Something about sugar : $b Its history, growth, manufacture and distributionRolph, George M. (George Morrison)
History
Something about sugar : $b Its history, growth, manufacture and distribution
Rolph, George M. (George Morrison)
Sugar
Every refinery having its own broker in each consuming center, it follows
that the competition for business among the brokers is very keen. When a
broker obtains an order from a jobber or manufacturer, he telegraphs it
to his principal. The order is usually confirmed and the goods shipped
promptly. For his services the broker receives three cents for every
one hundred pounds of sugar sold. This compensates him for the services
of his salesmen and himself, his office expenses and cost of telegrams,
which is heavy.
Manufacturers of foodstuffs of which sugar is an ingredient, buy their
supplies through brokers. They do not resell the sugar as such, but use
it only in the manufacture of their own special products.
Wholesale grocery jobbers, of whom there are about twenty-five hundred in
the United States, are also very important factors in the distribution of
sugar. As a rule, they are located in the large centers of population,
and have efficient organizations for the purchase and resale of all
kinds of foodstuffs. They deal in as many as three thousand different
commodities, and their expense of doing business is apportioned over
all of these items, thus reducing to a minimum the expense of handling
any one of them. Generally speaking, they have large establishments
where stocks of all kinds of goods are carried ready for immediate
distribution. The aggregate capital tied up in these stocks throughout
the country is enormous, but necessary, as the jobber must at all times
be ready to deliver to the retailer whatever is wanted in any of his
lines. Wholesale jobbers occupy a unique position in the scheme of
things. They are to the commerce of the country what the bankers are
to its finances. In other words, they are the bankers of commodities.
Their operating staff consists, first, of the buyers, and, second, of the
salesmen.
The buyers are men possessing special knowledge concerning the various
articles handled by the house. For instance, in the grocery line one
will buy nothing but teas and coffees, another canned goods, another
sugar, and so on. These men as a rule have devoted years of study to the
particular commodity which they are delegated to buy. They are shrewd,
keenly alert and always ready to take advantage of market fluctuations in
their favor. The margin of profit between the buying and selling price
of any commodity is usually so small that the acumen of the buyer is an
important factor in the final results.
The salesmen are trained, tactful, tireless and efficient. They travel
from town to town and place to place, visiting every nook and corner
where human beings congregate, in order to sell the goods carried by the
firm. While his calling is a most useful one, the life of a “knight of
the grip” is not always pleasant, as he meets with many deprivations and
discomforts.
Public-domain text, read in full here on John Shaqi.
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