Page 48 - Past Chair Book-Pre 2020
P. 48

The  National  Supply  and  Machinery  D ealers’  Association

                      succeeded  in  bringing  some  of  them  into  line;  and  this  policy  has
                      been  carried  out  wherever  possible.


                           T would  state  generally  that  there  is  a  growing  tendency
                      among manufacturers  to sell  direct  to the consumer,  and no doubt
                      this  is  a  condition  brought  about  through  competition.      Many
                      of  the  larger  manufacturing  concerns,  railroads,  and  the  Govern­
                      ment.  are  today  considered  preferential  customers.        Manufac­
                      turers  tell  me  frankly  that  they  were  obliged  to  pursue  this  policy
                      because  their  competitors  did,  and  this  is,  no  doubt,  true.  If  this
                      policy  is  developed  and  continued,  it  will  ultimately  become  a
                      serious  menace  to  the  interests  of  the  supply  dealers.  There  is
                      a  remedy  which  may  halt  this  growing  tendency,  and  that  is  for
                      supply  dealers,  and  members  of  this  Association  to  show  in  a
                      practical  way  their  appreciation  of  manufacturers  who  will  go
                      on  record  as  being  in  favor  of  a  policy  which  will  protect  the
                      dealer  to  a  fair  margin  of  profit.  To  illustrate;  some  of  the  best
                      manufacturers  were,  and  are,  anxious  to  adopt  the  re-sale  price,
                      and  have  asked  this  question:  “If  we  adopt  the  re-sale  price
                      independent  of  any  action  of  our  competitors,  will  your  Asso­
                      ciation  render  us  the  proper  support  and  protection?”  This  is
                      a  question  which  must  be  answered  by  this  Association,  and  the
                      Association  must  give  its  serious  consideration  to  the  present
                      methods  of  distributing  goods  by  the  manufacturer.

                           We  have  heard  much  about  the  evils  of  selling  to  catalogue
                      houses,  but  I  doubt  if  that  evil  is  any  greater  than  the  growing
                      one  of  manufacturers  going  direct  to  the  consumer,  and  as  stated
                      before,  this  is  done  by  many  manufacturers  who  much  prefer  to
                      sell  their  product  through  the  legitimate  trade  but  are  obliged
                      to  adopt  a  policy  forced  upon  them  by  competitors.

                           There  has  been  an  Association  formed  which  takes  in  manu­
                      facturers  who  have  gone  on  record  as  agreeing  with  the  policy
                      of  our  Association.    It  is  to  the  interest  of  every  one  of  our
                      members  that  this  Association grow  and  flourish,  as  it means  that
                      everv  manufacturer  who  joins  the  Association  is  committed  to
                      the  policy  of protecting the dealer.

                            It  would  be  a  long  story  to  recite  the  details  of  our  efforts
                      with  the  manufacturers,  as  doubtless  many  of  you  who  have
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