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XI 
Marksting Costs 
Of ail costs entering into the marketing of a box or 
barrel ofapples, that of the retailer is the highest. Usu¬ 
ally this item exceeds all the other distribution costs 
combined. The number of channels through which the product 
passes varies greatly. Ordinarily the grower sells to the 
local dealer or to the fruit growers association who in turn 
ships to a wholesaler in the large city markets or to a 
broker. The wholesaler 3eils to the jobber or to the re¬ 
tailer, or in some cases direct to a large consumer. It is 
possible,wherefore, that a carrel of apples passes through 
from three to six of the marketing channels before it reaches 
t-is ultimate consumer. Each of these agencies renders a 
service and makes a charge for same. While the intrinsic 
value of the apple has not been increased since the fruit 
left the orchard, yet the value of time and place service 
has been added to the commodity and greatly enhanced its 
price. In other words, the apple grown in the State of 
Washington is a different apple by the time it reaches New 
York and commands an entirely different price. In fact, 
■vile grower, were he suddenly to exchange places with the 
wity purchaser at a truit stand, would not be able to re¬ 
cognize his product by the price, so great has been the 
change. 
Investigations show that a reduction in price by re¬ 
tailers would materially increase the consumption of ap- 
*les ana eventually result in equally good profits for 
