New-York tribune., 1919-01-12
War Did Not Affect Prices
De Bear, of Observation-Disclosures
Branch, Analyses Conditions
:. By Harry J. De Bear,
Manager NeaV YorLc MdraUeU-Chal-
Hleys Brunch

To fix the prices for Maxwell and
Chalmers cars for 1910 it was not
necessary for us frantically to hunt for
reasons in the seemingly extraordinary
conditions that prevailed during the
tail-end Of 1918. The peace time con-
ditions had nothing to do with Max
well-Chalmers prices except to reflect
that, the war over, the company would
be enabled TO proceed with manufact-
ure on its former huge scale, to the
end of producing constantly better
cars and selling them for the greater
price they would be worth.
Three factors alone operate to fix
retail prices for motor cars when these
prices are fixed correctly. Our factory
policies have shown that wartime con-
ditions have practically no bearing on
these factors, which are manufacturing
and financial resources, volume of out
put and the popularity OF the product.
The first two Of these any manu-
facturer with sufficient money can at
tain. The third factor is the important
one. 1t is dependent not upon the
manufacturers wish or choice or
money, but entirely on the public.
There is one known way by which
the manufacturer can attain popularity
for his product. That is by making
the product constantly embody $500
worth of value for each 500 of the
retail price asked for it. If it hasn't
got this value-if the manufacturer
part OF his plan of operation-no
amount OF advertising apology, hidden
in choice words, will fool the public
continuously. One of the uncanny
things about the layman is his ability
to read in a smokescreen statement
the things left out by someone trying
to fool him.
To hold that war restrictions had
anything TO do with raising the prices
almost silly and it actually is silly
from the point Of view Of the man who
long has really been in the game"
and knows the facts that have been
withheld from the whole public. Why
should any cars price have been raised
because of the ware Didn't all the
companies have more war contracts
than they could take care of?
Didn't all of them make more money
than they ever made before II they
had any kind of plant that the gov
ernment could use at all? Certainly
they did. The average man knows it.
: Thus. if he thinks clear and thinks far
enough he can see with his own eyes
that any proposition of an automobile
price being raised sky-high because
Of war restrictions is not logical.
"Maxwell and Chalmers prices were
never in single instance increased on
any such theory as due to the war
Moreover, neither of these important
manufacturing concerns ever made the
slightest capital of the fact that they
were doing enormous work for the gov
ernmcnt. Maxwell and Chalmers work
for the government was not CONNER
cializcd. Mr. Flanders, himself an i'm
portant cog in the wheel of American
business men who gave their brains
and services to Uncle Sam without
glory in the public print, told his lieu
tenants to occupy themselves with the
duties of the moment, and use any
spare time to work out passenger-car
improvements to be embodied in the
products after the war. That policy
was followed.