The Richmond Virginian. (Richmond, Va.) 1910-1920, 1919-03-11
MUST LOWER PRICES
AND WAGES SAYS HERR
Prominent Manufacturer Declares
Improvement An Industrial Condi.
fions win Follow.

Washington. u. C. March l0.-~-ln
outlining the steps. which American
manufacturers must take to hold their
foreign trade. f. NJ. Herr. president
az the Westinghouse Electric u and
Manufacturing company. and n free
= ksxpof, asso1fai 4,s1 ascY7sa ye.-,>sraay
that reduction i'll high wages accom-
panied by reduction OF prices were
essential.
The development of export bust
ness in electrical machinery under
the present condition of export mar
kets" said Mr.. Herr, would be very
rapid and Of unusual extent were 1t
not for he high prices which must
now be charged for this product
There are some countries which.
owing to the ravages OF war and the
necessity of first rcmedying the most
serious destructive effects of this strife.
cannot Immediately take UP the devel-
opment OF peaceful pursuits. II is
in this that electrical machinery finds
Its legitimate field.
The most vigorous effort should
he made by those engaged in the
manufacture of electrical machinery
TO bring prices to a point approximate
ing those obtained for this material
In foreign countries, MS with the
domestic market slowing down. due
to the transition from war to peace
conditions, the present time is par
ttcuiarfy advantageous for the devel-
opment Of the export field.
TT IL encouraging to note import
ant decreases in the cost OF a few
OF our raw materials and II some
Yielding OF the very high labor costs
can also be obtained. we would very
soon find an expansion of the export
demand for electrical machinery that
would more than compensate labor for
any sacrifices In hourly rates by the
longer hours and more continuous
EN- ployment which would result.
I'm the Industrial countries OF the
world the enormous increase in de-
mand for manufactured products
caused by the war has shown the
great need for and advantage in the
use Of electrical machinery, making
these countries particularly keen to
avail themselves of the economies and
advantages of electrical power. This
is especially true in countries where
fuel is scarce and expensive and
where power is available.
plans are already we'll matured
for the development Of larger central
electrical power stations In some of
the most important Industrial coun-
tries and extensive projects for the
electrlfication of some of their rail-
roads are we'll under way. The smaller
and less economical steam plants will
in this way be displaced by larger
and more economical ones and the
demand for transmission and current
consuming devices be greatly en-
iarged
The largest electrical manufac-
turing companies abroad are in Ger
many and it viii he some time before
they can operate advanta eeousiy. This
Will give the American compa MES an
unusual opportunity, il promptly
seized, of bringing our exports OF
machinery 70 an amount and
normal conditions,
IF this situation is found In the
Industrial countries of the world, what
is the prospect for export business
in the class of product under dis
cussior In the non-industrial coun-
tries?
I'VE should never forget in any in
dustrlal business that We are selling
services az we'll as product and that
however. good the quality of ones
product, If the material does not come
when needed. il not packed properly
or In any other way our service TO
the customer Is unsatisfactory. the
transaction fails to tend to tie him 10
the producer and permits a competi-
tor to obtain foothold not other
wise possible These are ordinary
principles of business but apply with
unusual force when we are dealing
with customer in foreign land.