Eastern Utah advocate. [volume] (Price, Utah) 1895-1915, 1913-04-10
COOPERATING WIT EMPLOYEES
How One Man Is Forging n CHAD
Of Stores Link by Link.

The April DRY Goods" jour
nal published In New York City,
has the following article concerning
the j. c. Penney chain OF Golden
Rule stores throughout the inter
mountain country:
THE chain store system Of mer-
chandisIng is matter OF recent de-
velopmept, but OF big growth. The
chain store idea has been applied in
many fields Of business. and inyes-
ugation would prove that wherever
the management was right the prin-
clple was conducive 60 success.
In the retail dry goods field the
chain store has made big strides
during the past decade. without
enumorating the number nor the ex-
tent OF chain stores launched in re-
cent years u h interesting 20 OBJ
serve the progress OF one chain Of
stores. which. though still of mod
crate size, illustrates splendidly the
principle OF the chain store plan.
This f. the j. G. Penney company.
owners OF the Golden Rule stores
located IN the Rocky Mountain dis
trict.
THE Golden Rule chain OF stores,
however, differs from any other
similar chain Of stores in that. &C
cording TO the manner IN which the
links are added. Il IL an endless
chain. A year ago these stores
numbered thirty-four. This year
they have been Increased 90 forty
eight and the prospects are that by
next year this number will be dou-
bled. Every new link that IA add
ed has IN Il the germs OF another
link and that link IN turn has IN Il
the germs Of another link. and 30 ad
minimum
These stores are run on the CO.
operative interest plan. The mana
ger OF store has usually n one
third interest In Il. The other two
thirds are owned by the ]. @. PEN
ney company. But as soon as a
clerk IN any one OF the stores shows
marked ability as a manager he u
Immediately allowed TO open n now
store In which he purchases n one
third. Tho successful clerk may
open tho new store IN conjunction
with the J. G. Penney company or
with the manager OF his store and
the J. g. Penney company. In the
latter case the j. c. Penney com
pany viii only own one-third inter
eat Ia the store. This permits cy-
cry manager OF n store to extend
HIS interest and encourage building
up new links.
1T n a very simple scheme. but
assures success. To begin with, the
manager OF new store has been
thoroughly tried and found up TO
the mark before he "a allowed 20 AS
slst In tho forging OF n new INK.
Secondly. by giving him an interest
In II. ho Is given the biggest lncen-
tive An tho world 10 do HIS utmost
TO succeed. Thus every link in the
j. G. Penney company chain IL we'll
forged through tho cooperative
principle and possesses in n tho
hhhhng OF other links. A. soon ns
a now store succeeds Il may open n
branch.
In addition to tho cooperative
interest principle. j. G. Penney,
president OF the company. attributes
The success OF the Golden Rule
stores TO the method OF buying and
TO the rule observed by all stores
In making only a reasonable profR. !
The J. G. Penney company buys for
All the Golden Rule stores and buys
Tor cash. The purchases. as PEN
ney put u. are pooled" thus enab- |
Ing the company 90 obtain all the |
concessions OF a large purchaser. |
No merchandise Is bought from road
men. The buyers OF the varous