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kvv77 [185]
2 years ago
5

What business practices contributed most to Andrew Carnegie’s ability to form a monopoly?

History
1 answer:
FrozenT [24]2 years ago
7 0

<u>Original Question</u>: What business practices contributed most to Andrew Carnegie’s ability to form a monopoly?

<u>Answer: combining his companies into one company and controlling all aspect of steel production</u>

<em>Explanation:</em>

  • <em>Choice 1 is correct because Carnegie employed the strategy of vertical integration where he controlled all aspects from steel production to steel transportation. This allowed him to lower the cost of production and transportation and lower the prices of steel to outbid competitors who would lose and go bankrupt. As a result, Carnegie began to dominate and control the market as his prices were always the cheapest</em>
  • <em>Choice 2 is incorrect, because if he focused on only one aspect of steel production, he wouldn't be able to set up a monolopy as he relied on someone else to help him with his business</em>
  • <em>Choice 3 is incorrect, because that method was only used when Carniege salvaged his reputation after setting up the monolopy which gained him a bad name.</em>

Hope that helps!

#LearnwithBrainly

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