John D. Rockefeller [LIN06]. Rockefeller was forced to break his company into 36 independent companies within a six-month period seemingly as a punishment to the business practices employed and monopolization of the oil industry by Standard Oil. Standard Oil is an example of both the dominance and pluralist theory of business power. The early days of growth and monopolization of the oil industry exemplified the dominance theory. Rockefeller was so dominant at the time, in conjunction with the lack of laws at the time, allowed Standard Oil to operate in any manner they saw fit to pursue what Rockefeller rationalized as a need to stabilize the industry. Rockefeller’s focus was always on cost savings, profits, and product quality and Standard Oil was the leader in allthree of these areas which in turn impacted the society by providing low cost availability to sources of light. This changed the habits and lifestyles of citizens, allowing them access to light after the sun set.
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- Fall '15
- Standard oil, standard oil trust, Sherman Antitrust Act, John D. Rockefeller