The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1912-06-11

| portunities for the investment of mon
ey than do the railroads
| Ihe question is often asked why
men who have the wealth which
| these Standard Oil capitalists possess
have been disposed to put some of
| their money into such a humble pro-
position as the chief victualizing
| shop. But the fact is the attention of
some of these men was called to the
earlier management of this company.
They discovered that these mama
gers had, in high degree, gift of
symmetrical, economical and efficient
organization. That is a quality which
! has always appealed to Standard OIL
men and particularly to John D.
Rockefeller. A little investigation
showed these Standard Oil capitalists
that the successful management of a
chain of restaurants involved quite as
high organizing. constructive and
business capacity does the. manage
ment of the department stores. 1t
was for this reason the standard Oil
men were persuaded to invest good
deal of money in this company. But
they have never interfered with the
management of the company; in fact.
they have found it unnecessary to do
that. This cheap restaurant corpora
ton, in its management, is now es-
teemed one of the most highly sue
cessful of American business enter
prises.
The management represents in
some respects, the principles upon
which Frank a. Munsey has based a
business of which the public knows
but little, but which has been, rela
lively speaking, as successful as has
been his publishing business. Mr.,
Munsey is one of the leading grocers
of the United States. His chain of
retail groceries, numbering some fifty
stores in all, represents the principle
of buying in very large amounts
paying cash for these purchases, re-
ceiving, therefore, not only the best
wholesale price, but also a five per
cent discount for cash. The grocer |
Quantities are then offered for sale in |
the various retail grocery shops. !
There are no incidental expenses |
in the management of |
these shops-no delivery wagons, no |
employees who are occupied in driving |
the wagons or in caring for the |
horses. The result is that Mr.. Mum
sey as a grocer is able to undersell !
which his shops are established.
Some of these shops do very large
trade; but the customers have to car
ry home the provisions which they
Independent grocers in the towns
where Mr.. Munsey has established his
shops complain bitterly. They say
that Mr.. Munsey. with his capital,
which is very large, is able to gain
advantages which they with their
small capital cannot secure. Some of
them say that the only way they can
keep their business going is by giving
credit for from month to six months
to their customers. No customer can
take any article from Mr. Munsey's
store unless he has paid spot cash for
It. The public supports these stores
not giving much heed to the COM
plants of the little Independent
grocer.
Another Good Example.
of he hoI Of |
and, in fact, of the entire metropo1i-
IAN district, are complaining now We
of the advent of what they
call monopoly control of the bakery
business. In some of the towns in
which this so-called monopolistic bak-
cry has carried on its business the lit
lie independent bakers have issued
circulars. They have sent these to
all the citizens in these towns. They
urge these citizens not to support
business carried on by means of the
money of the rich monopolists, who,
rs the circulars say, maintain automo-
piles, pleasure yachts and overload
themselves with diamonds. m
There is Standard Oil money in this
'o-called monopoly, and some of it is
Iohn d. Rockefeller's money. His at
ention was called some years ago to {
he manner in which the proprietors
If bakery in western city had or
sanized and were managing their
business. Mr.. Rockefeller discovered
nat these men possessed gift OF .
which he is a great admirer-nameIy.
he ability to organize a business upon I
symmetrical, economical and efficient
ines. This was the dem stra ton
which led Mr.. Rockefeller to invest I
ome of his money in this business. 1t
las already grown to great proper
ions. 1t has gained its triumph not
because it is a partial, or even COM
'lete, monopoly, but because great
numbers of the plain people find that
I is to their advantage to buy the pro- I
lucts, while on the other hand the {
economies, the symmetry and the eff l
iciency of the organization make it '
possible to market the products not :
It cut prices, but at the averages price I
harged by all bakers for these pro- !
lucts, and at the same time make a | {
easonable and certain profit upon I
he investment. The Standard Oil I
company, is such, certainly since the I
dissolution, is not in any other bust 7
leSs than that associated with the min {
ng and manufacturing of oil and kim
Ired products, but vast amounts of (
money which the stockholders of this
have received in the form of
ividends have been invested individ-
tally in various other occupations
HOLLAND.
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