20 BULLETIN 1109, U. S. DEPARTMENT OF AGRICULTURE. 
salesmen) can do much in the way of pushing the sale of a product 
through proper display and through good sales methods and sug- 
gestions. The exchange adopted the policy that the interest of the 
dealers in their fruit could best be obtained by the establishment of 
stable market conditions, thus insuring them a reasonable profit. 
It is believed furthermore that a stable market lessens distribu- 
tion costs. It is held by the association that "the smallest liability 
to loss and the greatest certainty of a moderate profit interests 
dealers more quickly and certainly than the possibility of large 
profits, coupled with the danger of serious loss." One of the reasons 
for what seems to be exorbitant profits charged by dealers for the 
handling of fresh fruits is occasioned by the danger of loss through 
violent fluctuations of market prices. 
To avoid these fluctuations in the cranberry market, the exchange 
has attempted to regulate distribution in such a way as to eliminate 
the "glutted" and "famine" markets which were so disastrous to all 
concerned, including the consumer. 
COORDINATING DEMAND WITH SUPPLY. 
Successful marketing consists largely of accurately gauging the 
factors of supply and accurately estimating the factors of demand 
with a view of anticipating the price which will coordinate these two 
sets of forces. For instance, if the association should ask too low a 
price for its fruit it would not have enough to supply the demand. 
If it should ask too high a price the entire crop would not be sold by 
the end of the season. 
This principle may be illustrated further. In 1912 the following 
questionnaire was sent to 200 retail dealers throughout the United 
States: 'Suppose the retail price of cranberries is 8 J cents per 
quart, or 3 quarts for 25 cents. Please state what reduction in 
your sales would result from advancing the price to 10 cents per 
quart, 12^ cents per quart, 15 cents, and 20 cents." Ninety-two 
replies from 20 markets located in 16 States were received. The 
average estimated percentage of decrease of sales as price advanced 
was as follows : 
An advance of 8£ cents to 10 cents per quart reduces sales 12 per cent. 
Au advance of 10 cents to 12 \ cents per quart reduces sales 23 per cent. 
An advance of 12^ cents to 15 cents per quart reduces sales 37 per cent. 
An advance of 15 cents to 20 cents per quart reduces sales 67 per cent. 
Although the price levels of 1912 have little relationship with 
the price levels of to-day, it is probable that proportional increases 
in present price levels would have similar effects upon consumption. 
The economic value of the cranberry is represented by the highest 
price (or series of prices) that will clean up the supply by the end of 
the normal selling season. It is to the advantage of the association 
