The 1920s America is often referred to as the ‘Roaring Twenties’. This period is often portrayed a picture of the US filled with changes, prosperity and excitement, when were women finally given more freedom and rights, when the motor industry was growing, when new movie stars made the people roaring with laughter, when many people agreed that America was the best place to live. So is it true? The answer to the question ‘Did everyone in the US benefit from these changes?’ is difficult, because different sources show different sides of the American society in the 1920s. These sides can give us very conflicting ideas of America at the time.
This booming period of economic expansion was often referred to as the “Roaring Twenties”. Society found new freedoms changing social attitudes. New technologies bought about the new economy. Economic growth was high due to growth in the automobile industry, new technology, and mass production. “Machinery “proclaimed Henry Ford, is the new Messiah.
What Ford dreamed of was not merely increased capacity but complete self-sufficiency. World War I, with its shortages and price increases, demonstrated for him the need to control raw materials; slow-moving suppliers convinced him that he should make his own parts. Wheels, tires, upholstery, and various accessories were purchased from other companies around Detroit. As Ford production increased, these smaller operations had to speed their output; most of them had to install their own assembly lines. It became impossible to coordinate production and shipment so that each product would arrive at the right place and at the right time.
Ford Motor Company not only survived the financial crisis of 2008/2009, which had pushed General Motors and Chrysler into bankruptcy, but also emerged as a robustly competitive member of the world’s leading auto producers. However, Ford’s ability to sustain its strong financial performance depends critically on the state of the world’s automobile industry (Grant). Synopsis of the Case For decades, through the boom and bust years of the 20th century, the American automotive industry had an immense impact on the domestic economy. The number of new cars sold annually was a reliable indicator of the nation's economic health. (Davis) Relevant Factual Information about the Problem or Decision the Organization Faced The collapse in industry profitability in 2007–2009 and the bankruptcies of General Motors and Chrysler were not simply consequences of the financial crisis.
To what extent should the 1920’s in America be remembered as good times or bad times? After World War one and the Treaty of Versailles, America became an isolationist. This meant they isolated themselves from all the other countries and didn’t get involved in other countries problems, America decided to take care of her own problems. During the 1920’s the USA became the richest and most powerful country in the world as a massive economic boom had occurred. However in 1929 disaster struck as banks went bust and share prices hit rock bottom.The roaring twenties, the age of excess and the Jazz age.
Entrepreneurs of Late Nineteenth Century The American industry experienced a tremendous industrial growth after the Civil War, continuing well into the early twentieth century. This heavy industrialization saw remarkable economic benefits as well as notable changes in the American way of life. Technological innovations, abundant raw-materials, viable production techniques and the discovery of new materials, facilitated the rapid industrial development. A relatively small group of entrepreneurs emerged during this period and by means of their personal abilities, political support and other factors, managed by sometimes questionable business ethics to acquire huge wealth in a short period of time, while most of the population struggled with harsh working conditions, low job security and poverty. The “labels”, “captains of industry” and “robber barons”, characterize these early entrepreneurs accurately, the latter one being more appropriate.
This was caused partly by the high self-confidence of the top management which was too ensured that the position of GM is everlasting. This assumption was proven as incorrect. The market position of General Motors before 2009 was dominant in many, but after 2000 GM’s vehicle production was stagnating globally. Together with the fact that the automotive market was stably growing it implies that General Motors was losing its positions on all important markets relatively to other automakers. In U.S., traditionally known as the core market, GM was selling less and less cars even since 2000 (The New York Times, 2009) and lost one third of its position, covering 28,1% share in 2000 and only 19,8% in 2009 (figures for cars and light trucks sales in U.S., Canis et al.
Apart from the social injustices, the progression and good far outweighed the bad. It was two steps forward and one step back while the economic effects were one huge leap forward and a just as big step back. There were more than a handful of inventions and discoveries that revolutionized American society, led to urban sprawl, made tasks exponentially easier, and were the centerpiece for recreation. Cars were mass produced and people decided to live outside the cities and take vacations more frequently. They produced many new jobs with the need for new roads since the American landscape was drastically expanding.
Rob Johnson, IMF executive director said, "Telling the whole story about unionization is important and if more companies put as much effort into working with unions in a proactive way rather than spending millions on preventing unionization the results would be evident." (Fortune, 2012, p. 1). As part of the Automaker's union, Ford Motors family has grown extensively in the last several decades. The employees at Ford, as unionized workers with the UAW, successfully have developed Ford into one of the largest manufacturers in the United States. Fords benefits from unionization because the union contracts can be negotiated and any work issues can be resolved, such as workplace safety, wages, and benefits.
This allowed for Ford to sell over 15 million vehicles and make them a major part of the automobile market share. The introduction of the Model T began a new age in North America and transportation. This spurred the growth of roads, and jobs, and changed the way Americans traveled. Ford’s success can be credited to the implementation of the assembly line; this is what differentiated his company from any other automobile makers in America at the time, this had a great impact on the American culture. Mass production along with advancements in technology proved to be greatly Ford’s advantage; this strategy gave Ford the ability to make automobiles in large quantities and make them affordable to many.