The four investigators nodded gaily to their vanishing escort and then settled down to the discussion.
“So you think the average housekeeper would rather chase the rainbow of special sales than the more solid investment represented by a cooperative association?” asked Mrs. Larry.
“Not when they have grasped the true idea of cooperative buying,” responded Mrs. Moore. “Boston now has a very successful association known as the New England Cooperative Society, which uses the Rochdale System in operating its stores. Its headquarters are at 7 Water Street, and it operates the following stores in that city: Charles River Cooperative Market, South Boston Cooperative Market, Tremont Cooperative Market, Devonshire Cooperative Market, Charlesbank Cooperative Market.
“I understand that markets of the same sort will soon be opened in Allston and Melrose. Bucksport, Maine, also has a market under the direction of this society. You remember that night at our house when you met Mrs. Gregory of Boston? She told us that she belonged to a marketing club in which the women took turns in marketing for the entire organization. This saved money, but it was quite a tax on the individual members. She did not know there was a cooperative store in Boston until she heard it discussed at our house. When she returned home she bought a ten-dollar share in the New England Cooperative Society, resigned from her club and now does all her buying at the Charles River Market. Only one share in a local society may be held by any one person. Those who wish to invest more than ten dollars may do so by purchasing what are known as preferred shares in the New England Cooperative Society. These shares have a par value of ten dollars and draw dividends at the rate of seven per cent. Shareholders, you see, not only draw dividends, but they receive discounts, given at stated periods, in proportion to the amount of cash purchases by members.
“The New England Cooperative Society, incorporated under Massachusetts laws, is required by those laws to maintain a certain reserve, but all net profits of the stores above this reserve are distributed in discounts and dividends.”
“My dear Teresa, you talk like a man,” sighed Mrs. Larry. “Can’t you put that into woman-talk?”
Teresa Moore patted her friend’s hand in a comforting way.
“I’ll try. The cooperative society secures as managers for its stores men who know how to buy for markets which have earned from fifteen to twenty-five per cent. net on the capital invested. Now, if you own shares in that association, you get your share of the profits. Do you see that?”
Mrs. Larry nodded.
“You also buy your groceries at the lowest possible price for desirable goods. Instead of buying ‘seconds’ in groceries, and inferior meats and fresh vegetables, fruits, etc., at slightly cut rates, you pay a fair market price for the best the market affords, and at some future date you get part of what you have paid out, in the form of discounts and dividends. Is that clear?”