Overview

This chapter surveys the international business history of mining from the mid-nineteenth century to the present in order to put into context the development and the economic contribution of the mining sector. While necessarily wide-ranging, the chapter focuses on the following areas. The growth of mining business is discussed with reference to production, prices and other economic indicators. The development of mining businesses is then surveyed from the first era of globalisation (from the mid-nineteenth century to 1914), through the twentieth century, and to the present. The issue of consolidation in the sector through merger and acquisition is considered, as well as the role of state-owned enterprises (SOEs) and cartels. The organisational forms of mining enterprises are discussed with reference to the capital requirements of mining. What emerges is a story of a dynamic business sector that has weathered the storms of wars, recessions and nationalisations. From small-scale prospectors in the nineteenth century to networked firms coordinated by financiers in the early nineteenth century, to the large-scale multinational firms seen today, mining companies have made a sustained contribution to growth in the world economy, a position which they look set to retain.