236 MODERN FRUIT MARKETING 



Take a specific product like canned tomatoes. The job- 

 ber's agent goes out to the canning factory and contracts 

 for 10,000 cases of tomatoes to be delivered at intervals 

 of two weeks in car lots. The canning factory agent goes 

 to the farmer and contracts a sufficient number of acres 

 to supply the capacity of the factory. Agreeing to pay 

 a certain per cent of the monthly deliveries and the bal- 

 ance at the close of the season. 



In due time the tomatoes are grown and delivered at 

 the factory. The factory sends out its first car with a 

 bill for cash in 60 days. The jobbers receive the goods 

 and immediately re-sell to the groceryman or retailers 

 and bill them for 30 days cash. The grocery sells to 

 the consumer with weekly cash payments. At the end 

 of the week the consumer goes to the grocery store and 

 pays his bill for the goods. At the end of the month 

 the retailer pays his bill to the jobbing houses. Then 

 the jobber remits to the canning company which, in 

 turn, makes a payment to the grower. In this manner 

 the consumer's dollar is passed along to the producer, 

 shrinking a little each time it changes hands. 



When the country is prosperous and everybody is 

 working at a good wage everything runs smoothly. But 

 a panic may appear and a number of men be thrown out 

 of employment. This makes it difficult for the retailer 

 to collect his bills. The jobbing house has the same 

 trouble and the canning company has to wait on the con- 

 venience of the jobber. Consequently the grower does 

 not get his money on time. Thus hard times prevail all 

 along the line. If such panics are not serious banks can 

 usually be depended upon to advance sufficient money to 

 tide over the depression. But if conditions are bad the 



