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About The Oregon daily journal. (Portland, Or.) 1902-1972 | View Entire Issue (Oct. 9, 1919)
'4 THE OREGON DAILY JOURNAL, PORT LAND, THURSDAY OCTOBER 9. 1919. OUE PROFIT IS MADE IN SHOES, : SAYS U. S. REPORT ission Federal - InyeiabVn- and' ftnJhti Some, Charges Unjustified. i H " ," CONSlijWER PAFRtlGHT , ; ' ,? .' ..Ji " ,.. .-r. v'' .V- Among Those Listed ? Retailers Ulear r ifty , Per uent. : Washington. Oct. (WASHING s TON BUREAU OS THEJOURNAL) Tho. completed report of the fed jeral trade commission on the leather and slioe industries, which has be Jcom?i Available from the printing off Ice. ive many , pertinent facts on the present, cost of shoes, and tends to show how undue profits, starting with the tanner and carried downline line, are pyramided upon ', ,the consumer. : : ' 'tf U. ' The 'conclusions formad are that there Tare Increased -costs of material tnd la bor , and that shoes should cost more how than In 191 or 1617, but It Is found that ' undue , profits have been added in, every process from the time the hide reached the tanner. This Is Illustrated by a concrete case given In . the report: "In a shoe that cost the manufacturer tUt-In 1917, the leather cost 12.71- . This shoe was sold by the manufacturer for $ 5.25. -The retail shoe merchants made - an average profit of not' less than 60 per cent The consumer, there- fore, paid not less than 17.60 for a pair of these shoes and he more than likely bald IS. ' - TA KNEES' PROFIT LABQE " i "More than 21 ' per cent of the Un pin concerns whose costs were ex amined received more than 25 per cent Iroflt on their leather In 1917. Apply ng this percentage of profit, the tanner received 71 cents profit on the leather tn this shoe; If he had received only IJtt per, cent profit the leather In this hoe would have cost the manufacturer $2.25 Instead of $2.71. or 4$ cents less. This would have made the shoe cost him $3.51 Instead of $3.97. The shoe manufacturer sold this , producf at $5.25 per pair, or an advance of $1.2$ above cost, showing him a profit of approximately 22 per cent. If the manufacturer had received a profit of 12tf per cent on the lower cost he .would have sold It to the merchant for $3.95 Instead of $5.25. As already stated. the retail merchant no doubt 'sold this noe ior not less wan 17.6O and made a profit of about 50 per cent At the same rate of profit he could have sold the lower cost shoe for $8. ttCTAILKB CLEARS 59 PER CEWT j "Thus by reducing the profit of the Tanner ana shoe manufacturer to 12ft X pe cent, the shoe merchant could have " at tne same rate of profit and the consumer would- have saved 11.50, or 20 per cent There might have been 4 still further reduction if the merchant had been content with a lower . rate of profit - The commission declares that the best ' standard for Judging profits is In the J3!!Sr7fc:-,,-5wl ' caD". " finds y,Uhe tannln and manufacturing in dustries . were highly profitable, but lacked the figures as to profits on In vestment made by retail dealers. IJght on this end of the business, however, was produced in hearings before a sen ate committee Investigating the cost of living in the District of Columbia, where the testimony, of several local shoe mer chants was taken.' Arthur urtv a "Washington merchant, testified bfs Invested capital tn 1917 was 160,000 and In 191$ practically the same. The gross sales in 1917 were $110,000. gross profits $75,000, net profit $i$.ooo. The -gross sales lh 1911 were $321,000, gross-' profits . $,00ft and net profits $l,0Oi 5 Net profits were figured after all taxes were deducted, .r-.r- y- TEAR PROFIT 8Mr ,' , 1 Herbart Rlehp another Washington merchant, testified his -Invested capital in 1917 was $95,009 and in 191$ it was 1111,000. "Gross sales in 1917' were $25, 000, gross profits $88,000 and net profits $11,000. Gross sales la 191$ Were $422,000, gross profits $176,000 1 and net profits $$4,000. - -PfZp. - t :. ' Surf. therefore made' a net profit on Investment' last year of over-1 23 per cent and Rich "made over 97 ' per" cent They informed the committee that gov eminent , agencies just . ' before the armistice had reached a, decision which would nave allowed 40 per cent profit to the retail dealer and 10 per cent 6a the individual sale. ' ' . STTlXS lKCBEASt COST - I t. M. Robertson, expert of the fed eral trade commission, : told i8e , com mlttee . that the retailers have unques tionably been more prosperous since the) war than ever before. He explained thai as the retailers retain the same per centage of profit on the Increased prices, they make larger return if their volume of sales is maintained. Style demands, particularly in women's shoes, he said, have served to increase costs,1 as this adds to the cost of carrying stock, and results tn larger proportions of left-overt which la the end become unsaleable. i -The commission's investigation showed that 11 per cent of the tanner made more than 20 peri cent In 1917, and only two firms tn a total of it made less than 2 per cent Turning to the manu facturers, it was found that 67 per cent earned over 20 per cent in 1917, and less than 7 per. cent made les than 10 per, cent. - . . . - ' LABOR 01 BLAMED ?,r f,'k ""Ths, effect of these large profit! on the ..Cost of shoes 1 1 . the cohstsmer is pronounced,, says the report "Leather Is the principal item la the cost .of pro duction of shoes. (Not labor, as asserted in the publicity statements of the pack era) The shoe manufacturer Includes a profit ' on this leather In , the - price he charges the reta? Merchant for -shoes, and the merchant exacts a very high percerrtage of profit from the consumer. "Thus ih inal purchaser of , shoes, the consumer, payer the profit the tanner receives on his leather, ths profit the thos manuicturer reoelvai from the mer chant and the profit taken by the mer chant t To the extent that these profits are tod high, , to that- extent consumers pavtotttten." - -f . ' -v .-.y. . , S. A 'K. Oreea Stampe for eash. Hoi-man-Fuel Co Main 53, A-S25S. Block wood, short slabwood. Rock i Springs and Utab coal, sawdust Adv. TtieBpardpf iAwricdtwhEtiQ meets ' . Our Board of .Lubrication En gineers study the lubrication needs of each make of automobile. These experts have deterrnined the correct! consistency of "Zero lene f or youmake of autoniobile. Their recommendations are avail able for you in the Zerolene Cor rect Lubrication Charts. There is a chart for each make Of car. Zerolene ' is correctly refined from selected California crude oiL It keeps its lubricating body at cylinder heat, holds compression, gives perfect protection to the moving parts and deposits least carbon. It is the product of the combined resources, experience and equipment of the Standard Oil Company. Get a Correct LubricationChart for your car. , At your dealer's or our nearest station. STANDARD OIL CO" I (California) COBRCCT LUftfMCATtON Ik IssBbsbbbbbbbbbb f; turn ' : r trade for each type of engine HEHLIG Broadway at Taylor Phoaeit Mala 1 aad A-llfl '. NIGHTS ffMPMf BARGAIN PRICE MAT. SAT. THE NEW MARCUS SHOW With MIKE SACKS and the Famous MAR CU 5 P CACHES A COMPANY OF HALF A HVKDSEO PRESENTING 1 BOTH OPULENT ' , gPECTACLSS 17 SUPERB SCENES OF SURPASSING SPLENDOR 17 A KINO'S &AN80M IN OOSOEOT78 8ABT0BIAI CBEATI0N8 THE GATES OF ARABY Featarlar the Exotic Oriental Dlrertlssemeat "Suit D'ETe Aad tie Parltlaa Ballet : J. J. I laTl R 11 sTC IT4. MI I F: YVnWWF VAI I Al Assisted by MONS .. mm mm j wm mMmW 4Si mlmmmm mmSt W A Mi.i i wiiiit. l nhwih WITH THE FAMOUS FBENCH BELLEBINA AsslsUd by- MONS ' BOLANO ZEBMAIN ; ? WttL POSITITELT-BE BE8ENTEI IN THEIB ENTIBETT .'(it;..- ..I! mi 'Mr..iMi..Mii rfiH" 'Aikisv,Annismni kynisii i : A2a&i&,& TICKETS, NOW.-" SELLING I II II 'I III I I f . I BEGINNING NEXT MONDAY, STORE WILL OPEN AT 9:TS, CLOSE AT 6 PICTORIAL REVIEW ' PATTERNS FOR " -" - NOVEMBER STREET FLOOR cTlerchandise of cMerit Qriyr r DELICIOUS CHOCOLATES OUR SPECIAL KINDS -STREET FLOOR 1. Wear !New Tog's These Pieasant Days We Have Scores of New Suits Ashing to Be Worn The Fint Autumn Day . . j.. . ' 1 . : So many women make the mistake of waiting -until the season is well ad- beeud in earnest td buy hew" Autumn yTCS-d apparel. The more satisfactory thing . to do ivould be to wear NEW AP PAREL during the pleasant sunshiny days of early Autumn. Suits in such delightful va titty are here for you that de scription in detail ts almost im possible. There are suits for the most .formal occationtfur trimmed, hroided and embroid ered elaborate as you could wish Arid, on the other hand, there are suits so simplethey are ideal for all round general wear .' AH the loveliest of the new color are shown the soft, woodsy browns, the taupes, grays, greens' and Hues in all their varying shades. Prices Ranfe From $50 to $450 And New Frocks Frocks of every description serge and tricotine and tricolette for street and frocks for evening wear in all the-most wanted colors, ' Priced $35 to $250 Third Floor, Lipmaa, Wolfe eV Co. MEN THE NIGHTS MAY NOT " BE COLD NOW BUT irS SURELY WORTH WHILE TO SAVE ON SUCH Flannelette Pajamas Special at $2.50 Th$ extra good flannelette, the full cut pattern, per fect fit and fine finish every one of these important points of superiority makes these pajamas decidedly : better than ordinary value. Made with military col lar or round neck. Friday is the day to find the greatest variety of handsome patterns in your size. ' Flannelette Night Shirts Special at $1.50 Excellent flannelette night shirts made to our exact ing specifications; including good full length, are in deed a specially, good buy at $1.50. Attractive colorings; military collars. -Lipman, Wolf A Co., Men's Shop, Just Inside) Washington St. Entrance. Good Underwear For Women And Children Kayser -. Union Suits For SW omen ntembed cot- tonlisleand mercer" : rized f lisle, : a . popular style is the low neck, ; sleeveless and ankle length, - All are reinforCedjn . crotch and the tailored , band - top is a favorite finish. $1 to $3. v Children's Vests and Pantalettes . Medium weight rib bed cotton ; garments and heavier w e 1 g h t, fleece Jined are just "tight 'for children who do'i not. wear w o o 1. P r i c e d according to size; 50c to $1.30. .' Women's Pure Thread Silk Stock ings, Seconds, - - Specie Sljiy; Made with . lisle 'gar ter top and reinforced toes, soles and heels, (high spliced). Black' and several good shades. -Stfeet FIoot:, tjpman, 'plfe & Co. DAINTY NOVELTY HAIRBOW RIBBON Fancy or Plain 75g Yd, : -Dainty pastel colorings novelty-, stripes, fancy combinations, checks and bordered effects. Unusually pretty and : - desiraMe-. r ' Street Floor, Lipmaa, Wolf & Co. - - X NEW SHIPMENT OF ENGLISH CLUB STICK UMBRELLAS $8.25 4 -A new shipment brings us thVpop-; I ular and hard-to-get Club Hck- Um brellas In the most wanted . colors. Very moderately priced. Stroet Fleer, Upman, Wolfe eV Co. New Autumn 191 9-:Models in G B a la Spmte Corsets Your Autumn silhouette will bei'as-1 suredly smart and right up to the mo ment in style if yOu let us fit you in one . of the new C. B. a la Spirits models -and as there are types for all figures this will be a simple matter. There are delightful styles in fine batiste, cou til, figured batiste and brocades. There are very low bust models, medium and medium high bust styles. - . .' '. Prices Range From S2 to $6 r 1 Our Corsetieres will find the ; model of any kind of corset best adapted to your requirements. "Let, us help find the mo.del that you ; Should wear.' ' ' , - - . V- Fonrta Floor, Lipmaa, Welfa eV Co. Notes Of the New HUMPTY DUMPTY , SAT ON A WALL AND you know what happened to old Humpty Dumpty. But there's no danger -of such a sad ending for the new Humpty Dumpty Dolls so dearly loved by the weenie wee ones. For they're made of felt and won't break. In orange, red and green priced S3.50. ' Fourth Floor, Art Needlework Section. Vanity of VANITIES All may not be vanity but It ' gives one a much more comfort able feeling to know one's nose Js properly powdered. The new est vanities are hand painted and ' 'the tops screw around to permit - you to use the kind of powder you always use and tht powder Is securely held wheri not In use. These ate 85c fat enough to fit in any purse : ; Art Needlework Section, . Fonrth Floor.; vr HAEGER v POTTERY IS HERE Some of the loveliest of . the made in America pottery to add a touch of beauty to American homes has Just come. All sorts of vases ind bowls In a wide variety of sizes stnd shapes ' priced -from 50c a SS. Sixth Fleer, V Upman. Wolfe St Co. SERVING- ; TRAYS OF QUALITY,, 5 Afternoon tea will be doubly; delightful and refreshing If It Is served from one of these gen ulna mahogany trayt. Oval or oblong shapes most of them "' glass lined. Priced S8 to SIS. Sixth Floor, ' -, - Lipmaa, Wolfe 4k Cor This Store Uses No Comparative Prices They Are Misleading and Often Untrut II " " "T"1' .r, sfcAiitmi i ,-, tbsj s-t sftsjiiiiaai gas I .