PRICE-CUTTING

Otago Daily Times, Issue 21831, 19 December 1932, Page 10

PRICE-CUTTING

TO THE EDITOR. Sir, —One would have thought that the reply the. Prime Minister gave to the large and influential deputation which waited on him a short time ago in regard to price-cutting would have put a stop to this agitation. From the tone of his letter “ Citizen ” appears to be an interested party, but his outburst is only giving the opposition cheap publicity, I am an interested party to the extent of being a satisfied customer, and this chainstore business goes very near to one of my objectives—namely, co-operation. I ask “ Citizen ” why a cash customer should be made to contribute towards the bad and doubtful debts of tradesmen. These cash stores have been a Godsend to the unemployed, who have plenty of time to do their own shopping and carrying, and whose every penny has to obtain the greatest purchase. The idea of saying that these chain stores are responsible for the unpayable price of butter-fat is too ridiculous. What have these stores to do with the Home markets? To my w r ay of thinking in these hard times the cheaper the commodity the greater the consumption, hence more work for the producers. “ Citizen ” asks us to go behind scenes. This is what I think we would find, that the cream of “ Citizen’s ” business hag left him and all he has is the bad and doubtful customers. I will concede this much to “ Citizen,” that I have known a fair number of grocers and have never known one to retire on the profits of that line of business, but I have seen a good many go bankrupt.—l am, etc., Worker. December 14.

TO THE EDITOR. Sir, — A letter written by " Citizen ” is worthy of comment and a good deal of thought in view of solving the problem of unemployment as affecting even q small proportion of our unemployed men, boys, and girls. Price cutting at the best of times is bad business, and, although we all like a bargain, we need not look very deep to find that, unless we pay a reasonable price for our goods, either the producer or dealer is suffering, and in consequence has not the spending power necessary to help keep other trades moving. Given a fair margin of profit, the majority of retailers are good workers and also good spenders, but when the margin of profits is as low as at present bankruptcy and more unemployment seem to be imminent. Hundreds of skilled tradesmen are unemployed now, and are without any spending power, owing to the public being blind to the fact that by patronising big concerns and thereby saving a few pence per week they are putting thousands of pounds a year into the pockets of capitalist companies which are in an independent state, otherwise they would be unable to import goods in the quantities they do. Another deplorable fact is the number of Chinese laundries and fruit shops that are getting a hold in our midst. Every shilling spent in these places is helping to create more unemployment. Take the average Chinese shopkeepers. They “no savee ” when it comes to the conditions laid down by law for the white man’s shop, The Chinese work all hours —early, late, and on Sundays—while a white man has to keep an eight-hour day for his employees even if, as owner, he is compelled to work 11 or 12 hours a day himself. On Sundays the Chinese clean and dress their windows and very often can be seen from the street doing so. When there is such unemployment among our own poeple it is hard to see foreigners being patronised by white people who are supposed to be loyal citizens, to say nothing of the fact that ■ a number of white boys and youths are now reduced to working in the back stores of Chinese shops, scrubbing vegetables, etc. Surely our Government or Chamber of Commerce or anyone having the interests of our unemployed at heart should do something in this matter. —I am, etc., Dunedin, December 16. Britisher.