Mr. Owen affirmed with a complacent smile. “They had no chance against us.”
“Why not?”
“We had greater capital. With a large business there is always less waste and greater efficiency.”
“And your branch store absorbed the profits of the three small ones. I see. But tell me, what became of the owners of the three stores?”
“One is driving a delivery wagon for us. I don’t know what happened to the other two.”
Ernest turned abruptly on Mr. Kowalt.
“You sell a great deal at cut-rates.[[1]] What have become of the owners of the small drug stores that you forced to the wall?”
[1] A lowering of selling price to cost, and even to less than cost. Thus, a large company could sell at a loss for a longer period than a small company, and so drive the small company out of business. A common device of competition.
“One of them, Mr. Haasfurther, has charge now of our prescription department,” was the answer.
“And you absorbed the profits they had been making?”