It is possible to consider the growing process of the formation of the operating organization in English railway in the following two aspects. The first is the process brought forth by the running of railway carriages, which made it necessary to form some primitive organization. This organisation gradually developed with the subdivision of the existing functions and the creation of the new functions, and with precise definition of the workers' duty. The second is the process enforced by the through-traffic, which neces sarily led to the establishment of the Railway Clearing House and to the decision on the standard gauge. Through this process the operating organization became more unified and standardized in major railway companies except G. W. R. which adopted the broad gauge. The size and scope of the operating organization was limited at first. It was obliged to depend upon the contracting system in doing such work as maintenance of permanent way, loading and unloading goods, and repair of carriages. But with the increased capacity of management the company, being confronted with the difficult problem of ensuring safety at limited expenses, began to exercise direct control over work as mentioned above.
In 1925, with the intention of joining hands in marketing of synthetic gasoline, B. A. S. F. began to approach Jersey Standard. Though Jersey held a different view on immediate commercial value of coal hydrogenation process, Jersey appreciated its great potential and decided to buy the patent right of this process. The purpose of this paper is to analyze the inter-action of these two companies with the aid of the theory of bargaining. Whole process can be divided into several stages. The further the negociation proceeded, the more subjects were taken up for discussion. As time passed by, each party percieved the other party's aims more accurately. In those days, new petro-chemical industry were emerging between chemi cal and oil industry. Having rather limited interests in this new fields, Jersey admitted the prefered position of I. G. Farben in chemical industry. And at last, they concluded a series of contracts which contained many provisions for co-operation in braod commercial and technical fields.
In any economic system not in a state of complete stagnation, there must be somebody exercising the abilities to see new economic possibilities, the foresight to develop them, and the courage to take the necessary risks-the talents of the entrepreneur. Mao Tse-tung has always emphasized the importance of entreneurship. This is often obscured for the Western reader only by the fact that in the West people think of entrepreneurship as a characteristic of free market economies, and they do not even attempt to study entrepreneurship in socialist countries. Mao's entrepreneur, however, is not the individual per se, but the collective, or more precisely individuals operating in collective economies. In many examples of good Maoist-type enterprises, there is almost always one named individual, or a small group of individuals, who have taken the initiative in a new development, worked out the idea, embraced the effective forethought, and persuaded the collective to adopt it. The aim is not of course the maximization of individual profit, but the maximization of collective production. These are the qualities of the heroic leaders of the Taching Oilfield, the Tachai Production Brigade, and of a thousand other economic enterprises, industrial and agricultural, which have been presented as models of Maoist organization. Mao sees the education of peasants as the fundamental problem of the Chinese economy, and considers that economic growth as well as revolution must depend on the masses of the people and on everybody going into action, not depending on a few people issuing orders. Therefore, his strategy of developent is to bring peasants and local initiative more into play and, under the unified planning of the central government, let the localities do more. Given the one basic assumption that China's problems can only be radically solved by collective enterprise, there leaves no doubt that entrepreneurship within the collective organization is the keystone of Mao's hopes of rapid development, and a major object of educating peasants, sons into modern producers. Surely, maximizing these qualities within that system is one of Mao's greatest and most constant preocupation in the economic field.