Standard Oil

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Standard_Oil

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Standard_oil

Standard Oil

Company type	Trust
Industry	Oil and gas
Founded	1870
Founder	John D. Rockefeller, Henry Flagler, Samuel Andrews, Stephen V. Harkness, William Rockefeller
Defunct	1911
Fate	Dissolution
Area served	United States
Key people	John D. Rockefeller, Henry Flagler
Products	Petroleum, Kerosene, Gasoline

Standard Oil was an American oil producing, transporting, refining, and marketing company. Established in 1870 by John D. Rockefeller and partners, it became the largest oil refiner in the world. Its history as one of the world's first and largest multinational corporations ended in 1911, when the United States Supreme Court ruled that Standard Oil was an illegal monopoly.

History

Standard Oil was founded in Cleveland, Ohio by John D. Rockefeller, Henry Flagler, Samuel Andrews, Stephen V. Harkness, and William Rockefeller. The company quickly grew by acquiring competitors and securing favorable rates from railroads, which allowed it to dominate the oil industry.

Formation and Growth

In its early years, Standard Oil focused on refining kerosene, which was used for lighting before the widespread adoption of electricity. The company expanded rapidly, acquiring numerous smaller refineries and establishing a network of pipelines and distribution channels.

Monopoly and Legal Challenges

By the late 19th century, Standard Oil controlled approximately 90% of the oil refining capacity in the United States. This dominance led to accusations of monopolistic practices and prompted legal challenges. In 1911, the United States Supreme Court ruled in Standard Oil Co. of New Jersey v. United States that Standard Oil must be dissolved for violating the Sherman Antitrust Act.

Dissolution

Following the Supreme Court's decision, Standard Oil was broken up into 34 independent companies. Some of these companies, such as ExxonMobil, Chevron, and Amoco, have since become major players in the global oil industry.

Legacy

Standard Oil's legacy is significant in the history of the American economy and the development of the oil industry. The company's business practices and the subsequent antitrust case have had a lasting impact on antitrust law and corporate regulation in the United States.

Key Figures

• John D. Rockefeller - Founder and primary architect of Standard Oil's business strategy.
• Henry Flagler - Co-founder and key figure in the company's expansion.
• Samuel Andrews - Chemist and co-founder.
• Stephen V. Harkness - Investor and co-founder.
• William Rockefeller - Co-founder and brother of John D. Rockefeller.

Related Pages

• John D. Rockefeller
• ExxonMobil
• Chevron Corporation
• BP
• Sherman Antitrust Act
• Standard Oil Co. of New Jersey v. United States
• Monopoly
• Antitrust law