152 THE MODEL STOCK PLAN
exactly what have been the results, in dollars and percent-
ages, of dealing with him. Obviously, if a resource is con-
sistently unprofitable, if it does not help us in our purpose to
offer an entire stock of bargains, we had best scratch it off
our list. But if a resource is neither particularly good nor
particularly bad, our records may help to bring better
methods into its manufacturing and better judgement into
its designing. - The manufacturer who urges us to buy with
the utmost assurance of the profits we shall make from the
order he is pressing upon us loses much of his jaunty air when
shown the high percentage of mark-downs we had to take
on his last shipments. In fact, he is likely to be much more
amenable to finding new methods of fighting the waste in
his production and finding other improvements. As for
the resource which shows a very good record of profit yielded,
we have every reason to help it to earn a fair profit on the
satisfactory goods we get from it.
An unprofitable producer does not become a good resource
for us simply because he offers special lots at less than market
prices. Plainly, he must make up these losses on something
else, for he cannot continue to sell us only goods on which he
loses money. Nor need we assume that a manufacturer
preeminent for style will continue preeminent. Often this
leadership depends on various factors, such as a particularly
good designer; when this designer leaves, the factory becomes
just one producer of a thousand.
In order of their importance, what we want from our
resources is the right goods, the right deliveries, the right
prices. Right goods we have already studied in some detail.
Right deliveries should always be considered in connection with
price. If a resource sells us scarce fur coats for 25 per cent
less than the market price and does not deliver them because
he has miscalculated the cost, the low price does not help us.
Sometimes the lowest price is the highest, if deliveries are
too slow. This fact must not be accepted, however, as
defending poor buying,
It will pay us to keep a regular record of delivery failures
and to let our resources know we keep this. As we have