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How did the purpose of the minor leagues change during the 20th century?

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Freddie Freeman of the Los Angeles Dodgers, wearing a white uniform and helmet, watches his hit while holding a bat during a game at Dodger Stadium. — Baseball Freddie Freeman, shown here in a 2023 game, was named World Series MVP in 2024 after hitting four home runs and driving in 12 runs for the Los Angeles Dodgers.

During the 20th century, the primary purpose of the minor leagues shifted from serving as a source of independent local entertainment to functioning primarily as a developmental pipeline for major league talent.

Initially, following the 1903 agreement between the major leagues, the minor leagues operated as a training ground for prospects and a refuge for veteran players. This role became more formalized after 1919, when Branch Rickey of the St. Louis Cardinals pioneered the farm system. By "growing" their own players rather than purchasing established ones, major league clubs began integrating minor league teams into their own organizational structures.12

As major league broadcasts and television coverage expanded into minor league territories, local attendance declined, forcing minor league clubs to rely heavily on financial subsidies from their major league parent organizations. By the early 1980s, the transition was largely complete, with the minor leagues firmly established as a developmental system rather than a standalone entertainment product.12