Music Trade Review

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REVIEW
THE
ffljSIC TIRADE
VOL LXXIII. No. 24
Published Every Saturday by Edward Lyman Bill, Inc., at 373 4th Ave., New York.
Dec. 10, 1921
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«' 92.00
2
10 Cents
Year
H E problem of what the future holds in store for the business world generally, and the
music industry in particular, is one that cannot be solved with any degree of certainty at
the present time. Predictions and surmises made at the present time may be proven
entirely erroneous by some unexpected turn of events, and even the wisest of business
leaders and the shrewdest of economists are wary in offering positive statements as to what
may be expected in 1922. Despite this fact it is safe to predict, so far as the music indus-
try is concerned, that the year 1922 will bring with it better basic conditions, better business and a sounder
foundation than have existed during the year now closing and, no matter what untoward influences are
still to be encountered, there is evident among the members of the trade a spirit of optimism that is founded
in fact and that will serve in a large measure to overcome many of the handicaps which may be encoun-
tered during the months to come. The music business is naturally affected by general conditions, although
sometimes the effect of depression or stimulation is not felt by this trade until a considerable time after
the action or reaction has taken place in other industries.
The poor business which existed during a number of months of the year now coming to a close was
due to causes that were more or less general—widespread unemployment and the poor credit situation.
Even to-day the farmer has not succeeded in overcoming his problem or in reconciling himself to take a
substantial loss and still carry on. The bright spot, however, is the general improvement in the unemploy-
ment situation and the resumption of industrial activity on a steady, quiet basis that is calculated to make
for permanency.
Those who are well acquainted with conditions declare that the country is in the final process of
liquidation, that the banks will soon have cleaned up the greater part of their outstanding accounts and,
although the result may be painful temporarily, the final effect will prove most beneficial. It is believed that,
barring the unexpected, price readjustment in all its angles will have been completed well before next
Summer, that the business world will have found itself, and from that time on there will be a steady
progress in every field of activity.
So far as the piano trade is concerned it is gratifying to note that both manufacturers and retailers
have come through the worst of the depression with flying colors. The financial troubles have been few
and the failures practically nil, which may be accepted as proof of the soundness of the industry as a
whole. Having gone so far without crashing, the industry may be expected to continue on a more solid
foundation and with greater surety.
The year 1922 is going to bring with it a number of problems for the consideration of both manu-
facturers and retailers. Chief among these will come the problem of financing, and upon the attention given
this matter and the good business judgment shown therein will depend the condition in which the industry
finds itself at the end of next year.
There is already in evidence a tendency to extend terms beyond safe limits, although the majority
of manufacturers, particularly of high-grade lines, are going on their wa)' serenely and adhering to terms
of credit that may be considered standard with them. There are others who have been overtaken by the
ambition for production, and in an endeavor to dispose of piano stocks have sold to the dealer on the
basis of terms.
All this has naturally led to extended credits in the retail end of the business, and it is regrettable
i
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