CHAPTER VI.

IMMIGRANTS IN BUSINESS IN FRESNO.

Fresno is the principal commercial and industrial center of Fresno County. It has a population of approximately 30,000 persons, between 35 and 50 per cent of whom are immigrants. Each race with a "settled "population in the county finds a place in the cosmopolitan group. Moreover, while most of the races are represented more largely among the laboring classes employed in packing houses, roundhouses, and elsewhere, they are also more or less well represented in the various branches of business enterprise carried on in the community. In order that the economic interests and activities of the immigrant races should be adequately presented, it is necessary to discuss briefly "Immigrants in business." What is said must be of a general nature, for the numbers of persons of each race concerned are too small and the kinds of business too diverse to admit of a statistical presentation.

The Germans and Danes, though the former are comparatively few and the latter are primarily agricultural in their interests, occupy a place of some importance in business enterprise. They are almost all thoroughly Americanized and, like the natives, engage in the various branches of trade. For the most part they are merely a section of the "American" population, following the same business methods and having similar classes of patrons. They are found as contractors and builders and as master blacksmiths, as well as in business in the narrower sense of the term.

Most of the newer immigrant races also have representatives engaged in trade.

The Dalmatians have a few small stores, but engage chiefly in conducting saloons and restaurants. In Fresno they occupy the place held in many other places by the Greeks. Most of those who are gainfully employed and are not engaged in business on their own account work for wages in restaurants and elsewhere.

The Armenian business men are far more numerous. The members of this race quickly establish themselves either as farmers or as business men, and while their farming interests have been much the larger, their business interests are extensive. Though they have not entered the packing and wine-making industries to any great extent, they have obtained control of the melon business of Fresno and adjoining counties, and now thoroughly dominate it. In Fresno they conduct numerous stores for the sale of clothing, new and second-hand furniture, groceries, etc. A small establishment is soon developed into a remunerative business. Yet most of their stores, while comparing favorably with those of natives in other respects, are small. They are patronized by all races, but not so extensively by some as they would be were it not that their business methods are severely criticised. They are very generally accused of "sharp"

bargaining. It should be said, also, that they are patronized more largely by the members of their own than by those of any other race. This is explained chiefly by the fact that many of these people can speak only their native tongue, and find it easier to deal at places where that language is spoken. At any rate, the better Americanized Armenians trade extensively at stores conducted by other races, in spite of the fact that less encouragement is given to their trade than to that of any other race, the Chinese, Japanese, and East Indians excepted. The Armenians are most conspicuous in the tailor's trade. Indeed, the largest and best shops are conducted by them. These are patronized by those of all races who spend most liberally for clothing. The Armenians do not carry on saloons and closely related businesses, though they operate a small distillery in the city of Fresno.

The Portuguese, German-Russians, and Italians have their places of business, but they are of little importance. They are all small and, in the case of the German-Russians and Italians, are patronized chiefly by the members of their own races. The Italian lodging houses, saloons, billiard parlors, and small stores are located in the "Italian quarter" and serve the commoner needs of the poorer members of the race and those who have migrated most recently to the United States. The very few German-Russian places of business serve the members of that race in a somewhat similar way. In other words, these races provide partially for their own needs. They have not invaded the field occupied by other races to any appreciable

extent.

The same is almost equally true of the Chinese, but much less so of the Japanese. These races not only live in " colonies," but provide for most of their own needs.

The Chinese conduct stores of different kinds (selling Chinese and American goods), restaurants, etc. The patronage is chiefly by Chinamen, though the immigrant classes living in the neighborhood deal with them to a very limited extent. Here, as elsewhere, they have engaged in the hand-laundry trade. The most conspicuous branch of business, however, is that of running gambling houses. These have been patronized chiefly by Japanese laborers.

The number of Japanese establishments is considerably greater, because the Japanese population is several times as large as the Chinese, and most of their dealings are with members of their own race. The Japanese have, moreover, to a limited extent, "invaded" other fields of enterprise and have opened places of business outside of their "quarter" in order to secure "white trade." Inasmuch as more than the usual interest attaches to the activities of the Japanese, their different lines of business may be noted in some detail.

The fact that the Japanese have been compelled to stand apart from all other races has led them to make provision for meeting most of their own needs. A lodging house was opened as early as 1893. Shortly afterwards a bamboo furniture store and a barber shop were started. Next a restaurant serving American meals (to white patrons) was established. A general laundry was started at about the same time. Shortly after this a general store for supplying Japanese goods was established. From these beginnings, with an increasing settled Japanese population and with a tendency to encroach upon

the trade of other races, the number of places of business has increased to the point shown in the following table:

TABLE 12. Japanese business establishments in Fresno, July, 1909."

The places of business in the other towns of Fresno County are of little importance, save at Fowler, where a large department store conducted by Japanese does a large business, much of it with white persons. Patronized by Japanese only.

• Not including two physicians and one dentist.

In this table those branches of business in which the patronage is almost exclusively Japanese are indicated; the banks, provision stores, fish markets, restaurants serving Japanese meals, lodging houses, and bath houses have few or no white patrons. Some of the other establishments have comparatively few white patrons, while still others are conducted chiefly or exclusively for that class of trade. The more important branches of business may be considered in turn, beginning with those providing for the wants of Japanese and later considering those which have much white patronage.

In Fresno, as in other places where many Japanese are found, among the most important branches of business is that of conducting pool rooms and billard halls. Most of the Japanese are single men or men whose wives are in Japan. They live for the most part in bunk houses in the country or in lodging houses in the city. The pool rooms furnish them with the most general form of recreation and amusement and a meeting place. Several of the 10 halls in operation in Fresno are large. One of the largest, which pays a rent of $1,380 per year, did a business in 1908-9 amounting to $7,200 and realized a profit of $1,280. While the vast majority of their patrons are Japanese, most of them have other patrons as well. Indeed, only 20 per cent of the patrons of one hall wore Japanese. The others were in the main immigrants from southern Europe and Mexico. Several of these establishments have baths in connection, but these are patronized by Japanese alone.

The two banks are small, each having a paid-up capital of $25,000. Yet they play an important part in the growth of Japanese business. The only other significant facts about them are that they pay from 4 to 6 per cent on time deposits and charge from 10 to 15 per cent on current loans. These indicate the strong demand for credit, the speculative character of Japanese business, and the risk involved in making loans under such circumstances.

The provision stores, with one exception, are small, employing capitals varying from $3,500 to $5,000, and doing a business of from $1,000 to $2,000 per month. From 60 to 70 per cent of the goods

in the stocks carried are of Japanese origin and from 90 to 100 per cent of their customers are Japanese. The few non-Japanese customers are chiefly Mexicans and Italians who live nearby.

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The lodging houses, all of them small, furnish both lodging and meals. The rooms furnished with beds rent for 15 and 25 cents per day; the price for sleeping on the floor, as most do in the busy season, when these places are very badly crowded, is 5 cents per night. Meals cost 15 cents each. These low prices and the service with all of its shortcomings compare favorably with the lodging and boarding houses conducted by and for some of the other immigrant races, e. g., the Italians. They are all patronized by Japanese exclusively. The amount of capital invested is from $300 to $1,500, the profits from $600 to $800 a year, if one large company's numerous branches of business, among them that of conducting a hotel, are not considered. Some of the numerous restaurants serve Japanese meals and drinks and are patronized by Japanese only; others serve American meals and, in some cases, are patronized by white persons only. The restaurants are all small and cheap," the prices of the two kinds of meals being about the same. Considering only those which serve American meals, the prices are 15 or 20 cents and up. These prices are somewhat lower than those which obtain in most white restaurants. Perhaps it is fair to say that the price of a meal is usually about 5 cents less than in "cheap" restaurants conducted by white men and giving equally good food. Yet of two "white restaurants competing with one of these Japanese restaurants one charges 15, the other 10 cents per meal. Though these restaurants are small, those located in the "business district" are well patronized by white laborers, clerks, and though less than formerly-by farmers lunching in town. Of two of these restaurants one employed a capital of $2,500, employed five persons and made a profit of $1,200 in 1908-9. The other employed a capital of $1,200, employed three persons, and made a profit of $1,920.

The barber shops are all small, the twelve having only fourteen chairs all told. The fixtures were worth from $75 to perhaps $300 or $400. Practically all, if not all, have some white patrons, these constituting from 10 to 80 per cent of the patrons of four shops investigated. These whites are for the most part immigrant laborers who have not been in the United States for more than few years. The profits are small, those of the four shops investigated varying from $360 to $720 for the year 1908-9. The matter of most interest in this trade is the relation which has existed between the Japanese barbers, who have organized among themselves, and the white barbers' union. The first shop was started in 1895. There were some six shops in 1900, and this number had increased to ten in 1904. Prior to 1907 the Japanese barbers charged 15 cents for hair cutting and 10 cents. for shaving, while the white union shops were charging 35 cents and 15 cents. With these differences in prices and the increasing number of Japanese shops, the business of some of the "white shops" was being injured. In 1907 the barbers' union took the matter up with the Japanese barbers, with the result that they adopted the union. scale for their white customers, but adopted a scale of 25 cents and 15 cents for the less well-to-do or more economical Japanese patrons. Some six months later, however, several nonunion white shops were

established which underbid both the Japanese and union white shops by charging white patrons the same as was charged by Japanese barbers to their Japanese patrons. The Japanese barbers then adopted uniform prices for all races, 25 cents for hair cutting and 15 cents for shaving, with, it is said, the consent of the barbers' union. In June, 1908, the union requested the Japanese barbers to close their shops on Sunday-the union rule. The request was complied with, and the rule was observed for a year, when the Japanese barbers secured consent from the union to open for a half day on Sunday. Sunday closing was working a distinct hardship for few of the farm hands (and most of the Japanese were farm hands) came into Fresno except on Sunday. The details of the relations. between these barbers are presented at this length because of their significance.

Of equal importance from the point of view of the effect on "white" establishments, are the Japanese laundries. The first of these was established some twelve years ago; the other five of the six now in existence have been established in recent years. The establishments are all small hand laundries, none employing more than four men. The business of one during the year 1908-9 amounted to $1,800, of a second to $1,920, of a third to $3,600. Their profits for the year were $720, $540, and $840, respectively. Of their patrons, SO, 15, and 90 per cent were other than Japanese. Until recently they have done but little "starched work," this being taken to white laundries, which allowed the Japanese a commission of 20 per cent for serving as collectors. The price or list prices charged by the Japanese laundries have not been much less than those charged by others, unless it was on "soft washing in bulk," where discounts were allowed for such as was furnished in quantity-to an extent which made the actual charge about 10 per cent less than that which prevailed elsewhere. In recent months the anti-Japanese sentiment has been very strong, and their laundries have been boycotted because of this underbidding. At the same time the relations betweer. them and white laundries and the commission system, which had obtained, have been discontinued.

The other lines of business are all of less importance than those mentioned. The establishments, the amount of capital employed, and the amount of business done are small and the patronage by white people is of little consequence. A large percentage of these establishments are conducted as partnerships. As a result of this and the further fact that most of them are small, few clerks and attendants are employed. Such as are employed are all Japanese. They almost invariably receive their board and lodging, and 9 in 10 are paid either $30 or $35 per month.

A more complete idea of the nature of the business carried on by Japanese can be gained by considering briefly some of the facts relating to the men conducting 21 of the establishments investigated, this being almost one-third of the entire number."

Most of these men had been laborers in Hawaii or farmers in Japan and most of the others had not been engaged in any important busi

Frequently two or more of the businesses noted in the table given above are carried on in the one establishment.