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Back to #405 How Rockefeller Worked.

What Did Rockefeller Want as His Power Grew?

David Senra says as Rockefeller's power grows, he is no longer aiming for order. He wants a monopoly. To reach it, he blends genteel methods of persuasion with the ruthless use of power he had accumulated.

A small company invents a new way to neutralize the offensive odor found in lubricant oil and receives a patent for the innovation. Shortly afterward, another smaller company appears with the same innovation, clearly based on the other company's patent. The company infringing on the patent is called Tweedle. Standard Oil had secretly approached Tweedle and told them they will cover all the legal costs when Tweedle gets sued for patent infringement, and the lawsuit does happen.

They purposely drag the case through the court slowly to bleed the smaller company. Eventually the smaller company breaks and sells its patents to Rockefeller.

Grokipedia·Rockefeller·David Senra

Transcript

#405 How Rockefeller Worked ·

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More from this episode

  1. What Did Rockefeller Learn as a Teenager?David Senra says Rockefeller learned as a teenager that all is not how it seems on the outside, and he carried that belief through his entire career.
  2. Why Did It Cost More to Ship Oil Than to Refine It?David Senra says it cost more to ship a barrel of oil than to refine it.
  3. Was Rockefeller's Calm Face a Mask?David Senra says the calm face Rockefeller showed the world was a mask.
  4. How Did Rockefeller Buy Crude at the Bottom?David Senra says Rockefeller bought crude in large lots as the price was bottoming out, and he treated that timing as a central part of how the refinery made…
  5. Why Did Rockefeller Keep a Fortress of Cash?David Senra says Rockefeller led the strategy as the business organized into an actual corporation so it could issue stock.
  6. How Did Rockefeller Turn Competitors Into Partners?David Senra says Rockefeller turned competitors into partners by aligning interests, because men have not made a success of a concern they were forced or…
  7. Why Did Rockefeller Start Paying the Railroads?David Senra says Rockefeller was willing to change his mind when the facts changed and started paying the railroads.
  8. Why Did Rockefeller Buy Leases With His Own Money?David Senra says Rockefeller bought the oil leases with his own money so he would take the loss personally if it went wrong, and the company could repay him…

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