Entrepreneurial Processes and Industry Development:The Case of Baltimore’s Canning Entrepreneurs

ABSTRACT

Entrepreneurship is at the heart of new developments that often lead to the creation of new industries. This study examines the origins of the canning industry via the experiences of three of its earliest entrepreneurs: Edward Wright, William Numsen, and Thomas Kensett II. The narrative examines key aspects of the industry’s context including the growth in demand for preserved foods, the resources of the Chesapeake region, and the development of food preservation technology. Using the five characteristics of entrepreneurial processes, the importance of entrepreneurs in the development of the economic growth of Baltimore’s early canning industry is examined. Each founder exhibited entrepreneurial characteristics in different ways. One failed in his efforts; the other two succeeded in developing businesses that endured into the next century. The study reveals that using entrepreneurial processes does not guarantee success, and that there are various paths to success. An entrepreneurial multiplier effect was also evident in the growth of firms producing supplies and equipment for canners. Using an entrepreneurial lens offers a closer insight into the development of firms and their industries. Some remaining unanswered questions as well as avenues for future studies are discussed.

KEYWORDS:

• Canning industry
• entrepreneurial processes
• industry growth
• Chesapeake region
• Baltimore city
• food preservation

Acknowledgments

I would like to thank Dr. Céline Carayon for encouraging me to pursue this project and for her helpful comments on early drafts. Dr. Hillary Hoffman and two anonymous reviewers of this journal provided helpful suggestions in revisions of the manuscript.

Disclosure of potential conflicts of interest

No potential conflict of interest was reported by the author(s).

Notes

1. E. I. DuPont was French (Chandler 1962), Andrew Carnegie of US Steel was Scottish (Hughes 1973), and George Brown, a co-founder of the B&O was for Northern Ireland (Baltimore 1871).

2. Ships from U.S. ports included: Boston, New York, Charleston, and New Orleans while those from foreign ports were from London, Rio de Janeiro, Amsterdam, and Barbados.

3. Typical stages of the life cycle include: start up, growth, maturity, and decline. Each industry varies in time for each stage. Moreover, life cycles can be extended or shortened by new technologies.

4. Appert won a grant from the French government to develop his food preservation method (Frank 1953).

5. According to May (1937), the solder used was made of lead and copper; lead exposure was an additional but unknown health risk at the time.

6. Isaac Solomon of Baltimore is credited with use of calcium chloride to raise water temperature. Andrew K. Shriver, of Baltimore, was granted the patent for the steam retort cooker.

7. Suppliers included label printers and can manufacturers who produced 20–30 million cans annually in Baltimore by the 1880s, see Howard (1873, 102).

8. While early research focused on entrepreneurial traits of individuals that has not proven to be as fruitful as examining traits of entrepreneurial firms because starting a successful firm(s) is the mark of a successful entrepreneur, see for example, Markham (2007).

9. After an economic setback, Numsen’s parents had left for U.S. a few years earlier leaving William and his sister with grandparents until they could pay for their voyage (Baltimore Sun, 17 December 1891).

10. In 1850 Thomas left the firm and John Carroll joined so the firm was renamed to Numsen, Carroll & Co. After he left the firm, it became Numsen & Sons.

11. Among the boards Numsen sat on included: Alex, Brown & Sons, Central Savings Bank, the Carrollton and Fountain hotels (Baltimore Sun, 17 December 1891).

12. Included among the boards Kensett served on were: Federal Hill Steam Ferry Company, the Board of Trade, First National Bank, the Second National and Mechanics Banks (Baltimore Sun, January 30, 9 June 1854, 5 October 1865, 29 March 1869, 1870; Mayer 1871).

13. In today’s currency Kensett’s estate would be worth $50 million according to: Ian Webster, ‘$1,000,000 in 1880 to 2018 Inflation Calculator,’ U.S. Official Inflation Data, Alioth Finance, 18 November 2019, https://www.officialdata.org/1880-dollars-in-2018?amount=1000000.

14. Kensett’s father had also been an engraver which may have alerted his son to the power of graphics for labels (Howard 1873).

15. Predecessor to today’s Maryland State Fair.

16. I wish to thank an anonymous reviewer for this insight for future comparative research on the industry

Additional information

Notes on contributors

Richard C. Hoffman

Richard C. Hoffman (Ph.D. Indiana University) is a Professor Emeritus in the Perdue School of Business at Salisbury University (USA) and currently a candidate for an MA in history there. His research on business and management history has appeared in the Journal of Management History and Labor History, and he has over seventy publications on business management topics. Dr. Hoffman has been a Fulbright Scholar, served as Interim Dean, was twice named a distinguished professor at Salisbury as well as being a recipient of the business alumni faculty award. Dr. Hoffman is a member of the Academy of Management, Business History Conference, and the Strategic Management Society.