"SOME 'PROFITEERING' FACTS."
[To the Editor of the SPECTATOR.] SIR,—Had "Political Correspondent" any practical knowledge of selling frocks, knitted goods and jumpers, he would know that ladies who purchase these articles are not so ignorant as to their value as he represents them to be. Most of them are as well acquainted with values as the tradesman himself, and very speedily respond to what they know to be good value.
No business of any magnitude requiring careful organ- ration and a strictly honourable system could exist in these competitive times on such unscrupulous methods as he describes. In these days of increased expenses in every direction, the draper who makes five per cent, on his returns over and above his expenses has done well. The net profit is not made by extortionate gross profits, but on a quick turnover on small profits. I doubt very much if any of the large drapery concerns were appealed to whether they would hesitate to give, in confidence to a responsible person, the rate of net profits they aim at in their department.
It is a general rule when a new buyer is engaged to state the rate of profit he is to show on his returns. If he attempts to exceed this he would immediately be outbid by his com- petitors and probably forfeit his situation. Is it not unjust
and unfair to attack a particular trade in this manner without a general knowledge of the actual facts as they exist? Isolated cases of unscrupulous traders there may be, with these I have no concern.—I am, Sir, &C., MANAGING DIRECTOR.
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