Standard Oil Company; Trusts, Industrial -- United States
The trust, notwithstanding its powers of "producing the very best oil
at the lowest possible price," compels dealers to sign away their
rights to buy oil where they can buy it the cheapest or best. When
opposition is encountered from any of the retailers in a town the plan
of campaign of its "war" is very simple. Some one is found who is
willing for hire to sell his oils at a cut price until the rest are
made sick enough to surrender. Then contracts are made with all the
dealers, binding them to buy of no one else, and prices are put up to a
point at which a handsome profit is assured. After this competitors can
find no dealer through whom to sell, and the consumer can get no oil
but that of the monopoly. Price and quality are both thenceforth such
as the combination chooses to make them. There are bargains in oil,
but one party makes both sides of them. "We do not wish to ruin you
without giving you another chance," said an agent of the combination
gently to a merchant who persisted in selling opposition oil. "Look at
this map; we have the country divided into districts. If you insist on
war we will cut the prices in your territory to any necessary extent
to destroy you, but we lose nothing. We simply make a corresponding
advance in some other district. You lose everything. We cannot by any
possibility lose anything."
Only by thus contracting themselves out of their rights could these
"free" merchants get oil with which to supply their customers. "Their
agent," wrote a dealer of Hot Springs, Arkansas, "has made threats to
some of our merchants that they must or shall buy oil from them and
no one else, or if otherwise they would come here and ruin them--by
fair means if they could, by underhand ways if necessary." Another
firm in Pine Bluff, Arkansas, wrote that the agent of the combination
had called upon them and several of the other large dealers to make
a "contract, ... and, failing to do so, in a short time he threatens
opening a retail house," as at Columbus.[619] Another wrote, December
13, 1886, from Navasota that the monopoly "will not sell unless you
sign an obligation to buy from them and them only."[620]
Public-domain text, read in full here on John Shaqi.
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