150 MARKETING AND THE MIDDLEMAN 



gators, however, say that the burden of this does not fall on the 

 public, but on the retailer himself. In other words, many men 

 accumulate a little capital in other walks of life, go into retail 

 trade, and fail. One writer expresses it in this way: 



"In conclusion it may be stated that, from the standpoint of 

 the entire public, there is nothing to indicate that the great num- 

 ber of retail stores adds anything to the burden of expense the 

 consumer must bear. The high failure-rate in the retail business 

 would seem to indicate that retail distribution is supported, in 

 part at least, not by the consumers who patronize the stores, but 

 by the great numbers who enter the business of retailing with 

 capital accumulated in other occupations, and then lose it in the 

 retailing venture. The losses of the dealers who fail are primarily 

 the losses of the dealers themselves. Only in the most general 

 way of speaking could one assert that the public must bear the 

 burden. Certainly, no extra burden is added to the prices charged 

 consumers because of the keenness of competition resulting from 

 too many stores." 10 



An Ideal Retailing System. Nystrom pictures for us an 

 " ideal" retailing system. Such a system, says he, would supply 

 the people what they want, the way they want it, when they want 

 it, and at as low a price as possible. The profits should be fair, 

 and in accordance with the service rendered. And more than 

 this, the salesman must be able to render an expert service. Is he 

 a groceryman? Then he should be a specialist in food values, in 

 dietetics, and in the preparation of foods. The man in dry goods 

 should be a textile and style expert, able to lecture to women's 

 clubs on these subjects. The rug dealer should be able to educate 

 his customers in the intricate lore of the rug. The store room 

 and store equipment must be up to the highest possible standard 

 of cleanliness, sanitation, convenience, and artistic and archi- 

 tectural arrangement. Pure food laboratory tests (made in the 

 store's own laboratory or in one supplied by the municipality or 

 State) should protect the customer. Public regulation is now 

 setting standards for inspection of foods, drugs, stores, restaurants, 

 weights, scales, measures, etc. Untruthful advertising should 

 come under State control next, says Nystrom. 



Retailers 1 Conference. In Winnipeg conferences have been 

 held by wholesalers, retailers, and bankers, to determine what 

 methods, if any, could improve the credit conditions of merchandis- 

 ing, and what reforms, if any, could be effected in wholesaling and 



10 Nystrom, Paul H., Economics of Retailing, p. 335. 





