USA HISTORY

Detailed explanation-1: -In addition, Carnegie Steel bought up its sources of raw materials and shipping (in a strategy called vertical integration) and bought out and absorbed its competitors (horizontal integration) to dominate the steel industry. By the 1890s, it was the largest and most profitable steel company in the world.

Detailed explanation-2: -The Bessemer Process This is a process known as horizontal integration. Carnegie also created a vertical combination, an idea first implemented by Gustavus Swift. He bought railroad companies and iron mines. If he owned the rails and the mines, he could reduce his costs and produce cheaper steel.

Detailed explanation-3: -He invested a good sum of money into the steel industry. Which eventually would pay off greatly. Once he did make it into the steel industry he adapted the style of vertical integration. This this business style can be seen as a monopoly due to its control of the complete process of a product.

Detailed explanation-4: -Vertical integration helped the Carnegie steel business by purchasing all the components that went into making steel: buying the mines that produced the raw materials, the railroads that shipped them, the electricity providers for the factories, etc.

Detailed explanation-5: -Carnegie Steel Company was a steel-producing company primarily created by Andrew Carnegie and several close associates to manage businesses at steel mills in the Pittsburgh, Pennsylvania area in the late 19th century.