Play Meter

Howatrade
association
canheJpyou
By Rick KrepeJa
Membership in trade associations ,
and other professional organizations
can be extremely rewarding if you
take the trouble to avail yourself of
just a fraction of the services offered .
Perhaps you are one of the
estimated four million businessmen
who already have joined a national
or local trade group . If you joined out
of the desire of "belonging," ask
yourself if you are really getting your
money's worth .
Your membership can be a
valuable business asset . It matters not
if the group is small in size with a
minimal staff, or with thousands of
members and a large staff. You will
benefit if you use any or all of the
ways outlined to get the most from
your membership dollar , whether it
costs you 10 dollars or thousands per
year.
Center of Infonnation
Your trade association has the
overall picture of your industry . It
collects and disseminates business
facts pertaining to its membership ;
this exchange of business information
is a primary function of any
association .
Learning how others in your line
of work handle problems pertaining
to purchases, employees , customer
relations and so on can give you
ideas on how to improve your own
business . This exchange-and it
must be a swapping of pointers to be
truly effective-sharpens your busi-
ness sense and makes you aware of
what is good or bad in your own
methods .
Passing a business tip on to your
trade association does not give your
competition an unfair edge ... instead
it helps your entire industry . The
least effective 'associations are those
where the membership sits back and
passively listens to a stream of
platitudes issuing from headquarters.
By contrast , the most active and
effective associations are usually
130
those where the membership partici-
pates vigorously in a "give and take"
of industry information .
Government relations
Few individuals can keep up with
the changing laws and regulations
emanating from local , state , and
federal governments . A trade asso-
ciation sifts through the maze of
government dictates , passing on
those pertinent to you. Large trade
groups have professional legal
staffs to report and interpret new
legislation. Often they press for ,
suggest, or support proposed regula-
tions and legislation . An example of
this is, of course , the A. M. O . A. 's
landable role in representing opera-
tors in the proceedings surrounding
the jukebox copyright law .
On the local level a single member
may be appointed to go to the town
hall and check on the status of a new
tax ordinance . [n either case the
function is the same , and the
member who receives and uses this
information is miles ahead of a
competitor who does not belong to
the association .
Public relations
Your association builds good will
for your business.
[n a very real sense your
association's public relations effort
represents your business . By laying
the basic , institutional-type ground-
work for your industry , this function
of an association makes your own
advertising that much more effective .
Associations vary greatly in their
programs and effectiveness on this
point. If your group has an active
public relations schedule , it is in your
own best interest to support it. If it
has none , then it might be a good
idea to try to get one started.
Business statistics
An association gleans through all
sorts of dull statistical data to extract
those figures of interest to you . [t will
help you to know what percentage of
the population is of a certain age
bracket ; what teenage markets exist
and teen buying power ; what is the
current vogue in a specific area of the
country , etc.
A trade association can ferret out
and claSSify statistics of this type with
greater ease than an ind ividual.
Labor relations
Many associations act as a clearing
house for general information
regarding industry-wide labor prac-
tices . Salary levels , job classifications,
hours worked and vacations granted
are types of general knowledge you
need to know about your industry to
stay competitive . Are pension plans
common? [s there pressure for them?
What are the new fringe benefits
being sought by labor? You need to
know where your industry stands on
such vital points in order to
determine your own course of
action .
Business ethics
Virtually every trade association
sets some standards for what is
considered "fair" and " unfair" in the
particular industry . These ethical
dictates may range from a formal
code of good practice or ethics , to a
statement in the by-laws of a local
merchant's group. The self-policing
wards off government interference
and breeds confidence for consum-
ers.
Other typical codes spell out
bidding practices , caution against
defaming competitors , set up ad-
vertising gUidelines, and set up
safeguards against collusion in fixing
prices .
The ethical standards set by you
through your membership in an
organization provides a rule of thumb
for all business firms in your field .
Unifonn accounting
Most associations prescribe prefer-
red methods of accountin~ , in -
PLAY METER, November, 1978