The Birmingham age-herald., 1915-12-03
On Industrial Preparedness

That was an informing and stlmu- lating address which Edward N. Hur- lev. vice chairman of the federal trade commission, delivered before the As sociation of National Advertisers in New York Wednesday, the full text of which was printed in yesterdays S Age-Herald.
 The Sixty-third Congress created two commissions to deal with indus trial questions. One was styled the commission on industrial relations, of which Senator Walsh was appointed chairman, and the other, the federal trade commission. The former was empowered to inquire into the general condition of labor in the principal in dustries and the existing relations be- tween employer and employe. It has done much probing" and as It seemed to assume that "big business" was for the most part bad, it was a trouble-maker from the start. There fore, little or nothing of benefit to any interest concerned has been &C., complished. And one of the dearest evidences of it's failure is the fact the commissioners have not been able to agree upon report of their in- vestigations. No two of them viewed the situation alike or reached the same conclusions as result of the hearings.
 Very different has been the work of the federal trade commission. Its attitude toward business, large and small, has been not only distinctly friendly, but by its practical sugges- tions and it's outlining of the funda- mental laws of industrial economies it is directly aiding manufacturers to attain higher levels of efficiency and profit.
 Leaving out of consideration the banks, railroads and, public utilities and referring only to the concerns that have to do with trade and indus try there are, MT. Hurley states, about 250,O00 business corporations in this country, and "the astonishing thing is that of those over 100000 have no net income whatever; that 90,0O0 make less than $5O0O year, while only the 60,O00 remaining, the more successful ones, make $5000 year and up- wards"
 Some persons will say that the un- profitable operations of the 100000 companies with no net income may be traced to changed conditions brought about by the trusts and near-trusts. They still harp on the notion that "big business" has stifled competition. But since the Sherman antitrust law has been understood and enforced there has been no stifling.
 The trouble in most instances comes from poor business methods. Thou sands of manufacturers keep no cost sheets. They know nothing of scien- tific accounting; have no way of as- certaining whether this particular product or that yields profit, or whether it entails a loss.
 In the body of his speech MT. Hur. ley said in part:
 Your organization has to deal
 with one of the largest factors in
 modern business life--advertising
 -a factor that is indispensable to
 success. and that is developing into
 veritable art if not science. Not
 all of us understand 1t thoroughly
 so far, nor have we all got to see
 the point where its full indirect as
 well as direct benefits are manifest
 to us. For example, do not think
 that all of us fully appreciate just
 how much the advertising man can
 do for us.
 It is probably true that the
 American business men lead the
 world in the matter of extending