The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1908-01-25

One OF the spirits OF the age IL or
ganization and cooperation OF those
who are engaged In the same lines OF
trade. industry or profession. II has
been proved beyond cavil that men
have right 20 thus organize and pur
sue any system In business. or In
their special fields that they desire as
long as their methods are not unjust
toward others. From many organize
lions comes much good From others
things that are harmful.
II must. be remembered that there
are fundamentals IN all systems that
cannot b. ignored There are princi
ples which must be observed. or fail
ure will be sure 20 result Within the
past dozen years numerous alleged CO
operative organizations have been
formed within the United States
These organizations have been OF a
kind that involves certain benefits 10
members-the elimination OF profits
% middlemen. the distribution OF earn.
ings-to members. etc. Not one in fifty
Of these organizations has been sue.
cessful, and the reason for failure Is
that the systems followed were not in
harmony with economic laws.
Tn the world OF commerce there are
three important factors-production
distribution and consumption. Were
there no consumption there would be
no need OF production or distribution.
But civilized people must be fed and
clothed and their other wants sup
piled, and as long as intelligent man
exists there will be need and methods
60 supply his wants. Thus we find
the producers, the distributors, and
the latter class divide into groups
known as factors or jobbers, their
agents and the so-called retailers who
directly supply the consumers.
The common cooperative plans deal
with cutting out the distributors, the
elimination OF that cost in products
which represents the compensation OF
merchants whether they be whole
salers or retailers. The present sys-
tenn OF distribution has evolved from
an experience covering some thou
sands OF years. II is baged upon
equity and upon the soundest prlnci.
pies OF economy. The system cannot
well be changed unless the whole field
OF human endeayor be modified. PEG
pie must be employed In galnful occu-
pations, or they become burdens upon
the classes who are earners. All can.
not be producers, but all can perform
an Important part IN production. In
manufacture and IA distribution. The
cooperative system that means the
elimination or the factors in com.
merce excepting the manufacturer
means tho robbing OF a large class OF
a means 81 earning subsistence and
an encroachment upon other fields OF
labor that are now well equagized
The present system 81 distribution Is
the most economical that can be de
vised No manufacturer Of food prod
ucts, unless he have a monopoly. can
maintain exclusive distributing ware.
houses Thus we find the iobber
a cooperator merely. working i'm
harmony with a multitude OF manu-.
ncturors and for them conducting a
general warehouse. guaranteeing the
collection and payment Of bills due
them and for his services receiving a
small commission His agent or trav.
eler sells a hundred kinds of goods IN
stead OF one particular kind Here
again we find cooperation In its high
est type. The retailer carries a vari-
ETY. Of goods. representative OF per
haps 200 or 800 manufacturers; here
again is cooperation, and II may be-
said that the earnings OF all engaged
In distribution represent small
commission. for performing a service
and the aggregate Of the earnings OF
any one or them he iobber, his
agent and the rctailer--is dependent
upon his labor and his business sagac
ity When these three factors in dis
tributlon be cut out just as expensive
system must be substituted. In case
OF tho manufacturer who sells his
products direct 20 the consumer. he
has large advertising bills 10 pay. and
a hundred little expenses which the
manufacturer who sells his products
through regular established channels
does not have 20 bear
When a cooperative store is estab.
ilshod with a few hundred stsckhold.
ers as is patrons Il Is generally found
that II cannot be operated az lower
expense than II conducted by an indi.
vidual, and Il soon ceases to exist