The San Francisco call., 1906-11-21
MERICAN merchants and manu-
facturers may CLEAN informa-
tion that will be OF value from
the following report made to

~ ton that VIII DC Oh Faiue from
the following report made to
the Department of Commerce and
Labor recently by Consul General
George e. Anderson of Rio de Janiero.
The report deals with methods of gain
Ing foreign trade. and is in part as
follows:
In response TO the ever-recurring in
quiry as to what is necessary to ex-
tend American trade abroad it is very
easy to lay down general rules. but of
course it may be a vastly different
matter to follow them successfully and
meet the conditions of each particular
business Taking things as whole.
however. in the countries in which |
have had experience 1t has been found
that to get business it is necessary to
follow the same rules that are followed
in the United States. / have been un-
able to find any satisfactory reason
why American manufacturers should
expect to secure trade abroad In the
face OF international competition with
less trouble and expense than In the
United States. To secure trade any
where a manufacturer must go after
It.; and American manufacturers who
are going after foreign trade patiently
and persistently, not expecting to gain
everything in day, are securing 1t
and are building UP a constantly In
creasing business in parts OF the
world where American goods have
heretofore. been little known if at all.
The first requirement of building up
business abroad is personal represen-
tation. AS to the nature Of this rep
resentation there are several systems
to be followed, and perhaps 1t is un-
wise to express an opinion as to plans.
The ideal representation would be a
direct special commercial traveller sell
ing goods from manufacturer to dealer,
a man able to speak the language OF
the country, with thorough knowl-
edge of the country and its people, as
well as knowledge of the trade he
represents. Heretofore the expense OF
securing and maintaining such a rep
resentative has kept most American
concerns from securing advantages
that otherwise would follow.
There has been general adoption
of one Of three other plans: First
sending a man into the field who rep
resents from two to a dozen different
lines of trade in the territory worked
second, securing local representation
through local firm in each trade Gen.
ter which deals in many lines, mostly
commission houses; and third, the plaI
of manufacturers agents, whereby z
representative is secured in the person
of a man or firm which receives &
commission on all goods sold in the
territory covered by him on severa
lines, soliciting business for the firm:
he represents, and being responsible
for credits, collections. and, in short
practically buying goods at his owr
! risk with certain advantages in the
business.
These several plans are followed
with more or less success In Brazil al
the present time. Where a manufac.
turer has an extensive line OF good.
demand in Brazil, for instance, that
manufacturer ought to have his owr
man here. Any other plan will simply
the business. In general it is safe tC
say that where it pays a European
| firm to keep a man in the field, 1t viii
pay an American manufacturer. Where
/ there is not enough business TO main.
/ tain representative OF one line, II hai
been found practicable for a represen-
/ tative to have several lines, but no
/ too many. The chief mistakes in suci
! agencies have been IN attempting Il
cover too much territory for too many
people, satisfying none, and merely
spelling the field for real work. Tht
plan Of securing local firms as agents
| for American houses should be fol
! lowed only as a last resort OF course
everything depends upon the hrm ant
it's connections. Most foreign houses
| at present are British or German, and