Albuquerque morning journal., 1913-12-27
AUTOMOBILE TRADE
CONDITIONS ARE
OPTIMISTIC
twenty-five Per Cent More
Cars Sold in 1918 Than in
1912 Question Of 0ver-Pro-
duCtIon Being Considered,

There is probably no one connected
with the automobile industry better
qualified TO analyze the general trade
condition Of the business than II. o.
Smith, chairman Of the board Of trade
and automobile chamber OF COM
merce of indianapolis He sums up
as follows:
optimism, as | understand IL, is
warranted only under two conditions
one being when the correct reading
Of the future presents encouraging
conditions the other when the past
ana present reflect fayorahly upon q
situation.
II do not believe that pessimists
could ever have developed the auto
mobile industry, although the results
of each year have more than justi-
fled the views of the most optimistic
What other Of our great industries
can show the ratio Of gain each AMI
every year over the preceding years
for a period of ten years which will
compare with the showing Of the au-
tOmobile?
"A great deal OF adverse criticism
has been circulated regarding the
automobile business; most Of il is not
clearly proven by tho fact that for
the season Of 1913 more than 25 per
cent more cars were sold than in any
previous year.
1--WE hear rumors Of overproduction
and falling off in buying. As 10 over
production this business. unlike any
other. TO meet the publlc's whims,
looks to the manufacturer to make
an absolute cleanup at the end Of the
season, branding any stock which
may remain on hand as a surplus due
to overprOduction. With any Of the
other great industries IL is never eX-
pected that the visible supply of
stock will be entirely exhausted.
For the last three years we have
had on hand in this country, as best
/ can Judge, between and 10 per
cent Of the seasons production, these
cars for the greater part having been
slightly changed and converted into
the new models or series until this
year. but this season, with the almost
universal shift from right to left side
drive, il was impossible to change
any stock cars with right-hand drive
which might be on hand the first Of
June, SO as to call them the new Sc
ries or models, and that this nat
urally meant that these cars had tc
be disposed of before the new models
could be brought out, thereby placing
time limit and under conditions
when general business activities were
below normal
at would be just as reasonable to
expect the abandonment Of the tele-
graph, telephone and other of our
modern agencies as to expect the dis
continuance of the use OF motor cars
We not only have the right to expect
the continuance of the use of the mo-
tor car but can be sure that its use
and influence will continue to
broaden.
This year production plans will be
a little more conservative, and we
may have reached the point where
the deman | will not continue TO rep
resent an increase over every previ-
Gus year. However, if we count upon
q steady demand somewhere approx
mating that of the season Of 1928
this business can claim the perma-
nency and stability of any other line
of business.
1T is natural to expect that there
are reforms to be worked out in a
business which has grown to the
proportions of the automobile busi-
ress in so short a space Of time, but,
on the other hand, | believe there is
as much talent and ability in the
automobile business, all the way from
the engineer to the business man. as
is to be found in any other lines. and
the ability of these men l feel will
he demonstrated.