The commercial. (Union City, Tenn.) 190?-193?, 1914-08-28
MEAT PRICES AFFECTED
BY SHORTAGE SAYS ARMOUR
Raw Material Scarce and Little on
the Market.
BY ]. oepEN ARMoUR.

BY }. OtsDEN ARMOUR.
Are the packers making the European
war an excuse to put up prices2 Dis
tincay and emphatically they are not.
/ don't believe it is being done in other
lines Of business, either.
The fluctuations of the past few days
in some lines OF meat products have
come from extraordinary conditions
that speak for themselves. These con-
ditions have been the scarcity of live
stock, which has been growing steadily
more acute from month to month, plus
the utterly unexpected disturbances in
Europe.
The European conflict has fallen up
on us like thunderboldt. Nobody be-
lieved it could happen until it had hap
pened. Inevitably this has unhinged
business conditions throughout the
world. The wonder is that we have not
felt it more than we have.
AVOID MYSTERIES.
But the sky is clearing. We are little
by little and day by day getting back to
normal. We will get there faster il we
avoid mysteries. 1t will not help condi-
tions, in particular or in general, to
commence launching unfounded accusa-
tions against this, that or the other line
of business or to call names.
Circumstances OF last week, utterly
beyond the control OF anybody, directly
affected live stock and meat prices. The
financial situation everywhere at the
OF the week (which fortunately
now is thing OF the past) made it inn
possible for buyers and shippers in the
stock growing sections to send stock to
Then Washington sent out,
and properly so, official advice to farm
ers to hold their crops. While this was
addressed directly to cotton and wheat
growers, it had its affect upon all farmer
producers. These circumstances added
to the live stock shortage, with which
we have been struggling all the year.
caused fluctuations which nobody could
control. The conditions are fast be-
coming normal and prices will soon be
On more even basis
VOLUME MEANS PROFIT.
To ignore scarcity and to discuss price
IS il price we're the only profit factor in
this business or any other large business
IN this age Of the world, is to confess
ignorance of business fundamentals.
Armour 4 Co. or any other large
enterprise can make
more money when raw material is plen-
iful and prices are low (including prices
o the consumer) than we can when raw
is scarce and prices are high.
Big concerns make their profit on vol
Ime, not on price.
Take our own situation, for / can
peak with authority on our own busi-
less at least. Armour & Co. have a
arge investment in plants and branch
ouses--i in brick, mortar and machinery
-in horses, wagons and motor trucks
nd have thousands Of men on the pay
oll. We can make money on this in
only when we can keep our
lants running somewhere near full
apacity. We have not been able to do
lat for months.
KILLING FORCE IDLE.
During the last two weeks Armour &
0. have killed fewer hogs than during
ly similar period since we have been I
business. Last week our sheep kill
g force, already reduced, was able to
ork only twelve hours during the
hole week, and stood idle the remain
II of the time because there were no ?
eep. Does any one think for mo- 9
ent we like to have the plant idle, or =
at it is profitable to us to have it idle, y
en- if the product could command =
'uble present prices? This is a con- r
tion which would affect prices without p
1ropean war. When disturbance front e
nditions over there is added to this g
ndition something has to happen to 2
ices.
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