Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-01-21
ARE SEEN +.
IN INVESTIGATION
American Industry Follows
Example of Farmer in
Spreading Activities.

American industry now is busy taking
leaves from the book of experience.
For years agricultural experts of the
Government have been urging the
agriculturist to practice diversified
farming. To q large extent they have
been successful, as shown by the cold
cash which has flowed in to the farm
efs from the dairy industry, from poul-
try and from truck gardening.
Now the manufacturers have seized
this leaf from the farmers book and
are turning to diversified industry to
bolster their profits. This trend Is fully
exemplifled by the determination of the
largest radio receiving set manufac-
turers to enter the refrigeration field.
Best Radio Season.
The corporation points out that the
time of largest consumption of radio
receiving sets by the public is in the
Fall and Winter. Thus they had two
alternatives in operations. during the
Spring and Summer. Either they
could pile up big stocks, which might
through new developments become
practically obsolete before they>ever left
the factory or which might be diff
cult to move, or they could restrict pro-
duction during part of the year. Cur
tailment would disrupt their working
forces, make the savings Of mass pro-
duction impossible and mitigate against
plant efficiency.
The company therefore has turned
to the manufacture of mechanical re-
frigerators. The idea there is that
the time of best sales of refrigeration
units is in the Spring and Summer.
Their production would enable the COM
pany to keep its working force intact,
moving It into production in the one
field while demand in the other is
low. The same trade outlets for retail
distribution, they figure, can be made
to serve for both products. Machinery
In the plants Is adaptable for either
class of output.
This trend has become 3 real bust
ness factor and there is reason to
believe, according to Government Of
fcials, that it will grow steadily
throughout 1890. The two largest pro-
ducers Of automobiles have taken SIM
liar steps. One is in the refrigeration
field, in the manufacture of aircraft, in
the production of radio receiving sets
and in the making of flying boats.
Piano manufacturers are turning out
motor boats. Drug stores have become
restaurants in everything but name
The coal and coke producers are en-
gagged in the manufacture of dyes and
chemicals. The by-products of petro-
leum are manifold. Grocery stores
which never handled them before are
adding lines of fresh meats and vege-
tables. The packers are seeking to en-
ter the grocery field. Mail order houses
are going into the chain store business
Chain stores are becoming book stores
as well, and 1t is rumored that cigar
stores are preparing to add lines OF
groceries and dry goods.
"POaching" Charged.
These developments have disturbed
some of the conservatives. They declare
1t is not legitimate hunting for markets
and customers, but "poaching" on the
preserves of others. Many Government
ofncialS see nothing alarming In it, pro-
vided the provisions Of the antitrust
laws are strictly observed. One econo.
mist hkens the position of the Collectors
to that of man who Is accustomed to
walk down the same street to business
day after day. One day he finds the
street blocked and is disgruntled until
he finds q way around the distractions
The proponents of the trend declare
that business is the one example of per-
pAtual motion that has been developed
It cannot stand still and unless busi-
ness men move with 1t they are likely
to get run over. They add that the
been built up on plant efficiency and
that 1t must be matched by managerial
efficiency.
Labor leaders zee in the procedure a
Sterilization of employment, although
they fear that until the plan becomes
general many may have difficulty in re-
adjusting themselves to these diversified
conditions. They point out the failure
registered in the efforts to transplant
coal miners and textile operatives from
the factory towns of England to the
fields of Canada as an example Of this
danger.
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