Deming graphic. (Deming, N.M.) 1903-1948, 1921-02-08
ABOUT PR0FIrEERING

Lots OF Demlng business men are
discouraged by the dlsorganized state
of the market. With constantly falling
prices the cannlest buyers Of merchan.
disc can hardly purchase with the h0pe
If making profit ON future retail
sales
Ii the real truth could he Impaired 10
local buyers. they would not persist In
believing that the retailers are prof
tecring As a matter OF fact our mer-
chants are glad 10 sell their comnlodi-
ties at loss In order 10 obtain the
money 10 invest In cheaper goods.
Profits are no object. henc. the
slaughter which has been going on.
But buyers are still sEeptical They
know that raw materiais are plentiful
ind almost without value. Then why.
they ask. are manufactured products
80 eNpensivey
Take shoes for instance Hides are
almost worthless; our farmers and
cattlemen can hardly afford to remove
the hides from their slaughtered ami
mails. Yet when they want a saddle,
harness or pair of boots they find
them but little cheaper than when they
stood at tie peak" of high prices
Somebody Is profiteering, they con
clude. After reading Of definite drops
In wholesale prices they are convinced
il must be- the retail merchants But
are they rightf
If you should walk into one Of the
principal shoe stores of the city and
price one OF the leading mems high
grade shoes. you would be given
price 50 little higher than the whole
nle price that YOU would know at
once that the merchant could not pos
sihiy make most modest profit The
merchant could show You by his in
voices that this depending on the
stvle-costS him Sl1. Si2 and Sl3
wholesale with freight and hauiage 10
be- added. He sells any one Of the three
II them at $40 and glad 70 get It, \
week ago you could have had any one
# the three at $1250, the special sale
price. And good part Of the present
stock Of these shoes were actually
bought few months ago at prices
above SO per pair.
The Graphic representative was IN
vitcd to inspect the invoices and found
them as given. Furthermore the mer-
chant pointed out that at the end Of
the wear all the shoes bought at for
mer high prices had been invoiced mt
almost fifty per cent depreciation In
value while the wholesale price had de-
clned only about fifteen per cent.
The retailer is wondering where he
gets off" hut he is not doing the
talking the producers are doing simply
because he can expect no sympathy
and. anyway. he expects LOSSES as wen
rs rnins In the course Of business MS
philosophy Is largely fatalistic.
az course. there must he a reasonn-
HE exclamation for the continued high
as compared with pre-war
prices In the ease of the SHOES II Is
TO be- remembered that the leather mar
ket is monopolized practically, by the
big nlckers whose price fixing actiN-
ties have been more or less odorifer-
Gus The shoe manufacturers still are
having comparatively high prices tof
their leather. wages have actually MOI
declined at all and they are quite rs
much the victims of high taxes aAp en-
honcpd values Of every necessary ma |
terial and service.
Canada is advertising by posters III
an effort to stimulate buying to pre-
vent general Generalization Of indus
try ana consequent impairment or
credits aud unemployment.
Meanwhile the local Dcming mrr'
chants glumly place hicroglyphicS on
boxes and packages indicating rock
bottom. then stands and waits for buy
crs who are also waiting for stdl lower
prices. II is game Of freeze out
with American industrial chaos loom
ing large on the horizon.