The Industrial Revolution was a pivotal force in transitioning from a feudal society to one based on capitalism. It introduced technological advancements and new forms of production, which significantly altered economic and social structures.

1. Technological Innovation and Production: The Industrial Revolution saw the introduction of machinery and mass production techniques, particularly in industries like textiles and manufacturing. This increased productivity and reduced the reliance on manual labor, which was a cornerstone of the feudal economy.

2. Urbanization: The rise of factories led to a migration from rural areas to cities, where new jobs were available. This urbanization diminished the traditional feudal relationships between lords and peasants, as people moved away from agrarian lifestyles and into wage labor.

3. Capital Accumulation and Investment: Industrialization required significant capital investment in machinery and infrastructure. This need for capital shifted economic power towards those who could finance industrial enterprises, fostering a capitalist class of entrepreneurs and investors. Unlike the feudal economy, where wealth was tied to land ownership, capitalism was driven by the accumulation and investment of capital in industries.

4. Market Expansion and Trade: The Industrial Revolution expanded markets both domestically and internationally. The production of goods on a large scale led to a surplus, which required new markets. This expansion facilitated global trade and the exchange of goods, further promoting capitalist economic structures.

5. Decline of Feudal Hierarchies: As industrial and capitalist economies grew, the feudal system, characterized by rigid social hierarchies and land-based wealth, became obsolete. The rise of a new middle class, along with increased social mobility, eroded the traditional feudal power structures.

In summary, the Industrial Revolution was instrumental in dismantling the feudal order and establishing a capitalist economy by fostering technological innovation, urbanization, capital investment, market expansion, and the decline of feudal hierarchies.