This man found the American
manufacturer entirely unwilling to deal in this way.
European houses on the spot, whether independent or financed by large
home houses, give credits for as long, sometimes, as a year. They would
not continue to do so if they lost by doing it. Often this fits the
customs of the local domestic trade. In one country the local retailer
is expected to be paid within eighteen months. Naturally, our exporters'
demand for "cash down on receipt of documents," even when the customer
is well vouched for, does not appeal to him.
He prefers to get long credit from a European house, and pay interest
for it, rather than to borrow from his bank at high interest or sink his
own capital to pay for American goods, long before he gets them, their
price plus the profit of a commission house. Indeed, he is generally
dissatisfied with the methods of American export trade as now conducted,
which is almost exclusively through commission houses. These, it seems,
might become more efficient through organization and more aggressive and
scientific methods.
On the other hand, the export trade of certain of the big combinations
is beginning to be pushed with commendable zeal and efficiency.
Pages:
320
321
322
323
324
325
326
327
328
329
330
331
332
333
334
335
336
337
338
339
340
341
342
343
344