Timothy Eaton created the first and largest Canadian department store in 1869, until it ceased operations in 1999. Before this, he was born in Ireland in 1834 to a modest Presbyterian family. Leaving school at age eighteen, he began an apprenticeship with a dry goods merchant and learned the basics of business and quickly developed empathy for the workers who worked hard long hours with little pay to show for it. Five years and only a hundred pounds sterling later, he followed his brother and immigrated to Canada in 1857, and opened a store with him in St. Mary’s where he remained until 1867. The 1850s held an economic depression, devastating many places, although Eaton’s store endured it fairly well. It is because of this however, as well …show more content…
Every time people went shopping, they went with an uncertainty of how much they would have to spend, and due to the credit system in place at the time, businesses had to wait for their money. Fortunately, Eaton had other ideas for how to run his business, and the people quickly grew to appreciate it. He put into practice a strict cash only policy, paired with fixed prices on everything. No more waiting for money, and no more negotiations. Gradually, he realized that if he bought directly from the manufacturers he could reduce his costs and consequently lower his prices to make them even more affordable. To do this, he went to England to secure cheaper sources for his product, and transitioned to retail after he noticed the wholesale trade was decreasing. Larger production and faster turnover of goods yielded a higher profit, and this became his business plan moving forward with several expansions across the …show more content…
Promotions and positions were earned based solely on merit, and they had to start where everyone else did and work their way up. In time, they too showed the same aptitude for business as their father and it did not take very long for them to rise through the ranks. John Craig Eaton showed a particular talent for merchandising and public relations. He was the one who initiated the Eaton’s sponsorship of the Santa Clause parade which soon became a staple in Canada, making Eaton’s “Canada’s store”. Equally important, John Craig Eaton put into operation a home delivery feature which lasted long past he did, as well as child-care services. However, he did not share his father’s care for the employees and did not view them as equals with valuable ideas and opinions, and suffered an untimely death at age 46 in the year 1900. Eaton’s nephew, Edward Young Eaton, began he was much more like Timothy than John Craig was, and it was at his urging that technological advances were implemented in Eaton’s stores. It is also thanks to him that Eaton’s expanded out west, opening the first western branch in Winnipeg. When the depression hit in the 1930s, sales dropped 60% and the only reason the company survived in because Edward laid off about 5,000 people, cut salaries, and extended the work week. Even after the depression, Eaton’s was weakened and when John Craig took over, it never