History 1807 Lecture Notes - Lecture 22: Scientific Management, Planned Obsolescence, Consumerism
21 Apr 2016
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Document Summary
Fordism: ford"s policy of mass production and high wages designed to ensure company"s success; leads to automobiles for the masses. Ford believed that marketplace was ruled by rational consumer who made purchases based on needs, which is why he introduced the utilitarian model t any colour you want so long as it"s black . Ford viewed market as dynamic, not static, which prompted him to maintain production regardless of demand production is to remain static but price is elastic. Problem: ford misunderstood the rise of consumerism and the evolving tastes of that marketplace. In the end, he was a man of the 19th century who invented the twentieth century. General motors: established in 1908 by william c. durant, head of buick, who would become president of gm. Pierre s. dupont, majority owner, takes over as president of gm (1920-23) Adopts taylorism from the shop floor and applies it to management.
