How effective was this system of pitting
man against man, plant against plant, was
shown by the dominant position of the Carnegie
Company in the trade when the Steel
Corporation was launched and by the stag-

gering value put upon its business. Indirect
testimony of the same fact was given another
time by Jones when he refused thousands of
dollars in yearly royalties for the use of his
inventions by outside companies, this though
the men who sought them were personal friends
and his contract with the Carnegie Company
allowed such licenses. His excuse was eloquent
of the power residing in the Carnegie
contest for efficiency and results: leadership
for his charge, the Edgar Thompson works, in
output and costs, meant more to him than
money and a chance to help his friends.

_The Carnegie system was one of the most
comprehensive applications in business of man's
instinct of competition to the work of increasing
individual and organization efficiency_.

In the handling of executives it was carried
to such extremes as few great managers would
approve to-day. Undeniably, however, the
contest idea was an important influence in the