The Richmond Virginian. (Richmond, Va.) 1910-1920, 1919-02-28

turers had much material on hand
when the armistice was signed. What
they did have was not we'll balanced,
SO that II was necessary TO buy under
the present conditions, and the cost
Of the car must be based upon same.
1t is true there have been a num-
Der Of price cuts in the last several
months announcements. but these in
most cases were merely a partial re-
cession from abnormal prices that
had been placed upon the few remain
ing cars which could be built and
which they had on their hands. II
the war had lasted. the price would
have helped tide them over the war
period. As 1t unexpectedly ended,
these prices would not obtain under
competitive conditions. Pnd the recess
eSS9ss ~ t.s~s eftdotg ~ 3sH>s s''Sis -,
fundamental law OF supply ana de-
mand. the same reason that had
caused it's original rise.
Shortage of Cars This Spring.
When the automobile situation Is
carefully analysed 1t is evident there
is n likelihood of being a great short
age this spring. 1t LIS fact that
there were n good many cars in stor-
age last fall before the armistice was
signed. This was considered as an
omen Of lower prices for the coming
year. It is, however, not going to be
the cause for reduced prices, however.
but very fortunate thing for the in
dustry. without this reserve of cars
it would have been almost impossible
for the dealer to take care Of the
spring business which Is anticipated.
1t has been customary in the past
for all large manufacturers who were
financially able to produce cars at
full production rate during the winter
months and store them, in order to
take care of the spring demand. No
manufacturer to whom I have talked
expects to be able to take care of his
immediate wants, much less the
spring demand.
There is a good reason for this lack
Of ability to produce cars. Every one
ofthe manufacturers whose reliability
and ability to produce accurate work
had been drawn into war work one
way or another, and Just as 1t took
months to get into war production, so
IL Is going TO take months to make
the transition from war work to peace
production. The war work has to
he cleaned up, the manufacturing or
ranization revamped, and the shop
taught how to build cars again. The
assemblers OF cars can perhaps pro-
duce cars at a pre-war rate by May,
hut IL will be midsummer before the
manufacturers, who produce most OF
their parts, can get back on pre-
war basis. This explains why there
will be a shortage In cars and why It
is unlikely that the total production
of this year will even last years re-
duced production.
The Local Conditions.
Dealers in Richmond and vicinity.
knowing this shortage, have not cur
tailed their adv ertIsing and sales cam
paigus; in fac they are going after
business both in passenger cars and
trucks stronger than ever. The Rich
mond Au omobfle Trade association.
Inc. which Is putting IN the Rich
mond show. could have sold twice as
ing is needed. 1t being impossible to
house trucks the truck agents are
having open house during show week
at their sales rooms The south looks
upon Richmond as an autom ob!le CEN
ter. and the show has become an an
rual feature. Much credit Is due the
Richm ond dealers and accessory men
for their splendid organization, which
now has as it's members practically
every automobile dealer and accessory
man of i'm portarce in the city.
The Virginia State Dealers associa-
ton will also meet during show week
and elect officers for the ensuing year.
The meeting will be held Thursday.
March 8. at II A NJ, at Hotel Murphy
annex. All state dealers are expected
20 attend, and Immediately upon ar
rival In the city are requested to reg
lister at the automobile office at the
armory.