Transformation of family business in the conditions of economic modernization of pre-revolutionary Russia on the example of the concern "Lepp, Valman and Kopp"
The article analyzes the entrepreneurial activity of the Lepp family. Peter Lepp became a watchmaker in Prussia. He returned to Russia and opened a factory for the production of watch movements. However, he quickly realized that the production of agricultural machinery would be more profitable. The first enterprise was opened in the village of Khortytsia, Khortytsia parish, Yekaterinoslavsky Uyezd. Mowers, winnowers, harvesters were produced there. Initially, the products were sold to the colonists. But gradually the demand for it increased. Also, the local population began to buy it because of the quality and ease of use. The plant's products have been awarded gold, silver and bronze medals at numerous Russian and foreign exhibitions. His sons continued his business after the death of Peter Lepp. Thanks to the capital of Valman, who was Lep's son-in-law, the plant was able to expand production to two mechanical iron foundries. The plant was transformed into a joint-stock company "Commercial and Industrial Company Lepp and Valman" in order to successfully compete with suppliers of foreign agricultural machinery. The reorganization made it possible to increase the inflow of capital by attracting new shareholders. All of them were representatives of the Lepp family, with the exception of two people. New buildings were built at the enterprise and modern equipment was purchased. The quality of the products improved as a result and they began to be sold throughout the Russian Empire. Seeders, harvesters, threshing machines, oil-churning machines, oil engines and other equipment were produced at the enterprise. However, the outbreak of the First World War forced the owners to unite with P. Knopp and conclude an agreement with the Main Artillery Directorate on the production of military products: high-explosive grenades, bomb-throwers, shells. This allowed the company to increase profits and become one of the largest producers in the south of Russia. But the economic destabilization in the country, the war and the revolution of 1917 lead to a deterioration of the financial situation, and then the complete loss of the enterprise due to the policy of nationalization of the Bolsheviks.