The Washburn times. [volume] (Washburn, Wis.) 1896-1976, 1905-12-21
OUR GOODS IN FAR EAST
American Investigation of Trade
Conditions In Japan.
VALUE OF SOLE AGENCY SYSTEM

Why u Special Agent Who Went to
Japan Urges American Houses to
| Adopt the Plan - Obstacles Which
May Be Readily Removed Trade
Methods Preferred by OrieutaIs.
When Baron Kaneko was in Wash
1ngtOn last spring, before arrangements
| for the Portsmouth conference had
been made, he spoke optimistically OF
the opportunities for American goods
In the orient as soon as peace should
come, says the Washington corresponds
ent of the New York Post. His views
are now echoed by an American agent
recently sent to Japan to investigate
trade conditions, who recently notified
the department of the progress which
American merchants are making there
in spite of many obstacles, some Of
which may be readily removed.
Baron Kaneko placed emphasis on
the fact that Japan and America need
not be competitors in any of the main
lines of trade, but might enter upon
q reciprocal arrangement of great ad-
| vantage to each. The obstacles to which
the special agent refers are not due
to inferior workmanship or higher
! prices, but to commercial methods diff
fering from those employed by the
German and British firms to secure
the business. He urges American
houses to establish sole agencies in the
principal Japanese towns and deal
through, them exclusively instead of
picking up customer here and there
by correspondence. The seeming adj
vantage in getting foreign buyers to
deal direct with the home Office is en-
tirely lost, he says, by reason of chang
ing prices there, due to foreign compe-
tition, and more especially by dispo-
sition on the part Of some consumers
to change their minds about purchase
after they have sent the order.
Orientals like to see the goods for
which they are contracting and take
them at once if suited. They do not
want to order one day and have to
wait two or three months for a deIiv-
cry. They may spend their money in
some other way in the meantime, or
they may see elsewhere something they
like better In the latter case they are
apt to take the article in sight and
care nothing for the contract already
made. This is where the sole agent
comes in to the advantage Of American
firms. If the goods ordered on contract
are not accepted it is just as likely
they can be sold to another buyer in
short time.
Another advantage of having an
agent on the ground is the frequent ne
ceSsity for arranging compromise in
order to keep the trade from falling in
to the hands of other competitors.
THESE brokers will arrange terms to
suit the purchaser, who comes to an
agreement because he is aware there
are no other brokers of the same firm
In his town and that to get that partic-
ular make of goods or machines he
must make his arrangements right
there. An instance is cited by the
agent where an American firm did not
adopt the sole agency plan and found,
to its surprise, that two Americans
We're fighting one another instead Of
presenting united front to competi-
tors Of other nations. The fact that
both men were trying to sell the same
American goods made the example all
the more remarkable, since it showed a
willingness to sacrifice the market in
the effort to land an individual COM
! mission.
Business in Japan has social side,
which is relied upon strongly by bro
kers Of those nationalities. They inva-
riably have a tearO0m, where they talk
| shop with intending purchasers and
| not only advance their own wares, but
| casually interview their guest as to
| what other brokers are offering to do
| for him in the way of prices and ac
| cOmmOdating payments. Reaching the
native thus over the teacups, the agent
| learns of supposed defects in his goods,
or if he finds the buyer has good ideas
for improving the line the suggestions
are promptly dispatched to the factory
and the goods changed to suit the new
demands.
The point of chief Importance, how
ever, is the assurance that the field is
open to the world and that American
firms can gain great part Of the mar
ket if they study the situation and do
what their rivals are so ready to do to
win Japan's trade. With the end Of
the war Japanese look again to the
greatest comforts of life and will sup
ply themselves with such foreign
goods as catch their fancy and seem
adaptable to their needs. When goods
are wanted quickly American firms
usually outstrip their competitors. At
Kobe the imports from the United
States in the first seven months in
1905 reached total Of about $2O,O0O,-
600. The current years record is
about $5,OOO,O0O ahead of British i'm
ports in the same period. Kobe is the
Industrial gateway of Japan, through
which are received and distributed the
bulk Of her imports.
The best comment on the opportuni-