Capitalism and the Industrial Revolution began in Great Britain, specifically in England. The country had many favorable conditions for the rise of capitalism, such as a strong market economy, abundant natural resources, a stable political system, and a growing population with a rising standard of living. Additionally, Great Britain had a strong navy, which allowed for the development of trade and colonization, and an established banking system, which provided the necessary financial support for the growth of industry. The first factories were built in Britain in the 18th century, and the country became the world's leading industrial power by the early 19th century.