Capital journal. (Salem, Or.) 1919-1980, 1922-09-12

| = WNhtJ JNoio ~ ~ ShAhN y
opened general store in Kemmerer
a small Wyoming town. In the frs
year of its existence it did bust
ness of nearly $4,000. This spring
says the New York Times Of July
22nd, the J. G. Penney company, Of
which Mr.. Penney is the founder
and chairman of the board of di-
rectors, issued single check fol
81, ,671 ,693.51 in payment for shoes
it had bought, and this check COW
cred only part OF the company S
purchases from a single manufacture
ing concern. Shoes were bought from
several other manufacturers as well.
Mention is made of the check re-
ferred to, the largest yet drawn by
the company, because it typifies the
growth of the business in the twenty
years that have passed since the
first store was opened. Other in
dications of its rapid growth are
that the company now owns and
operates 313 stores, located in TWEEN
ty-seven different states, and that
steps are being taken to open fiji
ty-eight additional establishments
during 1922. The store that has SO
far been opened nearest to New
York City is located at Amsterdam,
N. Y. Last year the total business
done by the company was approxi-
mately SAC, 6,642,O00 and, according to
an estimate made yesterday by Mr..
Penney, sales for 1929, with the fif-
ty-eight new stores in operation,
will reach about $55,000,000.
Sixty percent, of the buying of the
Penney company is done for the
fall season, and it is estimated that
the total business it will place this
season will approximate $20,000,000.
In addition, several million dollars
worth Of goods have already been
bought for next spring. Excepting
for shoes, of which the company
makes quite a speciality, the great
bulk of the merchandise it sells
is purchased in New York City,
where buying and general offices
are maintained at $40 Seventh Ave.
The shoe buying is centercd in st.
Louis, and the volume of the pur-
chases is indicated by the fact that
the total shoe business which the
company expects to do this year
will reach about $l1,000,000. The
retail prices at which the men s
shoes are sold range from $2.os to
$500, the general lines handled in
eluding everything down to infants
goods.
Up to a few years ago it was the
custom of the company to bring its
store managers to New York City
in group. Here they would be
divided into several parties and
would comb the market thoroughly
for the kinds of merchandise want
ed. At night they would meet and
compare notes, and good deal of
friendly competition developed as
to who would discover the best
buys" The rapid growth of the
business, however, soon made it nee
essary to concentrate the buying in
the hands of selected staff of
specialists. This staff now con-
sists of thirty-three buyers, of whom
twenty-five are located in New
York City, two at st. Paul, Mimi,
and six at st. Louis. They work
under the general supervision of j.
M. Mcdonald, second vieo-president
and merchandise manager. Mr.. Nc
Donald, who at one time was u store
manager himself, not only controls
the purchases made for all stores,
but also the amount of stock each
carries.
Instead of the store managers
coming to New York City, as for
merly, semi-annnal conventions fer
them are now held at ST. Louis, St,
Paul, Salt Lake City, and Portland,
Ore. At these meetings samples of
the seasons purchases are shown to
the managers by heads of the var
ious buying departments, and the
selling points of the various de-
partments, and the selling points of
the merchandise and other import
ant details are discussed. Ten buy
ers and three directors visit the con-
and the former are already
preparations to show spring
on the trip they viii
make early in September.
While all the stores opened TO date
have been in cities and towns Of
5000 population or less, the amount
If merchandise sold IN the course OF
year is very large. In 1921, for
a good deal more than -
100000 yards of mnslin and sheet
ngs were sold, while sales Of ging-
= rrQ mn