The Washington herald., 1921-03-17
Plan for Cooperative Action
Brings Optimism to Industry
Federal Aid Will Mean Wartime Effectiveness
In Organization Of Nations Commerce,
Says Sullivan.

marketing, of the sort of goods re-
quired by foreign customers" This
plan which Mr.. Hoover described to
the Cabinet Is to be further formu-
lated by him at meeting he is to
have with the Chamber of Com
merce of the United States next Sat-
urday. ttt
Wartime Cooperation.
What this win be found TO mean
is that there will be brought about,
on the part of trades and Industries
OF the country. that system of CO.
operative organizations and ad-
visory committees which practically
governed business during the war
Mr.. Hoover's theory about the fu-
ture will undoubtedly be the same
as the practice during wartime. That
practice, as carried out by Mr..
Hooyer's Food Administration and
by the War Industries Board, con-
sisted in calling the leaders in each
of hundreds of trades to Washing
ton to be organized for united ac-
ton, and cooperate on the initia-
tive and under the supervision of
the government, each advisory COM
mittee being definitely responsible
for all the individual business men
in the trade. The cooperation con-
sisted in agreements to reduce
greatly the number of different
styles and patterns in each trade /:
to agree to cut out wastes involved
in competitive selling, and in many
cases to agree upon an ALLEGATION
to the individual business unit of
the percentage of the total quantity
of goods to be produced in that
trade.
Learned During War.
In following this practice during
the war. thousands of business men
became familiar with the advantages
to be gained from this kind of CO.
operation. and 1t is obviously Mr..
Hoover's plan to restore these ad-
vantages at least for the purposes
of foreign trade. Individual manu-
facturers will undoubtedly be asked
to agree to restrict their output each
to a particular model or group of
models, and will probably be asked
also to enter into voluntary agree
ments under the supervision of the
Department OF Commerce for each
to make his one model for a par
ticular foreign trade and not to at
tempt to sell elsewhere. For ex-
ample, during the war the shoe man.
ufacturers of the country agreed to
reduce the number of different styles
they made from over eighty to less
than twenty.
At the present time, for another
example, there Is a large number of
different kind of automobile wheels.
These variations are in many cases
merely for the purpose of appear
ance and style. It-is believed that
the number CT different models could
be reduced to less than half a dozen
without any disadvantage and with
great economy. Certain cotton man
ufacturers will undoubtedly be
asked to make goods for South
America and South America only,
while certain others will be asked
to design their goods for China and
restrict themselves to that market.
Joint Appointments.
The whole plan carries the sug-
gestion that we shall attempt, for
the purpose of reaching foreign
markets at least, the compactness.
efficiency and economy which we
had during the war. 1t would be
difficult to think of any government
policy so full of Importance to busi-
ness men. Those who want to look
into it further will find details either
in the records of the Food Admins
tration during the war, or in the
report OF American industry in the
war, which is to be issued next
week by Bernard NJ. Baruch, who
was chairman of the War Industries
Board. Also Mr.. Hoover's confer
ence with the Chamber of Commerce
of the United States the coming
Saturday. will give further light. In
this connection, one of President
Harding's plans in the coming re-
organization of departments is to
have Secretary Hughes of the State
Department and Secretary Hoover of
the Commerce Department act joint
ly in the appointment of consuls and
other representatives of America
abroad.
(Couvri1ht 1901