The Principles Of Economics: The Bethlehem Steel Corporation
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Economics | Principles of Economics | |
INTRODUCTION
The Bethlehem Steel Corporation (1857-2003), base in Bethlehem, Pennsylvania, once was the second largest steel producer in the United States (after Pittsburgh, Pennsylvania-based US Steel). But following its 2001 bankruptcy, the company was dissolved and the remaining assets sold to International Steel Group in 2003. In2005, ISG merged with Mittal Steel, ending US ownership of the assets of Bethlehem Steel. During its life, Bethlehem Steel was also one of the largest shipbuilding companies in the world and was one of the most powerful symbols of American manufacturing leadership. Bethlehem Steel's demise often is cited as one of the most prominent examples of the US economy's …show more content…
Then, on May 1, 1861, the company changed its name to Bethlehem Iron Works. Alfred Hunt was elected president by the board of directors on July 15, 1860. In its early years, it produced railroad rails and armor plating for the US Navy. In 1899, the company assumed the name, Bethlehem Steel Company. In 1904, Charles M. Schwab (recently resigned from US Steel, and unrelated to the stockbroker Charles R. Schwab) and Joseph Wharton formed the Bethlehem Steel Corporation with Schwab becoming the first President and chairman of its board of directors. The Bethlehem Steel Corporation ascended to great prominence in American industry, installing the revolutionary grey rolling mill and producing the first wide-flange structural shapes to be made in America. It were largely responsible for ushering in the age of the skyscraper and establishing Bethlehem Steel as the leading supplier of steel to the construction industry. In the early 1900s, the corporation branched out from steel, with iron mines in Cuba and shipyards around the country. In 1913, it acquired the Fore River Shipbuilding Company of Quincy, Massachusetts, thereby assuming the role of one of the world's major …show more content…
Lighter, lower construction styles, resulting in low-rise buildings not requiring the heavy structural grades produced at the Bethlehem plant, caused Bethlehem Steel to discontinue its steel making activities at the main Bethlehem plant by the end of 1995. After roughly 140 years of metal production at its Bethlehem, Pennsylvania plant, Bethlehem Steel ceased operations in Bethlehem. Bethlehem Steel exited the railroad car business in 1993 and ceased shipbuilding activities in 1997 in an attempt to preserve its core steelmaking operations. Cheaper foreign steel began being imported in the 1980s, negatively impacting Bethlehem Steel's market share in the US steel industry. In 1982, the company reported a loss of 1.5 billion US dollars and was forced to shut down many of its operations. Profitability returned briefly in 1988, but restructuring and shutdowns continued through the 1980s and
Economics | Principles of Economics | |
INTRODUCTION
The Bethlehem Steel Corporation (1857-2003), base in Bethlehem, Pennsylvania, once was the second largest steel producer in the United States (after Pittsburgh, Pennsylvania-based US Steel). But following its 2001 bankruptcy, the company was dissolved and the remaining assets sold to International Steel Group in 2003. In2005, ISG merged with Mittal Steel, ending US ownership of the assets of Bethlehem Steel. During its life, Bethlehem Steel was also one of the largest shipbuilding companies in the world and was one of the most powerful symbols of American manufacturing leadership. Bethlehem Steel's demise often is cited as one of the most prominent examples of the US economy's …show more content…
Then, on May 1, 1861, the company changed its name to Bethlehem Iron Works. Alfred Hunt was elected president by the board of directors on July 15, 1860. In its early years, it produced railroad rails and armor plating for the US Navy. In 1899, the company assumed the name, Bethlehem Steel Company. In 1904, Charles M. Schwab (recently resigned from US Steel, and unrelated to the stockbroker Charles R. Schwab) and Joseph Wharton formed the Bethlehem Steel Corporation with Schwab becoming the first President and chairman of its board of directors. The Bethlehem Steel Corporation ascended to great prominence in American industry, installing the revolutionary grey rolling mill and producing the first wide-flange structural shapes to be made in America. It were largely responsible for ushering in the age of the skyscraper and establishing Bethlehem Steel as the leading supplier of steel to the construction industry. In the early 1900s, the corporation branched out from steel, with iron mines in Cuba and shipyards around the country. In 1913, it acquired the Fore River Shipbuilding Company of Quincy, Massachusetts, thereby assuming the role of one of the world's major …show more content…
Lighter, lower construction styles, resulting in low-rise buildings not requiring the heavy structural grades produced at the Bethlehem plant, caused Bethlehem Steel to discontinue its steel making activities at the main Bethlehem plant by the end of 1995. After roughly 140 years of metal production at its Bethlehem, Pennsylvania plant, Bethlehem Steel ceased operations in Bethlehem. Bethlehem Steel exited the railroad car business in 1993 and ceased shipbuilding activities in 1997 in an attempt to preserve its core steelmaking operations. Cheaper foreign steel began being imported in the 1980s, negatively impacting Bethlehem Steel's market share in the US steel industry. In 1982, the company reported a loss of 1.5 billion US dollars and was forced to shut down many of its operations. Profitability returned briefly in 1988, but restructuring and shutdowns continued through the 1980s and