The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-07-14
Take Lessons From German
Z Success in Dealing With
ft the Latins.
VAST MARKET rs OPEN
Trained Men the Greatest Need
In Competing With Euro
pean Statesmen.
~ RANDOLPH M. sAvILLn.
Speoially trrttten for the Latin America,
Section of THE SUN,


for expansion which the war has given
TO American commerce with Latin Amer
lea many of our manufacturers and
business men have turned to developing
their interests In this fertile and profit
able field. Few people realize what a
brilliant future lies before our sister
republics to the south Their resources
are nlimitable, and In spite OF the fact
that many OF them are being utilized,
II would seem that in comparison with
the possibilities this work has barely
begun. AS prewar conditions return as
regards investment. capital will certainly
be turned to the development OF Latin
American industries. This will mean
greater prosperity, increased buying
power. and larger consumption Of i'm
ported manufactures
The present time sees the beginning
of a commercial struggle to control the
markets of the world. and in no place
will 1t be more bitterly contested than
in Latin America. It should be remem-
bered that previous to the war the great
advantage which foreign countries had
over US In this territory was due to our
ssiyes
In general we did not seriously con-
slider the great possibilities in our south
ern neighbors. AS a whole we knew
practically nothing about them-their
geography, history, culture, or their re-
sources and commerce. On the other
hand. Europeans were hard at work
building up a profitable trade with them.
Their supremacy was due to careful
study and investigation, to their send
ing out we'll trained men as their repre-
sentatives. to lack OF undue haste. and
to governmental aid and patronage. 1t
was the result of, the methods employed
and not of superiority Of product or low
ness OF prices
Some American firms-and their goods
are as we'll known in Latin America as
at home-have taken advantage OF and
profited by the excellence of the markets
which lie much nearer the United States
than TO Europe. The results they OBJ
tained were due to their careful plan
ming. their salesmen. their advertising,
their knowledge OF conditions, in short,
TO their business methods, as we'll as to
the quality Of what they manufactured.
How the Germans Won.
Germany furnishes perhaps the best
example OF efficient commercial organ
ization in trading with Latin America
prior to the outbreak Of hostilities in
1914. A great number of Germans had
emigrated to South America especially
and had established themselves as mer-
chants They went not merely to make
their fortunes and return to their own
country. but to make II their home.
That was an essential factor. They be-
came permanent figures in the COM
mercial life OF the community. Hard
working. efficient and obliging. they
gained the friendship and respect Of the
natives. AS the business grew they
employed some of their younger coun-
trymen. who were sent out as appren-
tices to learn in the field. When the lat
ter wished to branch out for themselves
they were aided In doing so by the bank
ers at home.
Another phase was the training OF men
who were to act as statesmen especially
for the work. With a careful study Of
conditions, customs, methods. &C., as a
basis, with a knowledge of the business
gained in the home ONCE and experience
acquired In the field. It is not remarka-
BILE that they should have been so sue
cessful in getting the trade. The banks
established branches and agencies
throughout Latin America to handle the
financial end of the transactions. The
administration was based on a thorough
understanding OF native business meth
DDS and necessities.
To their further advantage was the
aid given them at home by the Gov
eminent as well as by their foreign trade
organizations. The entire system was
interlocking. and Of benefit to all, from
the manufacturer to the merchant The
consular service was efficient keeping
the Government at homo furnished with
all available information. which was in
turn disseminated to the manufacturers
and exporters. In practically every
town where there was q German house
one was certain to md q consular on
Ger. The merchants. bankers and ON
ciais did all In their power to turn the
tide Of trade to Germany.
Time Ripe for Action.
This carefully built structure was
broken down by the war and to-day is
what was done by European countries
to promote their foreign trade in Latin
America Now that peace has returned
and business again takes Its place in
international life the countries which
were active In foreign commerce. will
try to regain their former positions.
1t Is the psychological moment for
our manufacturers to build UP an enor-
nous and permanent business in Latin
America Our banks have established
branches in the important commercial
centres and are rapidly extending their
influence. We are able to turn out the
manufactures. We have the shipping to
handle the consignmsnts. Our great
trouble Is the lack of 3 SUFFICIENT number
y.
They have yet to receive their training.
Many OF our manufacturers have al
ready sent out Representatives to nnd
and develop markets for their products
and services. Those who have care
fully considered the characteristics. the
needs and demands and the business
customs of the Latin American will be
amply repaid. Others who disregard
these essential points will probably be
greatly disappointed. We should study
the policies which have brought sue
cess to others In entering foreign COM
mercial felds and utilize the knowledge
that they have gained by experience.
II is amaIing how few America M
consider going to Latin America for ANN
great length OF time. They 20 10 the
southern countries with the idea OF re-
turning home in from one to ten years
70 pass the rest Of their lives. II in the
future we are to have expert commercial
men 70 carry on our business in foreign
countries. we must train them with ths :
end In view. The subordinate positions
On the stan should be filled by men who
nave the necessary qualifications for de-
Te!cpsnent. They should be well edit
Gated, enthusiastic, ambitious and above
AL. anxious to make the most of every
opportunity. II has been found most
practicable to give them their basic
training In the home office, during which
time they may assinilste a knowledge
or the business. At the same time they
should avail themselves OF all infoIma-
tion regarding the countries to which
they expect to 60. They should become
familiar with the language. the geogra-