The Dissolution Of The Standard Oil Company

After dissolution of the Standard Oil Empire, eight companies retained “Standard Oil” as their name, later in the late 20th century the name was almost history. In 1931 Standard Oil Company of New York merged with Vacuum Oil Company to form Socony-Vacuum; later in 1966 became Mobil Oil Corporation. The Standard Oil of California was combined with Standard Oil of Kentucky in 1961, later in 1984 was renamed Chevron Corporation. Moreover, the Standard Oil Company in New Jersey changed its name to Exxon Corporation in 1972. The remaining companies of the Standard Oil Company were bought by the British Petroleum Company PLC 1987. Although the names of the companies have changed over the years, Chevron, Exxon, Mobil and ConocoPhillips, among others companies they all

Rockefeller did not hesitate at all to use his overall economies of scale to outprice his competition, but he also used his wealth and power to take advantages of the oil refining. But, he could’ve prevent the fall of his empire by not buying over his competitors. Rockefeller shouldn’t have used horizontal integration, in which it help him acquired his competitors’ refineries by making agreements with the railroads to charge more for shipping at his competitors, and by using this tactics he angered his competitors. He also lowered his prices below cost, in which it favors him and this made his competition out of business and he then bought them for a pittance. Once he had control of the competitors’ refineries he joined his refineries with the ones that he bought to make his company bigger, and then he raised