Creativity Each Day


Trust For hard rock band, see Trust . For the song by thrash metal, Megadeth, see Trust (Megadeth song). The term trust (English word “trust”) refers, in the economic field, at a concentration of companies under one management. Legal control of the constituent corporations was vested in the board of trustees, changing the shares of companies for trust certificates. It is the union of different businesses under one central management for the purpose of exercising control over sales and marketing of products. Usually given as misrepresentation of the holding. The trust tends to control a sector where possible and exercise of monopoly power, could be horizontal, when the companies producing the same goods or providing the same services, or vertically, the Group had conducted business activities.The step towards the emergence of trust is the collaboration between several companies who join in order to obtain certain economic benefits from such collaboration. This cooperation between the signatory companies do not have a binding effect, so it gave some instability. To give greater force to those non-binding agreements establishing the trust. The first combination that took this form was the Standard Oil Trust, founded in 1882. In 1890 the Sherman Act outlawed trusts in the United States.