A History of Business in Medieval Europe, 1200–1550 (Cambridge Medieval Textbooks)

This book demolishes the widely held view that the phrase 'medieval business' is an oxymoron. The authors review the entire range of business in medieval western Europe, probing its Roman and Christian heritage to discover the economic and political forces that shaped the organization of agriculture, manufacturing, construction, mining, transportation and marketing. Businessmen's responses to the devastating plagues, famines, and warfare that beset Europe in the late Middle Ages are equally well covered. Medieval businessmen's remarkable success in coping with this hostile new environment was 'a harvest of adversity' that prepared the way for the economic expansion of the sixteenth century. Two main themes run through this book. First, the force and direction of business development in this period stemmed primarily from the demands of the elite. Second, the lasting legacy of medieval businessmen was less their skillful adaptations of imported inventions than their brilliant innovations in business organization. History of Business in Medival Europe 2 Cambridge Medieval Textbooks A HISTORY OF BUSINESS IN MEDIEVAL EUROPE, 1200–1550 4 Title 6 Copyright 7 CONTENTS 8 ILLUSTRATIONS 10 INTRODUCTION 12 PART I BEFORE THE BLACK DEATH: PROGRESS AND PROBLEMS 20 CHAPTER 1 ECONOMICS, CULTURE, AND GEOGRAPHY OF EARLY MEDIEVAL TRADE 22 ROME’S DIETARY LEGACY - BREAD ABOVE ALL 23 THE ROLE OF CHRISTIAN CULTURE 26 LORDSHIP, COOPERATION, AND TECHNOLOGY 29 MARKETS, MONEY, AND MERCHANTS 34 THE CHAMPAGNE FAIRS 39 CHAPTER 2 TOOLS OF TRADE: BUSINESS ORGANIZATION 42 THE ARTISANS - EVOLUTION OF WAGE LABOR AND GUILDS3 44 THE TEXTILE INDUSTRY 49 THE CONSTRUCTION INDUSTRY 53 MINING, METALLURGY, AND MINTING 56 THE TRANSPORTATION INDUSTRY 58 CHAPTER 3 TRADERS AND THEIR TOOLS 63 THE MERCHANT “CLASSES” 63 ORGANIZATION OF INTERNATIONAL TRADE 65 TOOLS FOR MANAGING RISK 71 TOOLS FOR LUBRICATING TRADE: MERCHANT-BANKING AND THE BILL OF EXCHANGE 74 BUSINESS AND THE CHURCH 78 Tourism 78 Pervasiveness of Christian morality and church authority 80 The doctrine of usury and business adaptations to it 81 CHAPTER 4 THE POLITICS OF BUSINESS 86 EVOLVING RELATIONSHIPS OF GOVERNMENT AND BUSINESS 87 MARKETS AND TOWNS - ENGLAND 90 ROYAL CITIES - FRANCE, SPAIN, AND ARAGON 92 France 92 Spain and Aragon 93 COMMERCIAL-INDUSTRIAL TOWNS - FLANDERS AND GERMANY 95 Flanders 95 Germany 97 CITY-STATES OF ITALY: GENOA, VENICE, AND FLORENCE 98 ITALIAN BUSINESSMEN IN WESTERN EUROPE 103 EVOLUTION OF LAW 107 CHAPTER 5 BUSINESS GETS BIGGER: THE SUPER-COMPANY PHENOMENON 110 THE BUSINESS NEED FOR LARGER COMPANIES 111 EMERGENCE OF THE SUPER-COMPANIES 113 THE SUPER-COMPANIES 116 Legal structure 116 Organization and personnel 117 Accounting systems 120 Relationships with families, Florence, church, and each other 123 EXPLANATIONS FOR THE COLLAPSE OF THE SUPER-COMPANIES 127 Losses on loans to Edward III 127 Change in the gold-silver ratio 129 Deterioration of the international grain trade 130 THE DISAPPEARANCE OF THE SUPER-COMPANIES 130 THE END OF THE GREAT EXPANSION 132 PART I I BUSINESS IN THE LATE MIDDLE AGES: A HARVEST OF ADVERSITY 134 INTRODUCTION 136 CHAPTER 6 THE NEW BUSINESS ENVIRONMENT OF THE LATE MIDDLE AGES 143 EVOLUTION OF AGRICULTURE IN THE FOURTEENTH CENTURY 143 MONEY SUPPLY DURING THE LATE MIDDLE AGES 148 WAGES, PRICES, AND GUILD ORGANIZATION IN THE FOURTEENTH CENTURY 153 THE TRANSPORTATION INDUSTRY 156 INTERNATIONAL COMMERCE 158 CHAPTER 7 BUSINESS RESPONSES TO THE NEW ENVIRONMENT 162 COST CONTROL AND TECHNOLOGY 162 MERCHANT ADAPTATIONS - ITALIAN 165 Organization: Alberti and Datini companies 165 Accounting, costing, and reporting 168 Risk management and insurance 169 MERCHANT ADAPTATIONS - FLEMISH 171 MERCHANT ADAPTATIONS - THE HANSE 175 THE TEXTILE INDUSTRY 177 SUPPLYING THE MILITARY 181 MINING AND METALLURGY 183 SHIPBUILDING 185 CHAPTER 8 THE FIFTEENTH CENTURY: REVOLUTIONARY RESULTS FROM OLD PROCESSES 189 NEW LIMITATIONS ON ACCESS TO EASTERN TRADE 190 NEW COMPETITORS IN THE MEDITERRANEAN TRADE: CATALANS, FLORENTINES, FRENCH, AND ENGLISH 192 THE LOOSENING OF THE ALUM MONOPOLY 194 THE PORTUGUESE: EARLY EXPLORATIONS SOUTH INTO THE ATLANTIC 195 RESURGENCE OF SLAVERY AND THE EXPANSION OF THE SUGAR INDUSTRY 197 THE INDUSTRIALIZATION OF FOOD SUPPLIES: TWO CASE STUDIES FROM THE NORTH 198 Fishing 199 Brewing 200 THE LATE MEDIEVAL REVIVAL OF FAIRS 203 “BANKERS” BECOME PRODUCERS: EXAMPLES FROM ITALY, FRANCE, AND GERMANY 206 The Medici 206 Jacques Coeur 207 The Augsburgers 208 PAPER, PRINTING, AND PUBLISHING 209 CHAPTER 9 SOURCES OF CAPITAL IN THE LATE MIDDLE AGES 215 MOBILIZING CAPITAL: THE KEY ROLE OF GOVERNMENTS 216 BANKING AND THE USE OF FRACTIONAL RESERVES 220 NEW DEVELOPMENTS IN COMMERCIAL CREDIT AND EXCHANGE 223 Expanded use of credit instruments in Northern Europe 223 The Antwerp Bourse 224 CONSUMER CREDIT 226 AVAILABILITY OF CAPITAL TO MEET BUSINESS NEEDS 227 COLLABORATION OF BUSINESS AND GOVERNMENT IN THE MARITIME EXPLORATIONS OF THE LATE MIDDLE AGES 230 Portugal 230 Spain 231 THE FUGGER PHENOMENON 233 CHAPTER 10 A NEW AGE FOR BUSINESS 237 DEMOGRAPHIC RECOVERY 237 THE GREAT INFLATION 239 MARKET DEVELOPMENTS 240 Spices and metals 240 Textiles 241 ANTWERP: COMMERCIAL AND FINANCIAL HUB OF “NEW AGE” EUROPE 243 REGIONAL DEVELOPMENTS 247 Decline of the Hanse 247 France 247 Italy 248 Spain 249 ACCOUNTING AND FINANCIAL CONTROLS IN A CHANGING ENVIRONMENT 250 RELIGION, REFORMATION, AND BUSINESS 253 CONCLUSIONS 257 NOTES 261 FURTHER READING 271 INDEX 280 A History of Business in Medieval Europe, 1200-1550, demolishes the widely held view that the phrase "medieval business" is an oxymoron. The authors review the entire range of business in medieval western Europe, probing its Roman and Christian heritage to discover the economic and political forces that shaped the organization of agriculture, manufacturing, construction, mining, transportation, and marketing. Then they deal with the responses of businessmen to the devastating plagues, famines, and warfare that beset Europe in the late Middle Ages. The remarkable success in coping with this hostile new environment was "a harvest of adversity" that prepared the way for the economic expansion of the sixteenth century. Two main themes run through the book. First, the force and direction of business development in this period stemmed primarily from the demands of the elite. Second, the lasting legacy of medieval businessmen was less their skillful adaptations of imported inventions than their brilliant innovations in business organization. A History of Business in Medieval Europe, 1200-1550, demolishes the widely held view that the phrase "medieval business" is an oxymoron. The authors review the entire range of business in medieval western Europe, probing its Roman and Christian heritage to discover the economic and political forces that shaped the organization of agriculture, manufacturing, construction, mining, transportation, and marketing. Then they deal with the responses of businessmen to the devastating plagues, famines, and warfare that beset Europe in the late Middle Ages. Medieval businessmen's remarkable success in coping with this hostile new environment prepared the way for the economic expansion of the sixteenth century. This text attacks the widely held view that the phrase medieval business is an oxymoron. The authors review the entire range of business in medieval Western Europe, probing its Roman and Christian heritage to discover the economic and political forces that shaped the organization of agriculture, manufacturing, construction, mining, transportation and marketing Edwin S. Hunt, James M. Murray. Includes Bibliographical References (p. 260-268) And Index.