The history of American business began with the colonial period. This was a time of great changes resulting in new inventions and new ways to bring in more business. The revolution affected business systems with the advent of peace in 1783. After 1789, the success of American Business resulted from the creation of the world's largest internal market. The large geographical area helped to promote its growth. Necessary elements for market trading were fulfilled. The merchants enjoyed the benefits of the success, enjoying luxury goods and fine homes. This was also known as the puritan legacy.
Benjamin Franklin expressed puritan values such as “ a penny saved is a penny earned” and “ Lose no time; be always employ’d in something useful cut off all unnecessary actions. This helped promote the importance of the American business system.New inventions were an important aspect in the development of American business. Merchants endorsed bills of exchange, which circulated as a kind of currency. The business practices began to change after 1740 when the economy started growing.
By mid-1750s, many merchants were leaning towards using double-entry bookkeeping. It became a widely known method, which gained prominence in the economy. New handbooks began circulating which helped regulate business methods. Soon thereafter, Colonial newspapers were established which held vital statistics of the economy including trade statistics, commodity prices, and shipping information. The clearing of land for farms and the development businesses led to colonial America’s prosperous period. It’s important to note that the initiatives held by the merchants’ beliefs of wealth accumulation gave insight into successful business enterprises. The risks and ventures taken by the merchants ranked them into the highest social class. The puritan views influenced the growth of the colonial period leading to a system known as Capitalism.
The success of American business would not have been possible without the Puritan Legacy delivered by the Calvinists. The legacy holds an emphasis on working hard and attaining prosperity by doing so. With God being a prominent figure in Puritan values, many saw his power as an inspiration. Theologist John Calvin helped stress the importance of God and salvation. Hard work was the element of salvation, an idea that blended nicely with colonial society, leading to a Protestant ethic. It was seen that all abide by the Lords teachings, harvesting life’s resources and creating wealth. These ideas were assisted by the writings of Benjamin Franklin, who once said, “A penny saved is a penny earned”. His prominence in the community helped popularize these ideas, reaching the growing population and an understanding of Puritan values. A new system, Capitalism, was formed bringing forth a new age in the accumulation of wealth.