HAMILTON COUNTY OHIO - BUSINESS: History of Stockton, West, Burkhart, Inc.
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                        The History of
                   Stockton West Burkhart, Inc.
               Advertising Agency - Cincinnati, Ohio
                   written by C. Thomas Martin 1982


Background

One of Cincinnati's largest and best known agencies in the 1930's was the 
Ralph H. Jones Co.  This agency was formed from an art studio partnership of 
Ralph H. Jones and Eric Stockton, dating back to 1920.

Eric Stockton was a creative, talented writer, a recognized cartoonist and 
Art Director.  Ralph Jones was a photo retoucher.  As they grew and added 
retouchers and artists, Jones did less retouching and became the business 
representative.  Stockton devoted his time to creative writing and art 
directing.  By 1926 Jones and Stockton, operating as a complete advertising 
agency, had incorporated as a company with Jones holding the majority of 
stock.

Dissension developed and in 1936 Eric Stockton split with Jones and with West 
and Burkhart, also at Jones, initiated a new advertising agency.

Beginning of the Company:

>From this background emerged Stockton, West, Burkhart Inc. and a new concept 
for agency management.

This new concept was the brain-child of William Z. Burkhart.  His idea was to 
establish an agency around Division Directors as the entrepreneurs, rather 
than the Stockholders and to pay the Division head a percentage of the 15% 
earned by the company.  The head of a Division would receive a minimum 
guaranteed salary and all direct expenses he incurred would be charged 
against his budget.  If there was a profit it became his bonus.  If there was 
a loss, it would be temporarily absorbed by the agency.  By working hard and 
not incurring any unnecessary expenses the Division head profited.  The idea 
was to use the Division heads as "shock absorbers."  The company might not 
make a great amount of money, but its losses wouldn't be great either.  The 
Division Director was the winner or loser since each was theoretically in 
business for himself.

There would be a limited number of Divisions with separate departments added 
if considered necessary.  Initially the Divisions were Creative, Contact, 
Management and Research.  Burkhart used as a basis for a fair percentage for 
each Division the percentages arrived at by successfully run agencies 
compiled by the 4 A's, (The American Association of Advertising Agencies).


continued with #3


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