Music Trade Review

Issue: 1919 Vol. 68 N. 9

Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
REVIEW
THE
VOL. LXVIII. No. 9
Published Every Saturday by Edward Lyman BUI, Inc., at 373 4th Ave., New York. Mar. 1, 1919
Single Copies 10 Centi
$2.00 Per Year
Why Prosperity Must Prevail
W
E face a period of extraordinary development in every phase of our industrial relations. The
statement is trite; but triteness does not appear as a defect when it connotes vital, essential truth.
At the present moment nothing can be more important, more completely vital, to the music
industry at large than to come to an understanding of the underlying facts of the business situation.
These facts may be summed up in a sentence: Business is to be extremely active, with demand exceeding
supply; but with incalculable economic and social factors appearing from time to time.
This does not mean the easiest of flowery paths for any of us. It means that there will be problems to
meet and handle. But it also means that our foundation is solid and sound, safe and sane.
At the moment the facts as to the industrial situation are beclouded by the handful of agitators who talk
extremism on the one hand; and on the other hand by those who would take advantage of public susceptibility
to preach reaction and an impossible return to outworn ways.
There should be a short way with these gentry. Ole Hanson made every good American feel proud when
he took Bolshevism by the throat in Seattle. He who will likewise take reaction by the throat will be an even
greater benefactor.
American business cannot be reactionary. Prosperity must not only exist; it must be distributed. The
future of the music industries rests on the growing capacity of the individual consumer. The one hundred
richest men will only buy one, or perhaps two, pianos for each of their houses; but a million prosperous middle-
class Americans will buy a million pianos.
To-day the mass of the American people are earning good money and have some of it to spend. They are
ordering pianos, player-pianos and talking machines in quantities which surpass the ability of the manufacturers
to provide. The retail dealers realize the facts and find themselves able to demand prices and terms more in
accordance with sound business principles. Manufacturers find it possible, as well as desirable, to raise their
prices and stiffen the terms. The public pays; and that willingly.
The world reconstruction is about to begin. The League of Nations is born. The United States, finding
itself a creditor nation, finds itself also in a condition of financial health unparalleled. The banks are filled to
bursting with money. Savings deposits have increased immensely and the coming of another national loan only
emphasizes confidence in the ability of the people to continue the saving habit. The music business should be
able, by all right and reason, to say that its season of prosperity shall be continued long beyond the winter of 1919.
Why, then, should we hear repinings? Why should we hear doubt expressed, or foreboding or misgiving?
For two reasons: One is that some men will always worry when times are good lest peradventure they cease to
be so some day. The other and more important reason is to be found in the contesting and contrasting forces of
extremism which are now showing their ugly heads.
Yet the American people are at bottom sane and safe. They will choke Bolshevism to death if we let
them. They will take reactionism by the throat if once they recognize the danger of it. But we need, to gain
these ends, and to emerge into permanent happiness and prosperity, courageous thinking and bold speaking. We
must know facts and make others know them.
For too long our economic thinking has been done for us by selfish materialists on the one hand, and by
boudoir Bolsheviki on the other. We music-industry men and women depend upon the prosperity of the great
mass of plain people. It is for us to lend ourselves to every intelligent effort which purposes to crush both
the ugly rattlesnake which would stick up its crest crowned by a red flag and the materialistic greed which
would turn the new world back into channels long since found unsuited to its new aims and aspirations.
Clear thought, clean business and good Americanism will not only maintain but increase the prosperity
which we to-day so thankfully recognize as ours.-.:;---;ov
Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
THE MUSIC TRADE REVIEW
MARCH 1, 1919
display the same ambition and desire to work their way up as men
do, and are too prone to be satisfied with certain fixed positions in-
stead of being inclined to acquire a greater knowledge and go ahead
to more important posts.
prominent piano traveler in close touch with the retail trade
O NE in various
sections of the South expresses the opinion that any
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Vol. LXVIII
NEW YORK, MARCH 1, 1919
No. 9
EDITORIAL 1
D
EALERS throughout the country are manifesting the keenest
interest in the approaching visit of George W. Pound, General
Counsel and Manager of the Music Industries Chamber of Com-
merce, the itinerary of whose trip was published in last week's
Review. Some thirty cities will be visited and the men who
have been appointed to head the reception committee all promise
large audiences to hear Mr. Pound explain the accomplishments of
the Chamber of Commerce, and what it expects to do for the trade
in the future.
This trip of Mr. Pound's marks a new era in trade history. It
denotes the increasing interest of all branches of the trade in the
industry, and it is safe to say that when the tour is ended the im-
portance and dignity of the music trade will be more widely recog-
nized than ever before in history.
EPORTS from piano manufacturers, and particularly from
R
those located in the West, indicate that while the supply of
available labor is still far below normal, workmen are trickling back
to the factories in increased numbers, and are serving to relieve the
situation to a considerable measure. As the work of demobilization
proceeds a goodly number of trained piano workers are released
from service, and we are having no difficulty in finding suitable
places in the factories.
The general report regarding the increased number of unem-
ployed men refers practically entirely to what is termed unskilled
labor—men without any definite trade. This unskilled labor can
only be used to a limited extent in piano factories, and the result
has been delay in manning plants while waiting for trained workmen
to be released from military service, or for new employes to be
trained to a point where they become really productive.
A notable feature of the labor situation has been the noticeable
inclination by manufacturers to dodge the employment of women
in their factories, even those who had female help during the war
replacing such help as leaves with male help wherever possible. The
answer is apparently that in general factory work women do not
possible effort of certain piano manufacturers to take care of the
overproduction question by returning to the old system of long
terms will not only rouse the ire of other manufacturers, but will also
meet with opposition from piano merchants, especially in the South.
These merchants, for instance, declare that having so rearranged
their businesses* as to be able to do their buying and selling on a.
short term basis they will never again go back to long terms and go
through the experience that has been theirs during the months of the
war, when they found themselves with much long time paper on
hand, while their banks in many cases not only refused to take more
piano paper as collateral, but actually required them to reduce by 50
per cent, or more the amount of paper already held by the banks for
loans.
More than one piano retailer had to dig and dig fast in order to
meet the demands of his bank, and still keep his business going,
especially in view of the fact that the manufacturer was of necessity
demanding shorter terms on new instruments bought. The lesson
has been a hard one, and the retailers have apparently learned it
well, and the majority of them will not be inveigled into placing
themselves in the same old position and suffer the same consequences
should another economic or international crisis arise.
The attitude of piano merchants is reflected in some measure in
the inclination to keep retail stocks pared down close to actual neces-
sity, to buy only to meet present requirements, and then to buy for
cash or on short terms.
I
T was long ago predicted in business circles in this country that in
preparing to meet after-war competition by German and Austrian
manufacturers, particularly the former, American manufacturers
must guard against the adoption of various subterfuges by interests
in enemy countries desirous of re-establishing themselves in the
world's markets. It has been pointed out on numerous occasions
that, realizing the odium that would attach to the mark "made in
Germany" for many years to come, manufacturers and exporters of
that country would endeavor to market their products as coming
from allied or neutral countries.
Those who have uttered warnings in the past already profess to
see in various protective tariff laws being advocated in South Ameri-
can countries, and particularly in Cuba, the first step in the German
effort to get a foothold in Latin America by offering Cuban-made
pianos to that market. In Cuba, for instance, a tariff measure has
been introduced "for the protection of a young home industry" that
will, if it becomes a law, practically bar American pianos from the
Cuban field. Just now there is one piano factory on the Island, but
certain interests connected with the Bank of Spain are said to be
planning to manufacture pianos on a large scale. No secret is made
of the fact that German interests working through Spanish inter-
mediaries are believed to be back of the move.
Whether or not there is reason to be particularly suspicious of
this one incident, the fact remains that the various subterfuges must
be expected and guarded against, if our manufacturers are to be able
to compete successfully.
conditions in all branches of the music trade industry
B USINESS
continue to show improvement. While the retail trade is short
of stock, manufacturers are making more frequent shipments, and
with the increasing return and demobilization of the soldiers from
Europe the labor question, which has been a very serious one, is
being adjusted along satisfactory lines. In fact, every branch of the
industry in America gives strong indications of better sentiment and
a more favorable outlook. Meanwhile the readjustment of business
of the Nation proceeds apace, and it is now believed that we are
rapidly approaching the apex of this post-war disturbance, and that
within the next three months matters will so adjust themselves that
business of all kinds will continue on an upward grade with manu-
facturing conditions greatly improved.
The leading trade reviews in their reports of conditions are
optimistically inclined.

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