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Radio Broadcast
THE RADIO DEPARTMENT OF A LARGE ELECTRICAL SUPPLY HOUSE Here the experimenter and broadcast fan can obtain about anything they want from complete sets to binding posts
gument in favor of the electrical dealer handling radio equipment is that outside of the investment required for a stock of radio equipment, the electrical dealer is required to go to almost no additional expense. The investment in radio stock for establishments of the same size will be approximately the same for any of the merchants enumerated above. In the case of all of them with the exception of the electrical dealer, a separate department must be installed, or if it is already installed must be slightly modified and a special arrangement made to carry out the installation and maintenance work properly. An increase in operating expense, whether it be brought about through the addition of new personnel or through the addition of a special department must reflect itself directly in the profits of the dealer. This increase in operating expense will eventually reflect itself in the list price of the apparatus sold. If the profits of the dealer are not sufficient to make radio a paying line he will compel the manufacturer to increase his profits to him. The manufacturer in .turn will have to forego
some of his profit or else increase the price to the consumer. The price of radio apparatus at the present time is high. A further increase in list price would certainly cause a decrease in the volume of sales. That channel of distribution which places the apparatus in the hands of the consumer at the lowest list price with a fair profit to all parties concerned in the transaction is the best channel through which to merchandise radio.
Thus, unquestionably, at the present time the electrical dealer is the best fitted to handle radio material, and through this channel practically all the radio equipment which has been sold over the past two years has been distributed. The progressive radio dealer has in the radio line a potential business which is greater than any other line in the electrical industry. Radio dealers have been quick to realize this and although other methods of distribution will unquestionably be attempted, the electrical dealer has taken foremost rank in the distribution of radio material and bids fair to hold his place.