The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-11-23

Two articles which the trust did not con-
troll were Turkish tobaccos and brfar pipes =
Two weeks ago the Manhattan Briar f1pe,'
Company, with 10000 capital; was In y.
the briar pipe market is TO be controneo-
Agents are buying up all the turkish sup
ply in Europe at prices Tar Deyond ORDINARY
business prudence. Mr.. Dukes idea seems
to be to do away with all middlemen, ana
this has brought the hostility OF the Jop-
bers against the trust
the war tax on tobacco has given the trust
an opportunity 10 provide fund Tor the
conquest Of the retail business The tax pc
fore July /, 1901, was $3.50 hundred pounds.
1t was reduced TO the old hgure-.S6 num-
dred-July I. The trust promptly reduced
Its price on retail tobacco - per hunofeu
pounds. Soon after IL was raised cent
| Only recently another cent was added thus
putting the trust back to where IL was pc
fore the reduction of the war tax Beng
| in practical control of the cigarette ana
chewing tobacco field. as we'll as the raw
tobacco, il is estimated that this gam
amounted to 100000 alone. Another Dig
| gain was in the adoption OF cigarette
making machine. Before this machine was
| adopted cigarettes were costing $3.50 thou
sand. The machine reduced the cost 10 less
/ than 10 cents. a thousand indianapolis
dealers still are charged $3.50 thousand
for cigarettes and are expected 10 Wnole-
1 sale them at $2.SS.
Another Illustration of trust tactics was
4 at Evansville. Ind. John Fendrick opened
a nonunion factory and brought number
! OF experienced women from elsewhere TO
| form the nucleus of his working force Tney
educated several hundred girls in the fac
| tory work and Fendrick built up a large
! business. The trust offered TO buy IT. FEN
driek would not s az te factory 5S opposite
4 his, hired his most experienced foreWQmeh;
paid $50 more per thousand for cigars and
acquired most of his valuable help.
] UNsCRUPULoUs TACTICS.
These tactics are recognized in the COM
petition between the United Stores Com
pany and the retailers of New York and
Chicago. In New York retailer leased a
favorable room at 5000 year. The United
i Company offered him good price for the
lease He declined. The United Company
! leased the adjoining room at $1,000 a year,
| opened a store and marked it's goods down
| Go per cent. OF course the retailer could
! not meet such competition.
| The Consolidated Company is said TO con-
| troll the business of the world, in spite OF
! the reports that il had been worsted In
its fight against the British jobbers at
loss of $75O0,O0O. Duke is president OF the
! Consolidated, and twelve of the eighteen
4 directors are Americans and connected
i with the American companies. The trust
has acquired the Henry Clay-Bock Compa-
4 ny and the Havana Commercial Company,
l through its adjunct, the Havana Tobacco
Company, and the main offices have been
removed to New York adjoining the Amer
lean Tobacco Companies. The two COM
panes, one English and one Spanish, con-
trolled the Cuban production.
The last step toward complete control is
the acquisition of the retail business. An
officer of the New York Retailers AsSocla-
tion describes in the New York Evening
Post the tactics of the United Stores Com
pany in it's efforts to secure control:
THE company opening these many stores
throughout the United States is only a
dummy for the tobacco trust. favorite
and ingenious method of the trust is to
! start new companies which seemingly have
no connection with, but which are really
owned by ii. The avowed purpose-and OF
this there is neither bubble nor conceal
: ment-iS to get control OF the retail trade
of the country. Once this is done, many
sources of expenditure which the trust re-
! CARDS as superfiuous will be done away
with. Advertising is one of these. The
, saving in advertising will amount to mil
lions OF dollars every year. The middle
man retailers profits is another source. BY
selling direct to the consumer, tens of mil
lions of dollars will be added to the annual
revenues of the trust Moreover, the trust
can set it's own standard of goods. That is
to say, where, under competition, retailers
I try to excel In quality of goods Offered
at reasonable prices, theEtruSt will be able
to sell to the public inferior goods at its
81 own prices, and from the arbitrary rate
; there will be no appeal.
SMALL DEALERS RUINED.
1.-The agents of this trust, seeming g
retailer having particularly lucrative
business in an active neighborhood, cal
upon him, and without unnecessary prelimi
naries tell him that they want to buy hi
, place. They will pay him so much for hi
stock and fixtures and employ him as sales
T man at good salary after the store passe
into their hands. Nothing at all Is offeret
+. for the good will, which often is more valu
4 i able than the stock and fixtures combined.
MANY retailers who are not concerned
about tomorrow and take no pride in tn
surrender TO these offers. But IL a re
| taller demurs the agents say: We'll, you'
better accept a fair offer than be put on
of business Should the dealer persist il
his refusal, the agents go away. But pres
emily he will find that two stores are opene
near his store-as near as the trust ca
: | get. Flaring signs are put over and abou
= these stores, and articles of all kinds ar
offered at cut prices. Nothing Is left IN
/, done to take the obstinate retailers trad
: away and compel him to quit business.
''Of number of instances of these meas
| ures / will cite one-that of a well-know
= | retailer on Park Row, opposite the post
office He declined to give in to the trust
terms and Immediately two large store
!, were opened near his place. Even if tn
that is, of men who know and rely upo
), him-much of his general and transfer
trade is thus taken away. He finds hi
expenses do not decrease, but his profit
- do. AT such a loss he cannot continue fo
years. He has not capital enough to ia
n back upon, while the combination store
can be run at loss for years without fee
4, ing 1t, so great is their backing
another means of getting rid Of the ur
, | yielding independent retailer is to find OF
= when the lease of his store expires and b
Offering more rent secure an option on
g from the landlord"
u Statesmen Organize.