American industrialist John D. Rockefeller built his first oil refinery near Cleveland and in 1870 incorporated the Standard Oil Company. [133] "[49] He was well-positioned to take advantage of postwar prosperity and the great expansion westward fostered by the growth of railroads and an oil-fueled economy. Rockefeller evaded the decision by dissolving the trust and transferring its properties to companies in other states, with interlocking directorates so that the same nine men controlled the operations of the affiliated companies. Rockefeller attended Baptist churches every Sunday; when traveling he would often attend services at African-American Baptist congregations, leaving a substantial donation. Even more critical, the invention of the light bulb gradually began to erode the dominance of kerosene for illumination. John D. Rockefeller was an American business magnate and philanthropist. [57] While competitors may have been unhappy, Rockefeller's efforts did bring American consumers cheaper kerosene and other oil by-products. The price of the refined oil in 1863 was around $13 a barrel, with a profit margin of around $5 to $8 a barrel. Rockefeller liked the Ormond Beach area so much that after four seasons at the hotel, he bought an estate in Ormond Beach called The Casements. [citation needed] Standard Oil adapted by developing a European presence, expanding into natural gas production in the U.S., and then producing gasoline for automobiles, which until then had been considered a waste product. John D. Rockefeller (1839-1937), founder of the Standard Oil Company, became one of the worlds wealthiest men and a major philanthropist. WebBy 1858, Rockefeller had more responsibilities at Hewitt & Tuttle. [citation needed] The study, an excerpt of which was published in The Atlantic,[13] had been undertaken by the Carnegie Foundation for the Advancement of Teaching. Mr. Rockefeller financed the construction of museums in Mesa Verde, Grand Canyon, and Yellowstone national parks. Between John and William Jr.'s births, Bill and Nancy had another daughter Cornelia. August 2, 1896 An article documents Rockefellers life and his rise to wealth, from poverty to possessing millions of dollars. However, his mother was more influential in his upbringing and beyond, while he distanced himself further and further from his father as his life progressed. If they refused his offer, he told them he would run them into bankruptcy and then cheaply buy up their assets at auction. Then he took a ten-week business course at Folsom's Commercial College, where he studied bookkeeping. [94][95] Costs to both mine operators and the union were high. Public hostility toward monopolies, of which Standard was the best known, caused some countries to enact anti-monopoly laws. John D. Rockefeller and his son, John D. Rockefeller, Jr. Much of Rockefeller's duties involved negotiating with barge canal owners, ship captains, and freight agents. Rockefeller entered the fledgling Oil industry in 1863, by investing in a factory in Cleveland, Ohio. On this day in 1870, Rockefeller incorporated the company that would make him almost inconceivably rich and, in many ways, begin the modern age of oil. Learn about John D. Rockefeller's historic-preservation of early American history at Williamsburg. By the time he was twenty, his charity exceeded ten percent of his income. In 1899 these companies were brought back together in a holding company, Standard Oil Company (New Jersey), which existed until 1911, when the U.S. Supreme Court declared it in violation of the Sherman Antitrust Act and therefore illegal. It changed its name to Rockefeller University in 1965, after expanding its mission to include graduate education. [71] Its share of world oil refining topped out above 90% but slowly dropped to about 80% for the rest of the century. [124], Rockefeller's fourth main philanthropy, the Laura Spelman Rockefeller Memorial Foundation, was created in 1918. A major New York refiner, Charles Pratt and Company, headed by Charles Pratt and Henry H. Rogers, led the opposition to this plan, and railroads soon backed off. After the war, he donated land for the United Nations headquarters, a gift that figured prominently in the decision to He was advised primarily by Frederick Taylor Gates[103] after 1891,[104] and, after 1897, also by his son. What was John D. Rockefeller remembered for? These certificates became traded by speculators, thus creating the first oil-futures market which effectively set spot market prices from then on. Public hostility toward monopolies, of which Standard was the best known, caused some countries to enact anti-monopoly laws. Rockefeller entered the fledgling Oil industry in 1863, by investing in a factory in Cleveland, Ohio. It endowed Johns Hopkins School of Hygiene and Public Health,[114] the first of its kind. Critics found his writing to be sanitized and disingenuous and thought that statements such as "the underlying, essential element of success in business are to follow the established laws of high-class dealing" seemed to be at odds with his true business methods. In 1902, an audit showed Rockefeller was worth about $200millioncompared to the total national GDP of $24billion then. WebJohn D. Rockefeller. WebROCKEFELLER, JOHN D. (8 July 1839-23 May 1937), industrialist and philanthropist, rose from his position as an assistant bookkeeper for a Cleveland commission merchant to become one of the wealthiest men in the U.S. through his efforts in developing the STANDARD OIL CO. Born on a farm near Richford, NY. He supported the incorporation of repealing the 18th amendment into the Republican party platform. In 1870 Rockefeller established the Standard Oil Company. "[143] By the time of his death in 1937, Rockefeller's remaining fortune, largely tied up in permanent family trusts, was estimated at $1.4billion, while the total national GDP was $92billion. He believed that measure to be prohibition, as he and his father donated 350,000 to "all branches of the Anti-Saloon League, Federal and State." Rockefeller prevailed and the railroad sold its oil interests to Standard. The railroads competed fiercely for traffic and, in an attempt to create a cartel to control freight rates, formed the South Improvement Company offering special deals to bulk customers like Standard Oil, outside the main oil centers. I want to make 'em sharp." Burton Folsom Jr. has noted: [H]e sometimes gave tens of thousands of dollars to Christian groups, while, at the same time, he was trying to borrow over a million dollars to expand his business. We correct them as soon as they come to our knowledge. Ohio was especially vigorous in applying its state antitrust laws, and finally forced a separation of Standard Oil of Ohio from the rest of the company in 1892, the first step in the dissolution of the trust. Philanthropy Roundtable - Biography of John Rockefeller Sr. John D. Rockefeller - Children's Encyclopedia (Ages 8-11), John D. Rockefeller - Student Encyclopedia (Ages 11 and up). He was an excellent debater and expressed himself precisely. He admitted that he had made no attempt to bring the militiamen to justice. As a percentage of the United States' GDP, no other American fortuneincluding those of Bill Gates or Sam Waltonwould even come close. The commercial oil business was then in its infancy. Rogers, in particular, became one of Rockefeller's key men in the formation of the Standard Oil Trust. The Ohio businessman John D. Rockefeller entered the oil industry in the 1860s and in 1870, and founded Standard Oil with some other business partners. A good measure, pressed down, shaken together and running over, will be poured into your lap. A. D. John. His hair never grew back, but other health complaints subsided as he lightened his workload. They thus established the first major U.S. trust and set a pattern of organization for other monopolies. We have abundant evidence that Rockefeller's consistent policy was to offer fair terms to competitors and to buy them out, for cash, stock, or both, at fair appraisals; we have the statement of one impartial historian that Rockefeller was decidedly "more humane toward competitors" than Carnegie; we have the conclusion of another that his wealth was "the least tainted of all the great fortunes of his day."[137]. Money making was considered by him a "God-given gift".[101]. [142] According to his New York Times obituary, "it was estimated after Mr. Rockefeller retired from business that he had accumulated close to $1,500,000,000 out of the earnings of the Standard Oil trust and out of his other investments. "[84] He began a publicity campaign to put his company and himself in a better light. [94], The casualties suffered at Ludlow mobilized public opinion against the Rockefellers and the coal industry. American industrialist and philanthropist [17941877]. He became an assistant bookkeeper at age 16 and went into several business partnerships beginning at age 20, concentrating his business on oil refining. In the end it turned out that the individual segments of the company were worth more than the entire company was when it was one entitythe sum of the parts were worth more than the wholeas shares of these doubled and tripled in value in their early years. Tar was used for paving, naphtha shipped to gas plants. WebROCKEFELLER, JOHN D. (8 July 1839-23 May 1937), industrialist and philanthropist, rose from his position as an assistant bookkeeper for a Cleveland commission merchant to become one of the wealthiest men in the U.S. through his efforts in developing the STANDARD OIL CO. Born on a farm near Richford, NY. Webrmond Beach, Fla., May 23.--John D. Rockefeller Sr., who wanted to live until July 9, 1939, when he would have rounded out a century of life, died at 4:05 A.M. here today at The Casements, his Winter home, a little more than two years and a month from his cherished goal. On this day in 1870, Rockefeller incorporated the company that would make him almost inconceivably rich and, in many ways, begin the modern age of oil. This touched off a firestorm of protest from independent oil well owners, including boycotts and vandalism, which led to the discovery of Standard Oil's part in the deal. Pennsylvania revoked the cartel's charter, and non-preferential rates were restored for the time being. [citation needed] In February 1865, in what was later described by oil industry historian Daniel Yergin as a "critical" action, Rockefeller bought out the Clark brothers for $72,500 (equivalent to $1million[37] in 2021 dollars) at auction and established the firm of Rockefeller & Andrews. The capital expenditures for a refinery at that time were small around $1,000 to $1,500 and requiring only a few men to operate. Osgood left the company in 1904 and devoted his efforts to operating competing coal and coke operations. As he grew rich, his donations became more generous, especially to his church in Cleveland; nevertheless, it was demolished in 1925, and replaced with another building.[101]. At last in 1911, the Supreme Court of the United States found Standard Oil Company of New Jersey in violation of the Sherman Antitrust Act. Much of his giving was church-related. WebIn the 1860s John D. Rockefeller took note of the expansion of oil production in western Pennsylvania and built an oil refinery near Cleveland, Ohio, in 1863. [10] His foundations pioneered developments in medical research and were instrumental in the near-eradication of hookworm[11] and yellow fever[12] in the United States. Learn the history behind Byron Benson's building the world's first oil pipeline (1879), defeating John D. Rockefeller and the Standard Oil Company, This article was most recently revised and updated by, https://www.britannica.com/biography/John-D-Rockefeller, PBS - American Experience - Biography of John D. Rockefeller, Senior, Ohio History Central - Biography of John D. Rockefeller, United States History - Biography of John D. Rockefeller. The companies' combined net worth rose fivefold and Rockefeller's personal wealth jumped to $900million. [107] His wife Laura Spelman Rockefeller, was dedicated to civil rights and equality for women. The camp was burned, resulting in 15 women and children, who hid in tents at the camp, being burned to death. He came to associate the church with charity. He made possible the founding of the University of Chicago in 1892, and by the time of his deathfrom a heart attack in 1937, shortly before his 98th birthdayhe had given it some $35 million. [71], The company's vast American empire included 20,000 domestic wells, 4,000 miles of pipeline, 5,000 tank cars, and over 100,000 employees. A. D. John. ", Rockefeller was an abolitionist who voted for President Abraham Lincoln and supported the then-new Republican Party. He ran it until 1897 and remained its largest shareholder. By 1882 Standard Oil had a near monopoly on the oil business in the United States. [109] Rockefeller also gave considerable donations to Denison University[110] and other Baptist colleges. WebIn the 1860s John D. Rockefeller took note of the expansion of oil production in western Pennsylvania and built an oil refinery near Cleveland, Ohio, in 1863. During his first year, he received $31 a month, which was increased to $50 a month. In 1862, a barrel (42 gallons) of oil dropped in value from $4.00 to 35 cents. [citation needed], Rockefeller, aged 86, wrote the following words to sum up his life:[144]. I, 1879)", "Militia slaughters strikers at Ludlow, Colorado", "Laura Spelman Rockefeller Memorial Foundation", "Text of Rockefeller's Letter to Dr. Butler", "John D. Rockefeller Sr. and family timeline", "John D Rockefeller:Infinitely Ruthless, Profoundly Charitable", "The Richest Man In History: Rockefeller is Born", "Financier's Fortune in Oil Amassed in Industrial Era of 'Rugged Individualism', "Toward a 'Universal Heritage': Education and the Development of Rockefeller Philanthropy, 18841913", Standard Oil Co. of New Jersey v. United States, Standard Oil Co. v. United States (Standard Stations), https://en.wikipedia.org/w/index.php?title=John_D._Rockefeller&oldid=1138196481, American businesspeople in the oil industry, Wikipedia articles needing page number citations from February 2021, Articles with incomplete citations from February 2021, Short description is different from Wikidata, Wikipedia indefinitely semi-protected pages, All Wikipedia articles written in American English, Articles with incomplete citations from May 2021, Wikipedia articles needing page number citations from January 2023, Articles with unsourced statements from October 2016, Articles with unsourced statements from May 2021, Articles with unsourced statements from December 2017, Articles with unsourced statements from September 2016, Articles with unsourced statements from November 2016, Articles with unsourced statements from December 2020, Articles with unsourced statements from April 2020, Pages using Sister project links with wikidata namespace mismatch, Pages using Sister project links with hidden wikidata, Creative Commons Attribution-ShareAlike License 3.0, Alice Rockefeller (July 14, 1869 August 20, 1870), Public Diary of John D. Rockefeller, now found in the Cleveland Western Historical Society, This page was last edited on 8 February 2023, at 14:21. WebBy 1858, Rockefeller had more responsibilities at Hewitt & Tuttle. [73], Although 85% of world crude production was still coming from Pennsylvania in the 1880s, oil from wells drilled in Russia and Asia began to reach the world market. WebAfter dropping out of high school, taking one business class at Folsom Mercantile College, and working as a bookkeeper, Rockefeller establishes his first business, which supplies goods such as hay, grain, and meats. [38], In 1859, Rockefeller went into the produce commission business with a partner, Maurice B. Clark, and they raised $4,000 ($120,637 in 2021 dollars) in capital. Control was passed from the Iowa Group[91] to Gould and Rockefeller interests in 1903 with Gould in control and Rockefeller and Gates representing a minority interests. [46] In this environment of a wasteful boom, the partners switched from foodstuffs to oil, building an oil refinery in 1863 in "The Flats", then Cleveland's burgeoning industrial area. [17] For advice, he relied closely on his wife Laura Spelman Rockefeller with whom he had five children. In full retirement at age 63, Rockefeller earned over $58million in investments in 1902. [74] Robert Nobel had established his own refining enterprise in the abundant and cheaper Russian oil fields, including the region's first pipeline and the world's first oil tanker. Webrmond Beach, Fla., May 23.--John D. Rockefeller Sr., who wanted to live until July 9, 1939, when he would have rounded out a century of life, died at 4:05 A.M. here today at The Casements, his Winter home, a little more than two years and a month from his cherished goal. [70] The public and the press were immediately suspicious of this new legal entity, and other businesses seized upon the idea and emulated it, further inflaming public sentiment. [66], The firm was attacked by journalists and politicians throughout its existence, in part for these monopolistic methods, giving momentum to the antitrust movement. When the Civil War was nearing a close and with the prospect of those war-time profits ending, Clark & Rockefeller looked toward the refining of crude oil. [40] In their first and second years of business, Clark & Rockefeller netted $4,400 (on nearly half a million dollars in business) and $17,000 worth of profit, respectively, and their profits soared with the outbreak of the American Civil War when the Union Army called for massive amounts of food and supplies. [82], Upon his ascent to the presidency, Theodore Roosevelt initiated dozens of suits under the Sherman Antitrust Act and coaxed reforms out of Congress. Billionaire John D. Rockefeller (July 8, 1839 to May 23, 1937) continues to rank as one of the richest men in modern times. She documented the company's espionage, price wars, heavy-handed marketing tactics, and courtroom evasions. I would have deplored the necessity which compelled the officers of the company to resort to such measures to supplement the State forces to maintain law and order." The Paris Rothschilds jumped into the fray providing financing. [101] Later in his life, Rockefeller recalled: "It was at this moment, that the financial plan of my life was formed". Mr. Rockefeller financed the construction of museums in Mesa Verde, Grand Canyon, and Yellowstone national parks. [132], In his 50s Rockefeller suffered from moderate depression and digestive troubles; during a stressful period in the 1890s he developed alopecia, the loss of some or all body hair. 186365 Rockefeller builds his first oil refinery, near Cleveland. [41] While his brother Frank fought in the Civil War, Rockefeller tended his business and hired substitute soldiers. Within two years it is the largest refinery in the area. He felt at ease and righteous following Methodist preacher John Wesley's dictum, "gain all you can, save all you can, and give all you can. The strike was fought vigorously by the coal mine operators association and its steering committee, which included Welborn, president of CF&I, a spokesman for the coal operators. Rockefeller's operative, Lamont Montgomery Bowers,[93] remained in the background. Nine trustees, including Rockefeller, ran the 41 companies in the trust. [29] He later stated, "From the beginning, I was trained to work, to save, and to give. He and Carnegie gave form and impetus through their charities to the work of Abraham Flexner, who in his essay "Medical Education in America" emphatically endowed empiricism as the basis for the US medical system of the 20th century. By 1901 he began wearing toupes and by 1902, his mustache disappeared. [126], Rockefeller became well known in his later life for the practice of giving dimes to adults and nickels to children wherever he went. In total Rockefeller donated about $530million. Due to reduced demand for coal, resulting from an economic downturn, many of CF&I's coal mines never reopened and many men were thrown out of work. By 1868, with Rockefeller continuing practices of borrowing and reinvesting profits, controlling costs, and using refineries' waste, the company owned two Cleveland refineries and a marketing subsidiary in New York; it was the largest oil refinery in the world. [97], Against long-circulating speculations that his family has French roots, genealogists proved the German origin of Rockefeller and traced them back to the early 17th century. WebThe Rockefeller family (/ r k f l r /) is an American industrial, political, and banking family that owns one of the world's largest fortunes.The fortune was made in the American petroleum industry during the late 19th and early 20th centuries by brothers John D. Rockefeller and William A. Rockefeller Jr., primarily through Standard Oil (the Born in upstate New York, Rockefeller entered the oil business by investing in a Cleveland, Ohio refinery in 1863. Rockefeller then ordered the issuance of certificates against oil stored in its pipelines.