The Partnership: The Making of Goldman Sachs

Introduction

Goldman Sachs' book is the ultimate American-dream cliche, a corporation of strivers who override the New York economic elite. Founded in 1869 by Marcus Goldman, the immigrant son of a Bavarian peasant cattle drover, the institution began with mercantile paper, acting as an intermediary between Manhattan commercial banks and merchants such as wholesale jewelers. Well into the 20th century, all the partners were part of a few intermarrying families.

Thesis Statement

In his huge archives of Goldman Sachs Mr. Ellis presents a blazing and comprehensive archives of the the buying into bank. The bank's eventual success was rooted in the banal ideal of hard work. Newcomers were driven to perform: Other banks brought in people with family wealth, but for Goldman recruiters, coming from money was a negative. With so much to gain, aspiring bankers survived 12-hours-per-day trainings for nine months versus just 10 weeks at most firms. During the 1970s, employees at most banks arrived by 9 a.m., some at 8. At Goldman, 7 was the standard, and 5:45 a.m. meetings weren't unheard of (meenu.wordpress.com).

Book Problems And Contents

They were methodical in pursuing clients: All 4,000 American corporations making more than $1 million per year had a Goldman investment banker trying to do business with them. Competitors called it "the machine." The firm valued customers above all else but had little compunction about poaching clients from other banks. One rival described "Goldman Sachs syndrome" as "what's mine is mine, and what's yours is half mine (meenu.wordpress.com)."

In "The joint venture: The Making of Goldman Sachs," CharlesD. Ellis, a financial strategist who has consulted for the firm, plots the bank's rise and attempts to uncover the sources of its excellence. Though granted unparalleled access to employees, alumni and archives, Ellis fails to reveal much about ...