Windows of opportunity in the textile industry: The business strategies of Lancashire entrepreneurs, 1880-1914

Business History

Volumn 40, Issue 1, 1998, Pages 1-25

  Toms, Steven ^a  

^a UNIVERSITY OF NOTTINGHAM   (United Kingdom)

Author keywords

[No Author keywords available]

Indexed keywords

BUSINESS STRATEGY; ENTREPRENEURS; INDUSTRIAL HISTORY; NINETEENTH CENTURY; TEXTILE INDUSTRY; TWENTIETH CENTURY;

UK, ENGLAND, LANCASHIRE;

COTTON INDUSTRY,BRITISH; ECONOMIC INFORMATION; TEXTILE HISTORY;

EID: 0031941030     PISSN: 00076791     EISSN: 17437938     Source Type: Journal    
DOI: 10.1080/00076799800000118     Document Type: Review

References (152)

1. A.D. Chandler, Scale and Scope: The Dynamics of Industrial Capitalism (Cambridge MA, 1990), p. 286.
2. Ibid., pp.240-86.
3. For a summary of these contributions, see A.V. Marrison, 'Indian Summer', in M.B. Rose (ed.), The Lancashire Cotton Industry: A History Since 1700 (Preston, 1996).
4. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
5. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
6. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
7. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
8. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
9. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
10. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
11. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
12. In particular these include R.E. Tyson, 'Sun Mill: A Study in Democratic Investment' (unpublished M.A. thesis, University of Manchester, 1962); R. Smith, 'An Oldham Limited Liability Company', Business History, Vol.4 (1961), pp.34-53; G. Saxonhouse and G. Wright, 'New Evidence on the Stubborn English Mule and the Cotton Industry', Economic History Review, 2nd Series, Vol.XXXVII (1984), pp.507-18; M.B. Rose, Gregs of Quarry Bank Mill: The Rise and Decline of a Family Firm, 1750-1914 (Cambridge, 1986); S.D. Chapman, Merchant Enterprise in Britain from the Industrial Revolution to the First World War (Cambridge, 1992); D.A. Farnie, 'John Rylands of Manchester', Bulletin of the John Rylands Library, Vol.75 (1993), pp.3-103; the collection of business histories in D. Jeremy (ed.), Textile History, Vol.24 (1993), J.S. Toms, 'Financial Constraints on Economic Growth; Profits, Capital Accumulation and the Development of the Lancashire Cotton spinning Industry, 1885-1914', Accounting, Business and Financial History, Vol.4 (1994), pp.363-83, B. Law, Fieldens of Todmorden: A Nineteenth Century Business Dynasty (Littleborough, 1986).
13. Capital employed is defined as the balance sheet total of share capital, shareholders reserves and long term loan capital; return on capital employed is defined as profit before interest divided by capital employed. For examples of the use of these measures by contemporaries, see Oldham Chronicle, 3 Jan. 1889, and passim.
14. R. Brief, 'Nineteenth Century Accounting Error', Journal of Accounting Research, Vol.3 (1965), pp. 12-31; G. Lee, 'The Concept of Profit in British Accounting, 1760-1900', Business History Review, Vol.XLIX (1975), pp.6-36. In specific industries, such as coal and iron, asset valuation and profit measurement might have been problematic, e.g., J. Wale, 'How Reliable were Reported Profits and Asset Values in the period 1890-1914? Case Studies from the British Coal Industry', Accounting and Business Research, Vol.20 (1990), pp.253-68; T. Baldwin, 'Management Aspiration and Audit Opinion: Fixed Asset Accounting at the Staveley Coal and Iron Company, 1863-83', Accounting and Business Research, Vol.25 (1994), pp.3-12; a broader based survey concluded that accounting reports were more reliable than previously thought, A.J. Arnold, 'Should Historians Trust Late Nineteenth Century Company Financial Statements?', Business History, Vol.38 (1996), p.50.
15. R. Brief, 'Nineteenth Century Accounting Error', Journal of Accounting Research, Vol.3 (1965), pp. 12-31; G. Lee, 'The Concept of Profit in British Accounting, 1760-1900', Business History Review, Vol.XLIX (1975), pp.6-36. In specific industries, such as coal and iron, asset valuation and profit measurement might have been problematic, e.g., J. Wale, 'How Reliable were Reported Profits and Asset Values in the period 1890-1914? Case Studies from the British Coal Industry', Accounting and Business Research, Vol.20 (1990), pp.253-68; T. Baldwin, 'Management Aspiration and Audit Opinion: Fixed Asset Accounting at the Staveley Coal and Iron Company, 1863-83', Accounting and Business Research, Vol.25 (1994), pp.3-12; a broader based survey concluded that accounting reports were more reliable than previously thought, A.J. Arnold, 'Should Historians Trust Late Nineteenth Century Company Financial Statements?', Business History, Vol.38 (1996), p.50.
16. R. Brief, 'Nineteenth Century Accounting Error', Journal of Accounting Research, Vol.3 (1965), pp. 12-31; G. Lee, 'The Concept of Profit in British Accounting, 1760-1900', Business History Review, Vol.XLIX (1975), pp.6-36. In specific industries, such as coal and iron, asset valuation and profit measurement might have been problematic, e.g., J. Wale, 'How Reliable were Reported Profits and Asset Values in the period 1890-1914? Case Studies from the British Coal Industry', Accounting and Business Research, Vol.20 (1990), pp.253-68; T. Baldwin, 'Management Aspiration and Audit Opinion: Fixed Asset Accounting at the Staveley Coal and Iron Company, 1863-83', Accounting and Business Research, Vol.25 (1994), pp.3-12; a broader based survey concluded that accounting reports were more reliable than previously thought, A.J. Arnold, 'Should Historians Trust Late Nineteenth Century Company Financial Statements?', Business History, Vol.38 (1996), p.50.
17. R. Brief, 'Nineteenth Century Accounting Error', Journal of Accounting Research, Vol.3 (1965), pp. 12-31; G. Lee, 'The Concept of Profit in British Accounting, 1760-1900', Business History Review, Vol.XLIX (1975), pp.6-36. In specific industries, such as coal and iron, asset valuation and profit measurement might have been problematic, e.g., J. Wale, 'How Reliable were Reported Profits and Asset Values in the period 1890-1914? Case Studies from the British Coal Industry', Accounting and Business Research, Vol.20 (1990), pp.253-68; T. Baldwin, 'Management Aspiration and Audit Opinion: Fixed Asset Accounting at the Staveley Coal and Iron Company, 1863-83', Accounting and Business Research, Vol.25 (1994), pp.3-12; a broader based survey concluded that accounting reports were more reliable than previously thought, A.J. Arnold, 'Should Historians Trust Late Nineteenth Century Company Financial Statements?', Business History, Vol.38 (1996), p.50.
18. R. Brief, 'Nineteenth Century Accounting Error', Journal of Accounting Research, Vol.3 (1965), pp. 12-31; G. Lee, 'The Concept of Profit in British Accounting, 1760-1900', Business History Review, Vol.XLIX (1975), pp.6-36. In specific industries, such as coal and iron, asset valuation and profit measurement might have been problematic, e.g., J. Wale, 'How Reliable were Reported Profits and Asset Values in the period 1890-1914? Case Studies from the British Coal Industry', Accounting and Business Research, Vol.20 (1990), pp.253-68; T. Baldwin, 'Management Aspiration and Audit Opinion: Fixed Asset Accounting at the Staveley Coal and Iron Company, 1863-83', Accounting and Business Research, Vol.25 (1994), pp.3-12; a broader based survey concluded that accounting reports were more reliable than previously thought, A.J. Arnold, 'Should Historians Trust Late Nineteenth Century Company Financial Statements?', Business History, Vol.38 (1996), p.50.
19. T. Corley, 'The Entrepreneur: The Central Issue in Business History', in J. Brown and M.B. Rose (eds.), Entrepreneurship, Networks and Modern Business (Manchester, 1993), pp.18-19.
20. M.B. Rose, Family Business (Aldershot, 1995), p.xviii.
21. M. Casson, Economics of Business Culture: Game Theory, Transaction Costs and Economic Performance (Oxford, 1991), pp.28, 238-9.
22. M.B. Rose, 'The Family Firm and the Management of Succession', in Rose and Brown (eds.), Entrepreneurship, p.28; idem, The Family Firm in British Business', in M.W. Kirby and M.B. Rose (eds.), Business Enterprise in Modern Britain (London, 1994), p.67.
23. M.B. Rose, 'The Family Firm and the Management of Succession', in Rose and Brown (eds.), Entrepreneurship, p.28; idem, The Family Firm in British Business', in M.W. Kirby and M.B. Rose (eds.), Business Enterprise in Modern Britain (London, 1994), p.67.
24. L. Putterman, The Economic Nature of the Firm (Cambridge, 1986), p.16.
25. Chandler, Scale and Scope, p.390; R. Church, 'The Family Firm in Industrial Capitalism', Business History, Vol.35 (1993), p.21.
26. Chandler, Scale and Scope, p.390; R. Church, 'The Family Firm in Industrial Capitalism', Business History, Vol.35 (1993), p.21.
27. Chandler, Scale and Scope, pp.240-42; B. Elbaum and W. Lazonick, The Decline of the British Economy (Oxford, 1986), p.2.
28. Chandler, Scale and Scope, pp.240-42; B. Elbaum and W. Lazonick, The Decline of the British Economy (Oxford, 1986), p.2.
29. Chandler, Scale and Scope, p.286.
30. Ibid., p.390.
31. J.S. Toms, 'The Finance and Growth of the Lancashire Cotton Textile Industry' (unpublished Ph.D. thesis, University of Nottingham, 1996), Chapter 11.
32. Ibid. Movements in the Oldham share index were strongly correlated with the price of gold; this had no impact on London prices of commercial and industrial companies which were driven instead by domestic gross national product.
33. A simple average index of 20 Oldham companies, selected from the Oldham Chronicle share listing and with a value of 100 at June 1890 had fallen to 50.2, its pre-war low, by March 1896. An index for companies quoted on the London stock exchange, calculated from the data in K.C. Smith and G.F. Horne, 'An Index Number of Securities, 1867-1914', London and Cambridge Economic Service, Special Memorandum, No.37 (1934), columns 1-10, pp.14-15) showed corresponding figures of 100 and 128.3. See also, 'Is the Cotton Trade Leaving the Country?', Textile Mercury, 21 Jan. 1893, p.43.
34. A simple average index of 20 Oldham companies, selected from the Oldham Chronicle share listing and with a value of 100 at June 1890 had fallen to 50.2, its pre-war low, by March 1896. An index for companies quoted on the London stock exchange, calculated from the data in K.C. Smith and G.F. Horne, 'An Index Number of Securities, 1867-1914', London and Cambridge Economic Service, Special Memorandum, No.37 (1934), columns 1-10, pp.14-15) showed corresponding figures of 100 and 128.3. See also, 'Is the Cotton Trade Leaving the Country?', Textile Mercury, 21 Jan. 1893, p.43.
35. Tyson, thesis, pp.294-5; Toms, 'Financial Constraints', pp.377; Toms, thesis, pp.90, 272.
36. Tyson, thesis, pp.294-5; Toms, 'Financial Constraints', pp.377; Toms, thesis, pp.90, 272.
37. Tyson, thesis, pp.294-5; Toms, 'Financial Constraints', pp.377; Toms, thesis, pp.90, 272.
38. Tyson, thesis, pp.251-2, 264.
39. E.E.H. Green, 'Rentiers versus Producers? The Political Economy of the Bimetallic Controversy, c.1880-1890', English Historical Review, Vol. CIII; 588-612;
40. A.C. Howe, Bimetallism, c. 1880-1890: a controversy reopened, English Historical Review, Vol.CV; pp.377-91.
41. Toms, 'Financial Constraints', pp.371-4.
42. Oldham Local Studies Library (hereafter, OLSL), Misc. 42/17, Werneth Cotton Spinning Co. Ltd, Quarterly Reports to Members, 1892; the Shiloh was another company which grew rapidly, constructing four new mills in this period, J. Worrall, The Cotton Spinners and Manufacturers Directory for Lancashire (Oldham, 1889 and 1913); D.J. Jeremy, 'T.E. Gartside' in D.J. Jeremy (ed.), Dictionary of Business Biography (hereafter DBB) (1984-86), pp.495-8.
43. Oldham Local Studies Library (hereafter, OLSL), Misc. 42/17, Werneth Cotton Spinning Co. Ltd, Quarterly Reports to Members, 1892; the Shiloh was another company which grew rapidly, constructing four new mills in this period, J. Worrall, The Cotton Spinners and Manufacturers Directory for Lancashire (Oldham, 1889 and 1913); D.J. Jeremy, 'T.E. Gartside' in D.J. Jeremy (ed.), Dictionary of Business Biography (hereafter DBB) (1984-86), pp.495-8.
44. Tyson, thesis, pp.286-90.
45. Courtaulds Archives Coventry (hereafter CAC), LCC/DOW.1, Dowry Cotton Spinning Co. Ltd., Nominal Ledgers, 1886-1914.
46. Worrall, Cotton Directory, 1889 and 1913
47. D.A. Farnie, 'John Bunting', in Jeremy (ed.) DBB, pp.506-9; Toms, 'Financial Constraints', p.377.
48. D.A. Farnie, 'John Bunting', in Jeremy (ed.) DBB, pp.506-9; Toms, 'Financial Constraints', p.377.
49. Other examples in Oldham included Thomas Henthorn (1850-1913), Harry Dixon (1880-1947), William Hopwood (1862-1936), Ralph Morton (1875-1942), T.E. Gartside (1857-1941), John S. Hammersley (1863-1933), and Sam Firth Mellor (1873-1938), D. Gurr and J. Hunt, The Cotton Mills of Oldham (Oldham, 1985), pp.9-10.
50. D.A. Farnie, English Cotton and the World Market, 1815-1896 (Oxford, 1979); J.S. Toms, 'The Supply of and the Demand for Accounting Information in an Unregulated Market', Accounting, Organisations and Society, Vol.22 (1997), forthcoming.
51. D.A. Farnie, English Cotton and the World Market, 1815-1896 (Oxford, 1979); J.S. Toms, 'The Supply of and the Demand for Accounting Information in an Unregulated Market', Accounting, Organisations and Society, Vol.22 (1997), forthcoming.
52. John Hawkins & Sons Ltd, Woodfold Mill Darwen (1895); Greenbank Mills, Preston (1898) Hartford Mill, Preston (1910); Abbey Mill, Withnell (1898); T. & R. Eccles, Lower Darwen Mill, Blackburn (1897); George Whiteley, Albion Works, Blackburn (1899); John Fish Ltd, Waterfall Mills, Blackburn (1906); Primrose Mill, Blackburn (1906). The William Birtwistle Group of Mills (privately published by the company) and Worrall, Cotton Directory, 1913.
53. John Hawkins & Sons Ltd, Woodfold Mill Darwen (1895); Greenbank Mills, Preston (1898) Hartford Mill, Preston (1910); Abbey Mill, Withnell (1898); T. & R. Eccles, Lower Darwen Mill, Blackburn (1897); George Whiteley, Albion Works, Blackburn (1899); John Fish Ltd, Waterfall Mills, Blackburn (1906); Primrose Mill, Blackburn (1906). The William Birtwistle Group of Mills (privately published by the company) and Worrall, Cotton Directory, 1913.
54. T. & R. Eccles & Co. Ltd., Lancashire County Record Office (hereafter, LCRO), DDX/868/7/1, Profit and Loss Accounts and Balance Sheets; G. Whiteley & Co. Ltd, LCRO, DDX/868/21/5, Balance Sheets.
55. Taken together, the companies had 107,588 mule spindles, 96,588 ring spindles and 6,720 looms. Birtwistle's empire was thus approximately the same size as Horrockses, having slightly less spinning capacity, but slightly more weaving; Worrall, Cotton Directory, 1913.
56. The William Birtwistle Group of Mills (privately published by the company, undated), Birtwistle continued his acquisitive strategy into the 1920s, for example with the acquisition of Ewood mills in 1928, Times, 17Dec. 1928 p.11g, and by the time of his death in 1936 controlled 16 mills, 'forming one of the largest combinations under the same management in Lancashire', The Times, 15 June 1936, p. 17d.
57. The William Birtwistle Group of Mills (privately published by the company, undated), Birtwistle continued his acquisitive strategy into the 1920s, for example with the acquisition of Ewood mills in 1928, Times, 17Dec. 1928 p.11g, and by the time of his death in 1936 controlled 16 mills, 'forming one of the largest combinations under the same management in Lancashire', The Times, 15 June 1936, p. 17d.
58. The William Birtwistle Group of Mills (privately published by the company, undated), Birtwistle continued his acquisitive strategy into the 1920s, for example with the acquisition of Ewood mills in 1928, Times, 17Dec. 1928 p.11g, and by the time of his death in 1936 controlled 16 mills, 'forming one of the largest combinations under the same management in Lancashire', The Times, 15 June 1936, p. 17d.
59. Farnie, 'John Bunting', in Jeremy (ed.), DBB, pp.506-9; Whiteley and Eccles were both conversions from partnerships in the late 1890s, and Liverpool cotton brokers, such as Henry Eccles, continued to be significant shareholders, Whiteley, LCRO, DDX/868/21/1, and Eccles, DDX/868/20/1, Ledgers and Registers of Members, Minute Book, Directors' Minutes.
60. J.S. Toms, 'The Financial Performance of the Lancashire Cotton Industry, 1880-1914', in I. Blanchard (ed.), New Directions in Economic and Social History (Edinburgh, 1995), p.33. In the 1912 balance sheet stocks stood at 110 per cent of fixed assets, compared to only 37 per cent in 1897, Eccles, LCRO, DDX/868/7/1. In the period 1897-1914 the company trebled its sales turnover, mainly for the Indian market, in the form of shirtings and 'dhooties', without needing to increase its capital.
61. Calculated from The William Birtwistle Group of Mills, and Worrall, Cotton Directory, 1913.
62. Calculated from The William Birtwistle Group of Mills, and Worrall, Cotton Directory, 1913.
63. Eccles, LCRO, DDX/868/7/1, Whiteley, DDX/868/21/5.
64. Poor judgement in futures produced some dramatic losses in the early 1890s, for example, at Sun Mill in Oldham, the Eagle in Rochdale, and Fieldens at Todmorden, Tyson, thesis, p. 275, Rochdale Observer, 9 April 1892, Fielden Brothers, West Yorkshire Record Office (hereafter, WYRO), C353/475, Detailed Accounts, 1891-94.
65. Centenary mill was named for the centenary of the founding of the firm by John Horrocks in 1791, G. Pedrick, The Story of Horrockses (Nottingham, 1950), p.27, although the mill was not brought into full production until five years later, J.S. Toms, 'The Profitability of the First Lancashire Merger: The Case of Horrockses Crewdson, 1887-1905', Textile History, Vol.24 (1993), p.135.
66. Centenary mill was named for the centenary of the founding of the firm by John Horrocks in 1791, G. Pedrick, The Story of Horrockses (Nottingham, 1950), p.27, although the mill was not brought into full production until five years later, J.S. Toms, 'The Profitability of the First Lancashire Merger: The Case of Horrockses Crewdson, 1887-1905', Textile History, Vol.24 (1993), p.135.
67. Chapman, Merchant Enterprise, p.318; Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.315; Coats Viyella Records (hereafter, CVR), Detailed Accounts.
68. Chapman, Merchant Enterprise, p.318; Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.315; Coats Viyella Records (hereafter, CVR), Detailed Accounts.
69. Manchester Central Reference Library (hereafter, MCRL), Tootal Broadhurst and Lee, M.461, Board Minutes Book No. 2, 28 Dec. 1897.
70. MCRL, M.461, Board Minute Book No. 2, 12 Sep. 1899 and Minute Book No. 3, 9 Sept. 1902.
71. The warehouse was reported as due for completion in October 1898; MCRL, M.461, Board Minute Book No. 2, 27 Sept. 1898.
72. WYRO, C353/475, 1890-1914; J.S. Toms, 'Integration, Innovation and the Progress of a Family Cotton Enterprise: Fielden Brothers Ltd, 1889-1914', Textile History, Vol.27 (1996), pp.79-80.
73. In 1912, ratios of directors' emoluments to sales ranged from 7.15 per cent at Fielden to 1.98 per cent at Eccles and 1.22 per cent at Horrockses (calculated from sources listed in the Appendix 1, Table 5); in Oldham, Werneth at 0.34 per cent (calculated as above) was more typical, see B. Potter, The Co-operative Movement in Great Britain (Aldershot, 1891, reprinted 1987).
74. London Guildhall Library (herafter, LGL), Commercial Reports, Rylands & Sons Ltd., 1884-1895.
75. Farnie, 'John Rylands', pp.66-9.
76. LGL, Commercial Reports, 1899-1913.
77. In the depression of 1894-95, Sun Mill directors visited loan holders personally to persuade them to retain their investment, Tyson, thesis, p.281.
78. T. & R. Eccles, LCRO DDX/868/20/1, p.5; G. Whiteley Ltd, DDX/868/21/1, p.29.
79. Oldham Chronicle, 'Cotton Trade in 1907', 28 Dec. 1907, p.8(ii).
80. Economist, 23 Dec. 1848.
81. D.A. Farnie, The Manchester Ship Canal and the Rise of the Port of Manchester, 1894-1975 (Manchester, 1980), pp.74-5.
82. D.A. Farnie, 'An Index of Commercial Activity: The Membership of the Manchester Royal Exchange, 1809-1948', Business History, Vol.21 (1979), pp.97-8; Rose, 'The Family Firm', p.76.
83. D.A. Farnie, 'An Index of Commercial Activity: The Membership of the Manchester Royal Exchange, 1809-1948', Business History, Vol.21 (1979), pp.97-8; Rose, 'The Family Firm', p.76.
84. The mills were in the township of Milnrow south-east of Rochdale and north-west of Oldham. Ring spinning developed from the earlier throstle which in turn dated back to the continuous spinning of Arkwright's water frame. Mule spinning was intermittent, with twist inserted only on the outward movement of a wheeled carriage. For a more detailed explanation see L. Sandberg, Lancashire in Decline (Ohio, 1974), pp. 18-20.
85. 'Milnrow Ring Spinning Companies', Rochdale Observer, 28 June 1890, p.4. Similar loose structures were beginning to emerge elsewhere in Lancashire, for example, the so-called 'Bunting group': see D.A. Farnie, 'John Bunting', in D. Jeremy (ed.), DBB; pp.506-9.
86. 'Milnrow Ring Spinning Companies', Rochdale Observer, 28 June 1890, p.4. Similar loose structures were beginning to emerge elsewhere in Lancashire, for example, the so-called 'Bunting group': see D.A. Farnie, 'John Bunting', in D. Jeremy (ed.), DBB; pp.506-9.
87. Commenting on the profit per spindle results for 1890, in a table showing the Milnrow group at 1st, 2nd and 4th positions out of a total of 68 mills, an Oldham Chronicle correspondent wrote: 'The ring spindle concerns lead the way as usual...', 3 Jan. 1891.
88. Rose (ed.), Family Business, p.xx; P. Scranton, 'Learning Manufacture: Education and Shop-Floor Schooling in the Family Firm', in Rose (ed.), Family Business, pp.303-25.
89. Rose (ed.), Family Business, p.xx; P. Scranton, 'Learning Manufacture: Education and Shop-Floor Schooling in the Family Firm', in Rose (ed.), Family Business, pp.303-25.
90. Textile Recorder, 13 May 1897. The spread of ring spinning in Rochdale was attributed to the previous tradition of throstle spinning (see also Cotton Factory Times, 26 March 1897) and in the 1870s coincided with an increased dependence on flannels and flannelettes, the latter being introduced in 1883; D.A. Farnie, 'The Cotton Towns of Greater Manchester', in M. Williams with D.A. Farnie (eds.), Cotton Mills in Greater Manchester (1992), p.44.
91. Textile Recorder, 13 May 1897. The spread of ring spinning in Rochdale was attributed to the previous tradition of throstle spinning (see also Cotton Factory Times, 26 March 1897) and in the 1870s coincided with an increased dependence on flannels and flannelettes, the latter being introduced in 1883; D.A. Farnie, 'The Cotton Towns of Greater Manchester', in M. Williams with D.A. Farnie (eds.), Cotton Mills in Greater Manchester (1992), p.44.
92. Textile Recorder, 13 May 1897. The spread of ring spinning in Rochdale was attributed to the previous tradition of throstle spinning (see also Cotton Factory Times, 26 March 1897) and in the 1870s coincided with an increased dependence on flannels and flannelettes, the latter being introduced in 1883; D.A. Farnie, 'The Cotton Towns of Greater Manchester', in M. Williams with D.A. Farnie (eds.), Cotton Mills in Greater Manchester (1992), p.44.
93. These were the Hathershaw, Stanley, Lees Union and Dowry Spinning Companies; Oldham Chronicle, 1 Oct. 1889, Rochdale Observer, 28 June 1890 (for ring spinners). Oldham companies attempted to drive down labour cost by increasing capital intensity, S. Kenney, 'Sub-regional Specialisation in the Lancashire Cotton Industry: A Study in Organisational and Locational Change', Journal of Historical Geography, Vol.8 (1982), p.54.
94. 'Ring Spinning', Rochdale Observer, 4 Jan. 1890, p.6; 'New Flexible Flyer Spinning Frame, for Spinning Weft', Textile Mercury, 5 Dec. 1896.
95. 'Ring Spinning', Rochdale Observer, 4 Jan. 1890, p.6; 'New Flexible Flyer Spinning Frame, for Spinning Weft', Textile Mercury, 5 Dec. 1896.
96. G. Saxonhouse and G. Wright, 'Rings and Mules around the World: A Comparative Study in Technological Choice', Research in Economic History, Supplement 3 (1984), p.289. The US patent of John Thorp was adopted and patented in England within six months by George William Lee in 1829; D.J. Jeremy, Transatlantic Industrial Revolution: The Diffusion of Textile Technologies between Britain and America, 1790-1830s (Cambridge, MA, 1981), pp.214 and 243.
97. G. Saxonhouse and G. Wright, 'Rings and Mules around the World: A Comparative Study in Technological Choice', Research in Economic History, Supplement 3 (1984), p.289. The US patent of John Thorp was adopted and patented in England within six months by George William Lee in 1829; D.J. Jeremy, Transatlantic Industrial Revolution: The Diffusion of Textile Technologies between Britain and America, 1790-1830s (Cambridge, MA, 1981), pp.214 and 243.
98. Rochdale Local Studies Library, New Ladyhouse Cotton Spinning Co. Ltd, Memorandum and Articles of Association; 'Milnrow Ring Spinning Companies', Rochdale Observer, 28 June 1890, p.4. The New Ladyhouse followed an earlier and smaller experiment at Bright Bros.
99. Farnie, English Cotton, p.230; Farnie, 'Cotton Towns', p.44.
100. Farnie, English Cotton, p.230; Farnie, 'Cotton Towns', p.44.
101. Their sale in 1877-78 did not feature in the surveys by Saxonhouse and Wright, 'Rings and Mules', Tables 7 and 8, pp.282-3, and 'New Evidence', Table 1, p 509.
102. 'Ring Spinning and its Development; with Especial Reference to its Introduction into Rochdale', Rochdale Observer, 4 Jan. 1890; R. Kirk, 'John Bullough', in Jeremy (ed.), DBB, p.502.
103. 'Ring Spinning and its Development; with Especial Reference to its Introduction into Rochdale', Rochdale Observer, 4 Jan. 1890; R. Kirk, 'John Bullough', in Jeremy (ed.), DBB, p.502.
104. 'Milnrow Ring Spinning Companies', Rochdale Observer, 28 June 1890.
105. I am grateful to D.A. Farnie for information on this mill.
106. Belgrave No. Two had only 43,200 spindles, although Iris (62,568), Moston Ring (59,796) and Royton Ring (64,176) were more typical. By contrast, the median mule specialist in the Oldham district was by this time of the order of 100-130 thousand spindles. The largest, Times No. Two, at 174,000 spindles, revealed the limits of economies of scale in the mule section; see Jones, thesis, p.88.
107. Worrall, Cotton Directory, 1889; see the company's advertisement in the annual editions of the directory.
108. 'Funeral of Mr. James Heap', Rochdale Observer, 16 April 1892.
109. Such contradictions were keenly felt throughout Lancashire, especially where joint stock companies were prevalent; P. Joyce, Work, Society and Politics: The Culture of the Factory in Late Victorian England (Brighton, 1980), pp.339-40.
110. The mills, with one exception, closed on the morning of James Heap's funeral in 1892, and flags flew at half mast above the mills, the school, the Educational Institute, and the Conservative club, 'Funeral of James Heap', Rochdale Observer, 13 April 1892.
111. For example, in response to events in the Stalybridge dispute in 1892, the hands employed at the Milnrow companies were placed on a week's notice, Rochdale Observer, 9 April 1892.
112. C. Simmons, 'Denis Machell Hollins', in Jeremy (ed.), DBB, p.308; A.C. Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.316; M. Dupree, 'Edward Tootal Broadhurst', in Jeremy (ed.), DBB, p.452. Draper Corporation, the US parent, retained two-thirds of the shares; S.B. Saul, 'The Engineering Industry', in D. Aldcroft (ed.), The Development of British Industry and Foreign Competition (London, 1968), p.195.
113. C. Simmons, 'Denis Machell Hollins', in Jeremy (ed.), DBB, p.308; A.C. Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.316; M. Dupree, 'Edward Tootal Broadhurst', in Jeremy (ed.), DBB, p.452. Draper Corporation, the US parent, retained two-thirds of the shares; S.B. Saul, 'The Engineering Industry', in D. Aldcroft (ed.), The Development of British Industry and Foreign Competition (London, 1968), p.195.
114. C. Simmons, 'Denis Machell Hollins', in Jeremy (ed.), DBB, p.308; A.C. Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.316; M. Dupree, 'Edward Tootal Broadhurst', in Jeremy (ed.), DBB, p.452. Draper Corporation, the US parent, retained two-thirds of the shares; S.B. Saul, 'The Engineering Industry', in D. Aldcroft (ed.), The Development of British Industry and Foreign Competition (London, 1968), p.195.
115. C. Simmons, 'Denis Machell Hollins', in Jeremy (ed.), DBB, p.308; A.C. Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.316; M. Dupree, 'Edward Tootal Broadhurst', in Jeremy (ed.), DBB, p.452. Draper Corporation, the US parent, retained two-thirds of the shares; S.B. Saul, 'The Engineering Industry', in D. Aldcroft (ed.), The Development of British Industry and Foreign Competition (London, 1968), p.195.
116. The only other recorded instance of a pre-1914 experiment was at Fielden Brothers of Todmorden; J.S. Toms, 'Integration, Innovation, and the Progress of a Family Cotton Enterprise: Fielden Brothers Ltd, 1889-1914', Textile History, Vol.27 (1996), pp.77-100.
117. Sandberg, Lancashire in Decline, p.77.
118. In 1911, 34 per cent of all automatics in Lancashire were installed at Ashtons; calculated from A. Fowler, 'Trade Unions and Technical Change: The Automatic Loom Strike, 1908', North West Bulletin of Labour History (1980), p.43; and Worrall, Cotton Directory (1913), which recorded Ashtons having 98,594 ring spindles and 67,284 mule spindles and 4,445 looms.
119. In 1911, 34 per cent of all automatics in Lancashire were installed at Ashtons; calculated from A. Fowler, 'Trade Unions and Technical Change: The Automatic Loom Strike, 1908', North West Bulletin of Labour History (1980), p.43; and Worrall, Cotton Directory (1913), which recorded Ashtons having 98,594 ring spindles and 67,284 mule spindles and 4,445 looms.
120. LGL, Commercial Reports, Ashton Brothers & Co. Ltd; T. Skinner, Stock Exchange Official Year Book (London, 1900).
121. Fowler, 'Trade Unions', pp.45-6.
122. Ibid, p.53.
123. For examples of the paternalism of the earlier Gregs, see M. Rose, 'Henry Philips Greg', in Jeremy (ed.), DBB, pp.647-8. At Tootals, the Sunnyside Institute was an established hallmark of Victorian paternalism, J. Liddington, Z. Mumby and J. Seddon, 'There's no Room on Daubhill for me', unpublished working paper, Manchester Metropolitan University, p.31.
124. For examples of the paternalism of the earlier Gregs, see M. Rose, 'Henry Philips Greg', in Jeremy (ed.), DBB, pp.647-8. At Tootals, the Sunnyside Institute was an established hallmark of Victorian paternalism, J. Liddington, Z. Mumby and J. Seddon, 'There's no Room on Daubhill for me', unpublished working paper, Manchester Metropolitan University, p.31.
125. C. O'Mahoney, Quarry Bank Mill Memoranda: A Journal of Everyday Life in a Nineteenth Century Cotton Mill (Manchester, 1989), pp.66, 71 and 75; automatics were not introduced until 1909, Rose, Gregs of Quarry Bank, p.98.
126. C. O'Mahoney, Quarry Bank Mill Memoranda: A Journal of Everyday Life in a Nineteenth Century Cotton Mill (Manchester, 1989), pp.66, 71 and 75; automatics were not introduced until 1909, Rose, Gregs of Quarry Bank, p.98.
127. Liddington, Mumby, and Seddon, 'Daubhill', pp. 1-2. The attitude of Harold Lee led to an escalation into a bitter dispute; for a description of the warp stop motion; see Sandberg, Lancashire in Decline, pp.81-2.
128. Liddington, Mumby, and Seddon, 'Daubhill', pp. 1-2. The attitude of Harold Lee led to an escalation into a bitter dispute; for a description of the warp stop motion; see Sandberg, Lancashire in Decline, pp.81-2.
129. Replacement non-union labour.
130. MCRL, M461, Board Minute Book No. 3, Directors report to shareholders, 4 Sept. 1906.
131. Ibid.
132. Liddington, Mumby and Seddon, 'Daubhill'.
133. For example, Tootal sold into a broad range of international and domestic markets but without the dependence on India characteristic of many specialist coarse spinners; MCRL, Finance Committee, Minute Book No. 1, 24 Nov. 1890.
134. Amalgamated Cotton Mills Trust Ltd., Concerning Cotton (published by the company, 1920); Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.315. Brand names were applied to products from other producers such as the Hollins and Co. 'Viyella' brand, and the goods marketed on their behalf, F.A. Wells, Hollins and Viyella: A Study in Business History (Newton Abbot 1968), p.98.
135. Amalgamated Cotton Mills Trust Ltd., Concerning Cotton (published by the company, 1920); Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.315. Brand names were applied to products from other producers such as the Hollins and Co. 'Viyella' brand, and the goods marketed on their behalf, F.A. Wells, Hollins and Viyella: A Study in Business History (Newton Abbot 1968), p.98.
136. Amalgamated Cotton Mills Trust Ltd., Concerning Cotton (published by the company, 1920); Howe, 'Sir Frank Hollins', in Jeremy (ed.), DBB, p.315. Brand names were applied to products from other producers such as the Hollins and Co. 'Viyella' brand, and the goods marketed on their behalf, F.A. Wells, Hollins and Viyella: A Study in Business History (Newton Abbot 1968), p.98.
137. A.C. Howe, 'Henry Lee and Joseph Cocksey Lee', in Jeremy (ed.), DBB, p.708. In the West Indies, in June 1891, overdue accounts reached £34,900, or more than half the total outstanding, MCRL, M.461, Finance Committee Minute Book No.1, 22 June 1891. In 1894 and 1895, there was insufficient capital to pay a dividend, MCRL, M.461, Minutes of General Meetings, Minute Book No. 2, Auditor's Reports, 9 Oct. 1894 and 22 Oct. 1895.
138. A solution of sorts was found, through the implementation of a 'scheme' suggested by the Auditor. This involved the revaluation of property assets, thereby creating a reserve against which bad debts of over £69,000 could be written off without reducing reported and distributable profits to catastrophic levels, MCRL, M.461, Board Minutes; Minutes of Annual General Meetings, Minute Book No. 2., 29 Sept. 1896.
139. MCRL, M.461, Board Minute Book No. 2, 21 Sept. 1897.
140. Howe, 'Henry Lee and Joseph Cocksey Lee', in Jeremy (ed.), DBB, pp.708-9.
141. MCRL, M.461, Board Minute Book No.1, 8 March 1888.
142. D. Higgins, 'Structural Constraints and Financial Performance in the Lancashire Textile Industry, c.1945-60', Management School Discussion Paper No. 92.51; University of Sheffield (1992); J.S. Toms, 'The First Lancashire Merger', pp.129-46.
143. D. Higgins, 'Structural Constraints and Financial Performance in the Lancashire Textile Industry, c.1945-60', Management School Discussion Paper No. 92.51; University of Sheffield (1992); J.S. Toms, 'The First Lancashire Merger', pp.129-46.
144. Toms, 'The First Lancashire Merger', p. 133. At Tootals, family liaison helped overcome some of the conflict; Howe, 'Henry Lee and Joseph Cocksey Lee', p.706.
145. Toms, 'The First Lancashire Merger', p. 133. At Tootals, family liaison helped overcome some of the conflict; Howe, 'Henry Lee and Joseph Cocksey Lee', p.706.
146. Per the listing in Royal Commission on Historical Manuscripts, Records of British Business and Industry, 1760-1914: Textiles and Leather (London, 1990). Firms with the longest continuous archive of accounting records and directors' minutes were given precedence.
147. 'Commercial Reports', Oldham Chronicle, 2 April 1884-27 Dec. 1913. Saturday issues published the quarterly reports of companies detailing profits, dividends, share and loan capital.
148. For example, certain Rochdale companies, namely the New Ladyhouse, New Hey and Haugh Spinning Companies, were particularly important as pioneers of ring spinning.
149. Foremost among these was Ashton Brothers of Hyde, which, as a pioneer in automatic weaving, has attracted considerable comment; Sandberg, Lancashire in Decline, pp.80-81; W. Lazonick, 'Industrial Organisation and Technological Change: The Decline of the British Cotton Industry', Business History Review, Vol.VVII (1983), pp.211-2; Fowler, 'Trade Unions', pp.43-55.
150. Foremost among these was Ashton Brothers of Hyde, which, as a pioneer in automatic weaving, has attracted considerable comment; Sandberg, Lancashire in Decline, pp.80-81; W. Lazonick, 'Industrial Organisation and Technological Change: The Decline of the British Cotton Industry', Business History Review, Vol.VVII (1983), pp.211-2; Fowler, 'Trade Unions', pp.43-55.
151. Foremost among these was Ashton Brothers of Hyde, which, as a pioneer in automatic weaving, has attracted considerable comment; Sandberg, Lancashire in Decline, pp.80-81; W. Lazonick, 'Industrial Organisation and Technological Change: The Decline of the British Cotton Industry', Business History Review, Vol.VVII (1983), pp.211-2; Fowler, 'Trade Unions', pp.43-55.
152. Notable examples of the former included J. & P. Coats, and the English Sewing Cotton company, and of the latter, the Bleachers' Association and the Calico Printers' Association.