James Cash Penney was a successful businessman and entrepreneur who founded the JCPenney department store chain in 1902. He was born on September 16, 1875, in Hamilton, Missouri, and grew up on a farm. He worked as a clerk and a salesman in various stores before opening his own store in Kemmerer, Wyoming, with the help of two partners. He later bought out his partners and expanded his business across the country, reaching 1,400 stores by 1929. He was also involved in many philanthropic causes, such as supporting education, agriculture, and health care. He died on February 12, 1971, at the age of 95, after suffering a heart attack. Here is a brief overview of his life and death.
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Early Life and Career
James Cash Penney was the seventh of twelve children, only six of whom survived to adulthood. His father was a Baptist preacher and a farmer who taught him the value of hard work and honesty. His mother was a homemaker who encouraged him to pursue his education. Penney had to pay for his own clothing since he was eight years old, and he raised and sold livestock to help pay for his schooling. He graduated from high school in 1893 and planned to become a lawyer, but his father’s death forced him to find a job to support his family
He started working as a clerk in a dry goods store in Hamilton, Missouri, where he learned the basics of retailing. He was promoted to a salesman and earned a reputation for his customer service and salesmanship. He moved to Colorado in 1897 for health reasons, as he suffered from tuberculosis. He worked for a small chain of stores called the Golden Rule stores, where he impressed the owners with his work ethic and skills. In 1902, they offered him a one-third partnership in a new store he would open in Kemmerer, Wyoming. He invested $2,000 and moved to the town, where he opened his first store on April 14, 1902
Expansion and Success
Penney’s store was based on the principle of selling quality goods at fair and fixed prices, and treating customers and employees with respect and dignity. He called his store the Golden Rule store, and he soon opened two more stores in Wyoming with the same name. In 1907, he bought out his partners and became the sole owner of the three stores. He then began to expand his business across the Rocky Mountain states, and by 1912, he had 34 stores. He changed the name of his company to J. C. Penney Company in 1913 and moved the headquarters to Salt Lake City, Utah. He also incorporated his company and issued stock to his employees, making them partners in his business
Penney continued to grow his company throughout the 1910s and 1920s, opening stores in the Midwest, the South, and the East. He also diversified his merchandise, adding clothing, furniture, appliances, and other items to his inventory. He was one of the first retailers to adopt the cash-and-carry system, which eliminated credit and delivery costs. He also introduced the concept of the department store, which offered a variety of goods and services under one roof. He was known for his innovative marketing and advertising strategies, such as using newspaper ads, catalogs, window displays, and radio broadcasts. He also established a training program for his managers and employees, and a profit-sharing plan for his loyal workers. He was a pioneer in employee welfare and customer satisfaction, and he earned the trust and loyalty of millions of Americans. By 1924, he reported an income of more than $1 million annually, and by 1929, he had 1,400 stores across the country
Philanthropy and Personal Life
Penney was not only a successful businessman, but also a generous philanthropist. He donated millions of dollars to various causes, such as education, agriculture, health care, and religion. He supported the YMCA, the Boy Scouts of America, the Salvation Army, and many other organizations. He also founded the J. C. Penney Foundation, which funded scholarships, research, and community projects. He was especially interested in promoting rural development and farming, as he grew up on a farm and believed in the importance of agriculture. He invested in several farms and ranches, and established the Penney Farms in Florida, which was a retirement community for former employees and ministers. He also started the Foremost Dairy Products Inc., which was a cooperative of dairy farmers. He was a strong advocate of the cooperative movement, and he helped organize and finance many cooperatives in various industries
Penney was married three times and had five children. His first wife was Berta Alva Hess, whom he married in 1899. They had two sons, Roswell and Kimball, but Berta died of pneumonia in 1910. His second wife was Mary Hortense Kimball, whom he married in 1919. They had a son, James Cash Penney III, and a daughter, Mary Frances, but Mary died of a heart attack in 1923. His third wife was Caroline Marie Autenrieth, whom he married in 1926. They had a daughter, Carol, and remained married until his death. Penney was a devout Christian and a member of the Presbyterian Church. He attributed his success to his faith and his adherence to the Golden Rule. He wrote several books and articles about his life and business philosophy, such as The Golden Rule in Business (1923), Fifty Years with the Golden Rule (1950), and Main Street Merchant (1954). He received many honors and awards for his achievements, such as the Horatio Alger Award, the National Conference of Christians and Jews Award, and the Presidential Medal of Freedom
Death and Legacy
Penney lived a long and productive life, but he also faced many challenges and hardships. He lost most of his personal fortune in the stock market crash of 1929 and the Great Depression, and he had to borrow money to pay his employees and creditors. He also suffered from depression and anxiety, and he was hospitalized for a nervous breakdown in 1932. He recovered from his mental and financial troubles with the help of his faith and his friends, and he resumed his active role in his company and his philanthropy. He retired as the chairman of the board of J. C. Penney Company in 1946, but he remained as the honorary chairman until his death. He also continued to visit his stores and meet his customers and employees, and he celebrated his 90th birthday in 1965 by opening his 1,500th store in New York City
Penney spent his last years in New York City, where he lived at 666 Park Avenue. He also spent his winters in Palm Springs, California, where he had a home. On December 26, 1970, he fell and fractured his hip, and he was hospitalized. A few weeks later, he suffered a heart attack and never fully recovered. He died on February 12, 1971, at the age of 95, at the New York Hospital. He was buried at the Woodlawn Cemetery in the Bronx, New York City. He left behind a legacy of a successful and influential business, a loyal and dedicated workforce, a generous and compassionate philanthropy, and a remarkable and inspiring life story. He is remembered as one of the greatest American entrepreneurs and retailers of all time, and as a man who lived by the Golden Rule
