Price Cutting Retards Prosperity

Bv J. H. Plunkett General Munager, Ptoneer Paper Company Los Angeles, Cal.

There are two motives for price cutting. One is to adjust prices to meet economic condrtions of the day. The other. is to slash without reason-either in a hysterical eleventh hour attempt to dra'iv trade and thus "save the day" or to maliciously hit'competitors and thus further demoralize the entire business structure.

All business has been going through a period of price reduction based upon the sensible and fair procedure of meeting the buying ability of the public. But, some businesses have run riot in a fanati,cal effort to stem the tide of their own downfall and have cut prices without thought of the effect which they create upon the community at large.

The public has begun to realize, through its own experiences in unemployment, straightened circumstances and lack of income, that any .business which operates without profit is jeopardizing not alone itself but its employees. its stockholders and its community. Thus, the public has begun to appreciate that there is a bottom below which no goods of merit can be safely sold. The public believes that it must pay a safe price, or suffer the consequences of contributing further to the depression.

Does the lumber dealer who sells roofing realize this fact? If he cuts prices below the safety point he is not onlv sacri'ficing his own profit and jeopardizing his business future, but he is adding to the collapse of general business.

Price is not the only sales inducement today. America is not gasping for its last breath. The public has not lost its reason. The proof of these statements is found in the fact that many manufacturers are experiencing their greatest volume of sales in their highest priced merchandise.

It is not the cheapest product that is selling. It is the quality product at the right price. The public knows that it can buy quality today at a bargain counter price.

The Pioneer Paper Company stands solidly upon the policy of insisting that its dealers make a legitimate margin of profit on every Pioneer product sold. The public will bene-

6 *neeb save you money fit in obtaining quality merchandise at the right price; the dealer will be able to ,continue in business; and the community which he serves will be strengthened against the tide of hysteria which might otherwise sweep all over the precipice of price into a bottomless pit.

\(/in Fir Plywood Awards

Twelve new prizes of twenty-five dollars each have been awarded by Douglas Fir Plywood Manufacturers for "design ideas" embodying Fir Plywood. Other awards will be made from time to time as fast as the judges can examine submitted designs.

The tr,velve nelv winning ideas suggest varied u'ood uses from display racks to false fireplaces.

The winners : M. A. Johnson, Chicago (rvall constru,ction); Anthony J. Wildman, New York City (sink-display rack) ; Clayton S. Hoyle, Jamestown, New York (writing desk for lap) ; Raymond F. Gbuthier, Taunton, Mass. (false fireplace) ; Harry G. Walker, Houston, Texas (store-window displays) ; E. C. Dindorf, Rochester, Minnesota (nested boxes); Augustus J. Roeder, Indianapolis, Indiana (store-rvindow displays) ; Robert Walling, Wichita, Kansas (drafting table) ; C. A. Bottun, Iron River, Wisconsin (washing-machine cover); E. Colonna, Ni,ce, France (wallpanels) ; J. Selckmann, Baltim,ore, Maryland (gusset plates for wooden trusses) ; Roy Phinney, Detroit, Michigan (dog and pet crate).

"Alards are made for the novelty and utility of each idea submitted." said G. L. Bartells, research dire,ctor of the Douglas Fir Plywood Manufacturers. "Payment will be made for every Fir plywood design received before August l5th, that meets our needs. Hundreds of ideas have already been submitted, illustrating the wide usefulness and economy of this split-proof building and cabinet lumber."

Gall ANdover r:o77

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