Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
VOL.JLXVIII. NO. 2
REVIEW
Published Every Saturday by Edward Lyman Bill, Inc., at 373 4th Aye., New York. Jan. 11, 1919
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The Development of Export Trade
S
OME trade opinions to the contrary notwithstanding,-the question of?ways and means for developing the
export trade of this country to a hitherto unheard^pf degree is a question of utmost importance, directly
or indirectly, to every business man in the land. It may be that he himself has nothing to export, and
is not personally interested in foreign business, but the increase or decrease of overseas trade has an effect
on his business interests just the same.
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In the first place, strong export business serves to maintain .the trade balance between this and other
countries, makes it unnecessary to ship vast amounts of gold out of the country to pay for foreign purchases,
and thereby helps to make the money market freer. Then, too, with a substantial foreign trade developed, the
majority of industries would be far less likely to be affected to any great degree by any sudden shifting or
changes in the domestic market, as would be the case were all their interests confined within the borders of our
own land. Foreign business helps increase factory output, and increased output, as a rule, means a reduction
in overhead with smaller manufacturing costs and the ability to shade prices to some degree in the domestic
market, and this shading of prices is a mighty important thing to the competitor who is limited in his selling
territory and has no overseas outlet.
The question of developing export trade has frequently been broached in the piano industry for a number
of years, but without arousing any great degree of enthusiasm. There are some concerns who do a big export
business on a systematic and sound basis, and who are finding that it pays. There are other concerns who
handle export orders spasmodically, and without any apparent effort to go into this field with the same regard
for method that they show in the handling of their domestic business. There are other concerns who are
apparently interested in foreign trade, but who evidently hesitate to take the chance. There are still other
firms who are frankly not in favor of export business.
Arguments as to why pianos and players are most desirable as commodities for export have been advanced
time and again by George W. Pound and others familiar with the subject, and there has been sufficient interest
developed in the idea to warrant the Department of Commerce to plan for a thorough survey of South American
markets to be made at a cost of $25,000 or more, and with particular reference to the opportunities for the
selling of musical instruments of various sorts south of the Equator. The results of this survey are to be
accessible to the music trade without charge.
With this information at hand (and it will be the first survey of its kind ever made for the music industry)
manufacturers can go ahead with some degree of certainty in mapping out their campaigns and enjoy a saving
of many thousands of dollars by receiving information through Government agencies that would cost them
much time and money to gather as individuals. But to take the Government report, when it is issued, and
then arrange to enter the South American field in a haphazard way, is going to defeat the purpose of the
survey and perhaps prove disastrous to those who attempt this method.
If foreign business is to be handled successfully and profitably it will be necessary to go after it, develop
it and then take care of it in a distinctly businesslike way. The peculiar requirements of the people must be
studied and catered to. Their methods of financing must be understood and observed. They must be approached
and sold much in the same manner as though they were in our own country. Concerns who have succeeded in
foreign fields have understood these facts and have operated accordingly.
A visitor from India recently declared that the failure of certain American concerns to get a hold on the
markets of that country was due chiefly to the fact that manufacturers exported articles distinctly American in
design and refused absolutely to change their designs fonthose, favored by the people in India. In other words,
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