If you're referring to drawbacks - then you have to ask, why did the railroads grant them? Why would other oil shipments pay a higher rate?
Is it because the volume and stability standard oil offered, as well as ownership of tankers and other critical infrastructure needed to be compensated for?
Once again, their market share was falling while these programs were going on so clearly it didn't hamper competition.
Why did the railroads grant them? Because Standard Oil was a huge amount of business. And back then, railroads had other railroads that competed with them. The railroads granted them under the threat of Standard Oil taking a huge amount of business to the competition.
Was it for the ownership of the tanks? No, I don't think so... but I can't prove it.
Comments
If you're referring to drawbacks - then you have to ask, why did the railroads grant them? Why would other oil shipments pay a higher rate?
Is it because the volume and stability standard oil offered, as well as ownership of tankers and other critical infrastructure needed to be compensated for?
Once again, their market share was falling while these programs were going on so clearly it didn't hamper competition.
Why did the railroads grant them? Because Standard Oil was a huge amount of business. And back then, railroads had other railroads that competed with them. The railroads granted them under the threat of Standard Oil taking a huge amount of business to the competition.
Was it for the ownership of the tanks? No, I don't think so... but I can't prove it.