Dutch East India Company

The United East India Company (Dutch: Vereenigde Oostindische Compagnie [vərˈeːnɪɣdə oːstˈɪndisə kɔmpɑˈɲi]; abbr. VOC [veː(j)oːˈseː]), commonly known as the Dutch East India Company, was a chartered trading company and one of the first joint-stock companies in the world. Established on 20 March 1602 by the States General of the Netherlands amalgamating existing companies, it was granted a 21-year monopoly to carry out trade activities in Asia. Shares in the company could be purchased by any citizen of the Dutch Republic and bought and sold in open-air secondary markets, one of which became the Amsterdam Stock Exchange. The company possessed quasi-governmental powers, including the ability to wage war, imprison and execute convicts, negotiate treaties, strike its own coins, and establish colonies. Because it traded across multiple colonies and countries from both the East and the West, the VOC is sometimes considered to have been the world's first multinational corporation.

Statistically, the VOC eclipsed all of its rivals in the Asian trade. Between 1602 and 1796, the VOC sent nearly a million Europeans to work in the Asia trade on 4,785 ships, and netted for their efforts more than 2.5 million tons of Asian trade goods and slaves. By contrast, the rest of Europe combined sent 882,412 people from 1500 to 1795. The fleet of the English, later British East India Company, the VOC's nearest competitor, was a distant second to its total traffic, with 2,690 ships and one-fifth the tonnage of goods carried by the VOC. The VOC enjoyed huge profits from its spice monopoly and slave trading activities through most of the 17th century.

Having been established in 1602 to profit from the Malukan spice trade, the VOC established a capital in the port city of Jayakarta in 1619 and changed its name to Batavia, now Jakarta. Over the next two centuries, the company acquired additional ports as trading bases and safeguarded their interests by taking over surrounding territory. It remained an important trading concern and paid annual dividends that averaged to about 18% of the capital for almost 200 years. Weighed down by smuggling, corruption and growing administrative costs in the late 18th century, the company went bankrupt and was formally dissolved in 1799. Its possessions and debt were taken over by the government of the Dutch Batavian Republic.

In Dutch, the name of the company was the Vereenigde Nederlandsche Geoctroyeerde Oostindische Compagnie, abbreviated as the VOC, literally the 'United Dutch Chartered East India Company' (the United East India Company). The company's monogram logo consisted of a large capital 'V' with an O on the left and a C on the right half and was possibly the first globally recognised corporate logo. It appeared on corporate items, such as flags, cannons, and coins.

The first letter of the hometown of the chamber conducting the operation was placed on top. The monogram's versatility, flexibility, clarity, simplicity, symmetry, timelessness, and symbolism are considered notable characteristics of the VOC's professionally designed logo. Those elements ensured its success at a time when the concept of the corporate identity was virtually unknown. An Australian vintner has used the VOC logo since the late 20th century, having re-registered the company's name for the purpose.

Around the world, and especially in English-speaking countries, the VOC is widely known as the 'Dutch East India Company'. The name 'Dutch East India Company' is used to make a distinction from the [British] East India Company (EIC) and other East Indian companies, such as the Danish East India Company, French East India Company, Portuguese East India Company, and the Swedish East India Company. The company's alternative names that have been used include the 'Dutch East Indies Company', 'United East India Company', 'Jan Company', or 'Jan Compagnie'.

Before the Dutch Revolt, which began in 1566/68, the Flemish city of Antwerp had played an important role as a distribution center in northern Europe. After 1591, the Portuguese used an international syndicate of the German Fugger family and Welser family, as well as Spanish and Italian firms, which operated out of Hamburg as the northern staple port to distribute their goods, thereby cutting Dutch merchants out of the trade. At the same time, the Portuguese trade system was unable to increase supply to satisfy growing demand, in particular the demand for pepper. Demand for spices was relatively elastic; therefore, each lag in the supply of pepper caused a sharp rise in pepper prices.

In 1580, the Portuguese crown was united in a personal union with the Spanish crown, known as the Iberian Union, with which the Dutch Republic was at war. The Portuguese Empire thus became an appropriate target for Dutch military incursions. These factors motivated Dutch merchants to enter the intercontinental spice trade themselves. Further, a number of Dutch merchants and explorers, such as Jan Huyghen van Linschoten and Cornelis de Houtman, obtained firsthand knowledge of the "secret" Portuguese trade routes and practices, providing further opportunity for the Dutch to enter the trade.