190
THE MODEL STOCK PLAN
been increased! from an annual average of 4, 5, or 6 to 15,
18, zo, and even 22.
CASE 3. Six OTHER Sik HOSIERY MANUFACTURERS
Other hosiery concerns—Artcraft, Blue Moon, Holeproof,
Finery Coral Band, Dexdale, Ruby Ring—followed the
general line of the Gotham Gold Stripe reorder plan, begin-
ning about 1927.
The Finery Silk Stocking Company, making Coral Band
Hosiery, offers three model stocks for stores doing $20,
$30, and $50 a week, respectively. The booklet this firm
puts out describing its model stock plan says: “By merchan-
dising any one of these stock levels, following the Finery
methods and suggestions, you will be able to get at least 10
turnovers per year. Since the merchandise is billed to you
on 30-day terms, no cask investment is required at alll”
Case 4. CanNoN ManuracturiNg CoMmpaNY, TOWELS
The model stock plan used by this company includes a
standard assortment averaging:
20 to 23 styles of Turkish and huck towels in 8 principal
retail price ranges.
5 to 8 styles of bath mats in 3 principal retail price ranges.?
5 to 8 styles of wash cloths in 3 principal retail price ranges.
Styles from this standard assortment are featured in
Cannon’s national advertising. The mill carries open stock
of each color and each style in the standard assortment and
promises 48-hour shipment on any order or reorder. It is
of particular interest that the items in the standard assort-
ment are offered in definite retail price ranges. Of course,
1 Faster rate of turnover is a major advantage to a store using the Model
Stock Plan. How the simplification and standardization of prices at three
full-line prices under the Model Stock Plan makes possible more stock turns
per year is explained in Chap. VIII, p. 110.
21n these two classifications of bath mats and wash cloths, the Cannon
price ranges agree exactly with the number provided for under the Model
Stock Plan. It is probable that the Turkish and huck towels actually com-
prise more than “a given class of goods” such as was discussed in Chap. III,
b. 37, and that, therefore, even under strict interpretation of Model Stock
Plan principles, more than three retail price ranges would be necessary.
