American businessman
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Also known as: James Cash Penney
In full:
James Cash Penney
Born:
Sept. 16, 1875, Hamilton, Mo., U.S.
Died:
Feb. 12, 1971, New York, N.Y. (aged 95)

J.C. Penney (born Sept. 16, 1875, Hamilton, Mo., U.S.—died Feb. 12, 1971, New York, N.Y.) was a merchant who established one of the largest chains of department stores in the United States.

Penney’s first job was clerking in a general store for a salary of $2.27 per month. For medical reasons he moved to Colorado in 1897 and was soon hired by local dry-goods merchants Guy Johnson and T.M. Callahan. The company opened another store in Kemmerer, Wyo., in 1902, and young Penney became a one-third partner for an investment of $500 and a promissory note for $1,500. Five years later Penney bought out his partners’ shares and launched the beginning of what became the J.C. Penney Co.

As each new store opened, Penney offered a profit-sharing plan to its manager. Even in 1927, when the company ceased operating as a partnership and sold its stock publicly, managers were given stock in the company, and eventually all employees were included in profit-sharing plans.

Offering a wide variety of relatively inexpensive general merchandise, J.C. Penney stores appeared in every state in the United States. Before his death in 1971 at the age of 95, Penney saw his company grow from a frontier-town dry-goods store to the second largest nonfood merchandiser in the country, behind Sears, Roebuck and Co.

This article was most recently revised and updated by Encyclopaedia Britannica.