The San Francisco call., 1909-12-05

IT MAY BE WELL TO EXPLAIN at the outset the con-
dtions which obtain and the results that must accrue
that have in cases. already appeared fortunately
we are in position do this without injury to ourselves
while others for that will be obvious just as
anxious keep themselves some things tney KNOW,
DURING THE PAST SIXTY DAYS prices of several
makes of increased $50 to 5000 over prey
ous advertised prices Some OF these have been publicly
anno1nced-nore It's rather difficult situation
to handle of them don't know just how TO 40 II
without admitting deplorabe lack OF foresight OF niteo
financial backing.
WE ARE NOT CRITIC1SING those makers, who have
raised price of their cas-n most they had no
choice in the matter sd to compete pete win Win 1ar o TN and
less organization, and tacitlesse their price 10 fy anu
ours-and simply couldn't that's ALL
OUR FACILITIES ARE NOT EoUALED by any others
in industry. Nor distributing organization which
places in the hands of the for about halt what
other makers to make the transfer from factory
to ultimate
IT'S RATHER SURPRISING, BY THE WAY, that
just when the weaces predicting lower prices Tor
automobiles 10! up they 60 Fact is there was no toun-
those predictions and the wiseacres weren't
wise to the situation Based their predictions the
fact that EF3O" had and of course, others
must follow Well, you can't follow you know, unless
vou have lust as fast conveyance-that is you may
follow but you can't keep up.
THAT'S WHAT'S HAPPENING NOW to most of them.
happen ore-beter bear that in mind before buy
ing car with less financial backing stability and less
reputation than Studebakers which goes with MI @3o.
Your guaranty will be worth the paper it's printed on
you know, when the that assembled your car is
But anticipating.
THERE ARE SEVERAL REASONS for the increase of
prices and SO you will be able apply your judg
the we'll tell you the important
of which may force about February 1st to
add 500 the price of Studebaker-E-M-F-~ -~30"
FIRST: THERE'S BIGGER SHORTAGE of automo-
bles of all kinds this year than before. Last years
shortage nothing by comparison. And every day
it grows greater Perhaps you haven't noticed it yet.
with any reputation back of it. and sensible business
you'll hardly consider any other
COULD YOU READ OUR CORRESPONDENCE of the
last OBSERVATION-DISCLOSURES from over ten thousand dealers
anxious handle the Studebaker line you'd appre-
ciate that there exists today condition almost
paraeled commercial history And the condition grows
acute daily
WON'T BE ONE CAR FOR EVERY FOUR prospective
buyers That's the estimate of the best inormed-s
estimate also since General Manager Eames tour Just
finished during which he travelled 1000 miles and visited
every important centre every in the Union Con-
dt1on is unprecedented
SHORTAGE ALONE WOULD BE SUFFICIENT grounds
for increasing the price of like E E-MF30'-only
could have sold all the EMF-Sso cars at s. SOC from
the frstalways has been four times great demand
supply for this But entire plan based guam
tity production of quality with margin
to place the price where it will create its quantity
demand.
SECOND REASON IS MORE IMPORTANT brief as
follows: Eghttenths of the automobiles built in this
country what known in the trade assembled
cars That is say the various parts, motor trans
mission, frame axes steering gears, bodies etc., made
in small machine shops all the country assembled
by the concern whose e-pate appears the
Only investment the socaled manufacturer" big
assembling building-or shed. He pull of the
automobile business at short notice, his cream with
him and-wel where the buyers of his get off at is
the unanswerable question
DEMAND FOR PARTS" EXCEEDS SUPPLY several
times AS result these "assemblers" have for
months past been bidding against other for parts
Think OF that-and trying at the time to compete
with facilities such have! What's happen
is easy predict.
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