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Question
why was carnegie steel able to offer its product more cheaply than its competitors?
carnegie made an inferior product, so it was less expensive to produce.
carnegie cut corners in his production, lowering his costs
carnegie could cut his costs because he owned the supply of raw materials and the means of production and distribution.
carnegie avoided using the bessemer process, decreasing the cost of production.
Carnegie Steel was able to offer products more cheaply due to vertical - integration. By owning the supply of raw materials and the means of production and distribution, Carnegie could cut costs. The Bessemer process was actually used by Carnegie Steel for mass - production of steel. Producing an inferior product or cutting corners would not be a sustainable long - term business strategy for success.
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Carnegie could cut his costs because he owned the supply of raw materials and the means of production and distribution.