Question

HELP!!!!!!!!!! QUICK!!!!!!

How did Carnegie’s purchase of Allegheny Steel help him form a monopoly?
The purchase helped Carnegie produce steel more efficiently.
The purchase helped Carnegie control most of the rail lines.
The purchase gave Carnegie control of coke production.
The purchase gave Carnegie access to raw materials.

Answer 1

Carnegie purchased his competitors in order to use horizontal integration to build up his monopoly.

Step-by-step explanation:

Horizontal integration is when a company buys out their competitors or other companies in the same field as them in order to decrease price competition, and consumers will have no choice but to purchase from Carnegie.

Therefore, by buying out his competitors, such as Allegheny Steel, Carnegie used the concept of horizontal integration to build up his monopoly of the steel industry.

Answer 2

The purchase of Allegheny Steel helped Carnegie form a monopoly by giving him access to raw materials. Allegheny Steel was a major producer of iron ore, which was a key raw material in the production of steel. By acquiring Allegheny Steel, Carnegie was able to control a significant portion of the supply of iron ore, which gave him a major advantage over his competitors.

In addition to giving Carnegie access to raw materials, the purchase of Allegheny Steel also helped him to reduce his production costs. Allegheny Steel was a well-managed company with efficient production methods. By merging with Allegheny Steel, Carnegie was able to learn from their expertise and improve his own production methods. This helped him to reduce his costs and increase his profits.

The purchase of Allegheny Steel was a major step in Carnegie's journey to becoming a steel monopoly. By acquiring Allegheny Steel, Carnegie was able to gain control of a significant portion of the supply of iron ore and reduce his production costs. This gave him a major advantage over his competitors and helped him to achieve his goal of becoming the dominant player in the steel industry.

The other options are incorrect. The purchase of Allegheny Steel did not help Carnegie produce steel more efficiently, control most of the rail lines, or give him control of coke production.