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Tells the story of how America’s biggest companies began, operated, and prospered post-World War I

This book takes the vantage point of people working within companies as they responded to constant change created by consumers and technology. It focuses on the entrepreneur, the firm, and the industry, by showing―from the inside―how businesses operated after 1920, while offering a good deal of Modern American social and cultural history. The case studies and contextual chapters provide an in-depth understanding of the evolution of American management over nearly 100 years.

American Business Since 1920: How It Worked presents historical struggles with decision making and the trend towards relative decentralization through stories of extraordinarily capable entrepreneurs and the organizations they led. It covers: Henry Ford and his competitor Alfred Sloan at General Motors during the 1920s; Neil McElroy at Procter & Gamble in the 1930s; Ferdinand Eberstadt at the government’s Controlled Materials Plan during World War II; David Sarnoff at RCA in the 1950s and 1960s; and Ray Kroc and his McDonald’s franchises in the late twentieth century and early twenty-first; and more. It also delves into such modern success stories as Amazon.com, eBay, and Google.

Provides deep analysis of some of the most successful companies of the 20th century

Contains topical chapters covering titans of the 2000s

Part of Wiley-Blackwell’s highly praised American History Series

American Business Since 1920: How It Worked is designed for use in both basic and advanced courses in American history, at the undergraduate and graduate levels.

CONTENTS
Introduction / 1
Past and Present / 1
The Story Told Here / 2
Trends / 3
A Matter of Size / 6
The Key Internal Problem / 7
Broader Contexts / 8
American Business and the World / 11
The American Business Achievement / 12
Chapter One: Modern Management in the1920s:
GM Defeats Ford / 15
Cars, Trucks, andFreedom / 15
Henry Ford, Mass Production, andCentralized
Management / 17
Alfred P. Sloan, Jr. andDecentralized Management / 20
General Motors Versus theFord Motor Company:
TheTriumph ofDecentralized Management / 22
Lessons Learned / 26
Chapter Two: Overview: Business Welfare Capitalism,
theFinancial System, andtheGreat Depression / 29
Responding totheDark Side–Business Welfare
Capitalisminthe1920s / 29
Functions ofFinance / 31
Historical Context ofAmerican Finance to1920 / 33
Wall Street andtheStock Market inthe1920s / 34
The Great Depression / 36
Successful Firms During theGreat Depression / 40
Chapter Three: Brand Management
at Procter & Gamble / 43
Procter & Gamble: Multiple Products andMarketing / 43
Firm Culture / 45
Building theMarket / 47
Neil McElroy andBrands / 49
Doc Smelser andtheMarket Research Department / 51
Lessons ofBrands / 53
Changes at P&G intheEarly Twenty‐first Century / 55
People asBrands / 56
Chapter Four: The New Deal andWorld War II:
Regulation and Mobilization, 1933–1945 / 59
Franklin Roosevelt andtheNew Deal / 60
The Extension andDecentralization ofRegulation / 63
The World at War / 66
The Marvel ofAmerican War Production / 68
The Problem ofMobilization / 69
The Solution: Decentralization through theControlled
Materials Plan / 71
World War II asaTransformative Event / 75
Aviation Matures: Boeing / 81
Postscript: Scandals / 85
Photo Group 1 / 87
Chapter Five: Overview: Postwar Prosperity andSocial
Revolution, 1945–1970s / 95
The Cold War andBusiness / 95
Economic Trends / 97
The Place ofBusiness inSociety / 100
Boomers, Social Movements, andtheGovernment / 102
Environmentalism / 104
Chapter Six: Overview: The Empowerment
ofWomen andMinorities inBusiness / 107
Women / 108
Women intheWorkforce / 111
Women inTop Management / 112
African Americans / 117
African Americans inTop Management / 122
Hispanics / 125
Hispanics inTop Management / 129
Foreign‐born CEOs ofAmerican Firms / 133
Photo Group 2 / 135
Chapter Seven: Science andR&D:
From TV toBiotechnology / 145
R&D During theCold War / 145
David Sarnoff andRCA / 146
Sarnoff andTelevision / 152
Lessons fromRCA’s Mismanagement / 158
The Perils ofHigh‐Tech Markets / 160
Chemicals, Pharmaceuticals, andBiotechnology / 162
Chapter Eight: Franchising andMcDonald’s / 173
The Economic andSocial Context
ofFranchising / 174
The McDonald Brothers / 178
Ray Kroc / 180
Financial Wizardry at McDonald’s / 184
How McDonald’s Worked / 187
Internationalization / 190
Marketing, Labor, Nutrition, andtheEnvironment:
ThePositives andNegatives ofFranchising / 191
Past andFuture / 197
Chapter Nine: The IT Revolution and Silicon Valley:
RelentlessChange / 199
Early Days / 200
IBM / 202
Silicon Valley andaNew Business Culture / 206
The Internet andtheWorld Wide Web / 209
Companies andPersonalities: Amazon,
eBay,andGoogle / 211
Expansion oftheInternet: Cloud Computing, the Sharing
Economy, andtheInternet ofThings / 223
Chapter Ten: Overview: Financialization
of Capitalism, 1980s to2000s / 229
“Deindustrialization” / 231
Neoliberalism andtheExtension ofthe
Economists’Hour / 233
Surge inGlobalization / 236
Negatives ofNeoliberalism andGlobalization / 238
Financialization / 240
Excessive Pay forExecutives andFund Managers / 255
The Problem ofOpacity / 258
Chapter Eleven: Business andtheGreat
Recession / 261
The Mortgage Mess / 263
The Government Tries toCatch UptoaFinancial Industry
Under Duress / 266
Reforms / 276
Failures ofGovernment Catch‐up / 279
Photo Group 3 / 283
Epilogue / 297
Bibliographical Essay / 307
Acknowledgments / 365
Index / 367
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