How Was Henry Ford Successful
As far as the economy is concerned, entrepreneurs play a vital role in the creation of wealth for people. They own and operate their own small businesses sometimes growing them into larger corporations that employ many people. At least some part of the economy is stabilized based on the success of entrepreneurs and are valuable to the success of the current economic conditions in our country. Henry Ford, founder of the Ford Motor Company very well defines an entrepreneurial legend. The Ford Motor Company was founded in 1903 to a nearly 40 year old Henry. I find him to be exemplary because he changed the lifestyle of humans by making vehicles available that greatly changed the way that people moved around. Not only did he impact the way that
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The employees were getting tired of doing the same thing day in and day out; therefore he was losing people at a very steady rate. To combat this problem, Ford came up with a very simply solution that quickly solved the labor force problem. He ultimately decided on paying “his employees $5 per day-nearly twice the going rate. As a result, workers flocked to Ford’s gates” for employment opportunities (Entrepreneur). This was one of many economic decisions that Henry Ford made that played a significant role in his success. He also initiated changes in the work schedule, decreasing the hours from nine to eight and increasing the working shifts from two to three, which all resulted in needing to hire more employees. A book written by several editors of Fortune Magazine called The Greatest Business Decisions of All Time featured Henry Ford and his decision to double the wages of his employees. They say that “…Ford’s autoworkers could now afford the very products they were producing. This triggered a consumer revolution that helped create the wealthiest nation on earth”. In a year’s time Fortune says that his employee turnover rate decreased from 370% to a small 16% and his productivity was up from 40% to 70% (Fortune). Henry Ford was not afraid to spend more money in order to ensure that his production improved as well as the lives of the people who worked for
The employees were getting tired of doing the same thing day in and day out; therefore he was losing people at a very steady rate. To combat this problem, Ford came up with a very simply solution that quickly solved the labor force problem. He ultimately decided on paying “his employees $5 per day-nearly twice the going rate. As a result, workers flocked to Ford’s gates” for employment opportunities (Entrepreneur). This was one of many economic decisions that Henry Ford made that played a significant role in his success. He also initiated changes in the work schedule, decreasing the hours from nine to eight and increasing the working shifts from two to three, which all resulted in needing to hire more employees. A book written by several editors of Fortune Magazine called The Greatest Business Decisions of All Time featured Henry Ford and his decision to double the wages of his employees. They say that “…Ford’s autoworkers could now afford the very products they were producing. This triggered a consumer revolution that helped create the wealthiest nation on earth”. In a year’s time Fortune says that his employee turnover rate decreased from 370% to a small 16% and his productivity was up from 40% to 70% (Fortune). Henry Ford was not afraid to spend more money in order to ensure that his production improved as well as the lives of the people who worked for