Steve B & all. IH was a textbook example of Vertical Integration in manufacturing. They owned property in the iron ore fields in Minnesota, owned the two ore ships, owned Wisconsin Steel. They weren't 100% self-sufficient in later years but still ran at a profitable pace. Early ag equipment used lots of wood in it's construction. They own forests too. Their manufacturing plants used lots and lots of coal, and they owned their own coal mine and like many mines, had the Company Store where employees could all their necessities because coal mines were never located near cities or towns.
Guy Fay wrote a good article about IH's vertical integration 20+ years ago in Red Power. Should have been required reading for ANYONE getting an MBA anywhere!
IH made some mistakes, letting their marketing people have WAY too much influence/control over their business. I personally think they ignorred the need for BIG ag equipment way too long in the 1940's & '50's. Spent too much effort on replacing the mule/horse on small farms. But they pushed the developement of turbine trucks/tractors, alternate fuels, IH did an aweful lot Right, and they knew how to maximize production. Over thirty years after the merged with Case lots of IH's equipment is still recognized as the best available. Plows, disks, axial flow combines. Lawn& garden tractors.
