Los Angeles herald., 1908-01-26
SAYS AUTO
MEN SHOULD
USE CA RE
APPERSON ADVISES MAKERS
TO BE CONSERVATIVE
is OPTIMISTIC FOR FUTURE OF
ALL HIGH GRADE CARS
Sees No Slump Ahead for Machines
of Standard Quallty-Declares
Not One Manufacturer Has
Yet Made Fortune

firm of Apperson Brothers, pioneer au-
tomobile manufacturers, and a member
of the technical committee of the A. A.
A., who recently arrived in Los Angeles
to look after the marketing of a part
of the product of their factory in the
west, gave the accompanying interview
to The Herald on the future of the au-
tomobile manufacturing business.
Apperson's long experience in the au-
tcmobile field and his close association
with the leading men in the business
makes an expression Of his views on
the subject a matter of interest at the
present time, when the future of the
Industry is, to the mind of many. In
a critical state:
"An automobile maker who has for
nearly fifteen years been engaged in
the manufacture of cars as have been,
may possibly view the outlook for the
industry during 1908 from different
standpoint than that taken by one VINO
has had less experience in this line or
business. l mean that my own deduc-
lions concerning the outlook for the
years business would be based on
comparison with the business done for
a number of years past, and in com
parison with the outlook as l remember
having previously seen 1t at this time
of the year during the last fourteen
the way things looked or materialized
in 1906, for example, which has some
times been called the banner year for
the industry in America.
"In previous years both the majority
of the dealers and of the buying public
have waited for the national shows TO
be held, in January, February ana
March, before placing their orders'
This year the earlier show dates re-
moved that excuse for delay. Although
the recent money furry undoubtedly
affected the total volume of business
believe that up to this date as many
good cars have been sold as were sold
| in any previous year up to the same
date We have received more bona f1de
orders, with cash deposits thereon, thar
| in any other year at the same time.
Well to Be Conservative
while 1 believe it is well for all
makers to pursue a conservative policy
until after the presidential election,
when business can settle itself for the
long pull, ] also believe that the public
will be ready to take as fast as COM
pleted all the really high grade automo-
biles of proven quality made by manu- :
facturers with established regulations
for reliability. While l am not a pessl-
mist. l feel it is probable that some of
the newer and less known, and by COM
parison with the pioneers in the trade
weaker, manufacturers will find the
coming year Improbable and possibly
disastrous for them.
1.-THE making of automobiles is with
out doubt the most hazardous legiti-
mate manufacturing business in Amer
lea. have been constantly engaged in
it since the first 'horseless vehicle
made it's appearance on American
roads, and today would not invest one
,kxN,4, obi 10 70 OH a G. a
new or as a comparatively new ven
ture, regardless of the amount of addt-
tional money, brains, mechanical abb!
ity and experience In the making of
automobiles that might be back of the
undertaking.
1.-THE automobile business has been
my sole consideration for years and |
have devoted years of time and care
full study to 1t in all of its various
phases. l challenge any one to name
a single successful maker of American
automobiles who has made fortune in
that business, and l further challenge
any one to name any other line or busi-
ness in which so vast an amount OF
capital has been invested in so short a
time with so small return on the
capitaI invested and with so large a
percentage OF failures as contrasted
with the comparatively few real sue
cesSes.
No Place for Inexperienee
81 am convinced that he who en-
banks today in the automobile business
cannot exist without loss or make a
croft on hi1 investment. l think the
automobile business has come to stay
and will graduf lily increase, but know
that the old established makers are in
a position, with their present plants
INro Id eli
same, not only to supply the present
demand for honestly built cars, but also
to meet and fill any increase in the de-
mand that is liable to occur.
From a careful and personal inves-
tigation I have come to the conclusion
that practically all of the cars being
sold at the pres cnt time are those man
ufactured by the old established MAX
ers. And the reason is that the buying
public now looks to the reputation and
stability of the maker as well as to the
mechanical features and style of the
car. The high class trade in the east
does not seen. to be depreciating in
volume and the same class of trade in
the west is undoubtedly increasing.
THE fact that foreign makers have
felt the pinch of American competition
on high priced cars, due to the general
and unexcelled qualities of the Ameri-
can cars of today, is evidenced by some
Of them having largely reduced their
American list prices. But today to get
The best car in the world no one need
purchase foreign made machine that
carries a As per cent duty added to its
selling price.
"The American automobile industry is
rapidly settling down to long desired
commercial basis. Better cars are now
produced, the cost of formerly neces-
sary experimenting reduced and leaks
in the manufacturing and selling de-
partments of the business decreased.
To summarize, l look for a good year
FOR good cars and automobile makers.
From what / have learned Of this
section since my arrival here, l am
inclined to the belief that the largest
field for the sale of automobiles for
the western dealers Is among the
ranchers and orchardists.
''They are fast coming to the realiza-
ticn that they can do most of their
travelling. for which they now utilize