The Comeback of Caterpillar, 1985-2002

Case Study #1: пїЅThe Comeback of Caterpillar, 1985-2002.пїЅ

Synopsis:

In the early 1900пїЅs the heavy steam tractors of farmers of the delta in the San Joaquin Valley, California, consistently sunk into the moist soil. Their attempts at bigger wheel to solve the problem proved futile. Benjamin Holt, a combine maker, replaced the tractor wheels with tracks, distributing the tractorпїЅs weight more evenly over a broader surface that gave the tractors more traction. Additionally, he replaced the heavy steam engines with gasoline that made the tractors lighter and solved the problem of sinking into the soil. Holt nicknamed the tractors Caterpillar, acquired the trademark and incorporated it into several of the crawler-type machines that his companied had manufactured and sold. By 1915 his tractors were sold in over 20 countries. In 1925 the Holt Company merged with the Best Tractor Company to form Caterpillar (25-3).

The military was the first to use the crawler tractors outside of the agricultural industry. During the early 1930пїЅs, Caterpillar discontinued the combine manufacturing and concentrated its efforts into the