Operating Expenses in the Wholesale Grocery Business in 1919

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Operating Expenses in the Wholesale Grocery Business in 1919
Harvard University Bureau of Business Research
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Only one wholesale grocer replied that he did not buy any merchandise from brokers, and the remainder did not answer the question. Of the sixty-two wholesale grocers who stated that they bought merchandise from brokers, eight purchased less than 25% of their goods from this source; eight purchased 25-45%; nine purchased 50%; nine purchased 60-65%; fourteen bought 70-75 % ; and fourteen bought 80 % or more of their merchandise from brokers. Thus, three-fourths of the whole- sale grocers replying... to the question stated that they were buying 50 % or more of their goods from merchandise brokers. Although these figures are only rough estimates, they never- theless furnish some idea of the position which the merchan- dise broker holds in the grocery trade.
The goods most generally bought from brokers, according to these reports, are canned goods, sugar, and dried fruit. Other merchandise purchased in part from this source in- cludes cereals, coffee, flour, and a general line of groceries.
Twenty -one of these firms stated that they also sold some merchandise through brokers.


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