THURSDAY, FEBRUARY 6, 1930.
STUDEBAKER world's largest builder of eight cylinder automobiles will soon announce
ANOTHER THRIFTY
EIGHT
at a new low price
THE HONG KONG HOTOEL GARAGE
25, Queen's Nond Central,
U.S. MOTOR TRADE
Dismal Prospect for
Most Companies
Whatever may be true of the out- look for various American in- dustries, that of the motor-car com
With the
of Ford, in whose prosper ity the investor has little or no share, there is not a single enter prise whose outlook
Is cheerful enough to warrant A feeling of optimism towards its securities.
The demand for American motor cars, both at home and abroad, has been on the downgrade since last April.
Dealers have large supplies of cara on hand which they are un
new cars,
able to move, the used car pro- blem is mere disturbing than ever, and the public has developed an al- most complete indisposition to buy To add to the troubles of the other manufacturers, Ford has made a big cut in prices in an endeavour to move a large accumu-: lation of the present model to make way for new designs which will ap pear on the market after the expect.
ed four weeks' shutdown of the Ford plants.
Tel. C. 4759..
сал for
all in favour of the small and cheap car, which has been so greatly Im- proved in appointments, comfort and
appearance that challenge cara selling double the price. During the first seven months of this year only 4.8 per cent of all cars manufactured had a wholesale value of more than $1,250, whereas last year the
THE CHINA MAIL.
AMAZING SUCCESS
"TAKE OFF YOUR COAT AND FIGHT".
[By Ray Priest]
When you are hack up against his first lesson in life-that he must the wall, peel off your coat and work for what he got and that some fight; take the offensive and you'll of it should be saved. have the advantage; but fight. That is the example set by the automobile manufacturer who lost
a fortune and then came back.
When the bicycle mania hit America, young Willys, with a few hundred dollars he had saved, secured the agency for one make, The Armistice was signed and bought a business at Elmira from a John North Willys left the ser-man who was hit with the Klondyke vices of the United States Gov. ernment to take back control of his mammoth industrial and An- ancial interests.
ever, and in eight months he had the leading bicycle store in that part of the country.
He became a wholesaler. Soon But he found that while he was he contracted for the entire output giving all his efforts to his coun-of a factory and established his try that a fortune of perhaps own bicycle agencies throughout!
his territory.
The business reached a total of $500,000 yearly, and Willys Was
$200,000,000 had crumbled to al- most nothing.
His chief interest, the Willys-only 27 years old. Overland, had lost its market through concentrating
the manufacture of War supplies. Twenty-nine other corporations of which he was an officer had withered away. They were peace time activities, and during the war had been sadly neglected.
Then came a 10-month strike at the Toledo factory. Willys couldn't lose the fight for two
reasons:
Then he got his first look at an automobile. It WAA driven by Alexander Winton on the streets of Cleveland in 1899. The impression never left him. He foresaw the end of the "bicycle age."
The first horseless vehicle to ap- pear on the streats of Elmira was a Pierce Motorette, a tiny car with a De Dion motor on the rear axle, Willys hustled over to Buffalo and sat down for a long conference with mean | George N. Pierce, then manufactur- the end of the Willys-Overlanding the finest line of bicycles in Company. Second, he was fight-America. ing for the catire automobile in- dustry.
First, it might possibly
poor. "There is only one thing you can do,' he said. 'All of us in Willys-Overland know what that is. Don't you?"
The result was that the next car built by Pierce was shipped to Elmira.
The price was 900 dollars. Every- body was willing to be taken for
"Be sure to see it"
The New
BUICK
with New Controlled Servo
Enclosed Brakes
By 1906 Willys had organised the
114" Wheelbase Marquette Models 118" Wheelbase Buick Models 124" Wheelbase Buick Models
His first step was to reorganise Overland and settle its claims for
132" Wheelbase Buick Models
G31,470 to GỘI,633 „G$1,800 to G$1,940 ..G$2.240 to $2,275 .G82,195 to G$2,890
THE DRAGON MOTOR CAR CO., LTD.
Telephone Central 1246 or 1247.
33 WONG NEI CHUNG ROAD, HAPPY VALLEY.
ON SKIDDING
It is amazing to
discover how
Even
Then came the business depres- aion of 1921. The strike was over and he was squared away for a new kind of night. Only a short demonstration, but few bought, time before he had been thanked by Only two were sold in 1901 by the automobile manufacturers for Willys. what he had done for them. Now He added the Rambler in 1902. they were battling to get what bust-This was the line that later became ness they could.
the Jeffery and which is now built panies is undeniably bad (writes costlier cars amounted to 7.3 per commuting to Toledo.
Willys was living in New York, by Charles W. Nash, who changed the American editor of. the cent.
Cars wholesaling for $750 was in the midst of the 1921 battle own.
Just as he the name of the company to his; Financial News in mail week). or less make up 82.2 per cent. of all the bankers stepped into his affairs.
possible exception sales so far this year, compared They sought the immediate liquida-American Motor Car Sales Com-
with 72.4 per cent, last year.
Lower Prices Coming
tion of heavy loans, a result not pos-pany. The first car he handled was aible under the then conditions. The outlook is for marked price
known for its beauty and would reductions all along the line, but were gathered in the board-room of the American. The price was high, "I'll never forget the day that we still be rakish appearing to-day- for many companies the profit that New York bank," he said. "The so Willys arranged with the Over- margin per car is already very chairman of the meeting turn and Company to handle its product. small, and only exists at all on the led to me as I walked into the room. basis of full production,
This was how he came to put up for some large companies will not way out for you. We'll take your the visit to Indianapolis, where he With deJohn, he said, "we only see one the $10,000 that sent him on creasing public deand the situation affaire into the hands of a commit found a nearly bankrupt manufac- be pleasant. An added difficulty tee, give you an executive position turer. is that dealers are not finding it and liquidate all of the rest of your possible to get rid of used cars interests except Willys-Overland.* taken in exchange for new ones, and hence many prospective buyers of to their proposition then.
"I wouldn't give them an answer 50 cents on the dollar. 40 cents of new cars, who wish to trade in gave me a few days to tell them John. N. Willys officially became many drivers are ignorant of the
They which was in notes. Early in 1908 their old one, are not willing to ac- what I'd do. cept the small offer made for it. and
| everything at the factory, from pre-method of correcting a skid. "I didn't seem to be able to think sident to offles boy. are deciding to keep the older model clearly in New York, and that night
those who knew the correct proce- for another year.
He moved his family to Indins-dure of turning into the skid, that went up to spend the week-end with apolis. So far as the shares of motor friend in Toronto.
He leaped at the task is, turning to the left when the back car companies are concerned, Gen that he is a member of our own capacity for hard work.
It happens ahead of him with the usual Willys skids to the left, overdid it and got eral Motors appears to be in the business family, and I felt free to
into an equally awkward skid the most favourable position, although talk with him about it.
Nine months later the financial |other way. In fact, statement of the company showed it even here the prospect of any rapid asked his advice.
When you turn into the skid and had built and sold 465 accretion in value is very
cars and feel the back of the car coming had a net worth of $58,000. This company accounted for 40 per
straight, immediately straighten cent. of all American and Canadian
sold 4,000 cars, and wound up the wheels will continue the movement In 1909 the company built and out the steering, otherwise the back production in 1928, but the resump
year with $600,000 cash in the and develop the tion of Ford production has cut
opposite skid. "I thought I knew, but kept after bank.
Don't wait until the car is straight heavily Into the sales of its him until he told me. Chevrolet division.
Willys feels even to-day that it before straightening the front Nevertheless, "Why, take off your coat and was the greatest year he had ever wheels. Moreover, on it is one of the most superbly fight 'em,' he shot back.
4 ekiddy had in his life. manage enterprises in the world
surface keep exceedingly light con- "Monday morning I went back He claims that he has been wrongtrol of the steering wheel. and has numerous profitable sub- to New York. I announced that I more often than he has been right, heavy hand is conducive to skidding. sidiaries.
was taking off my cont to fight, and but his life at this point shows that When descending or ascending a told the bankers they could do what his mistakes on big things were few hill with a sharp camber, it is good It owns Frigidaire, a success they liked."
and that they served ful refrigerator enterprise has
as stepping practice to keep in the ruts pro- Getting into the thick of the fight stones to the accomplishment of vided they are not too deep. acquired a 26 per cent. interest in as suggested to Willys was one of bigger things. Bondix Avistio nand a 40 per cent. the things he had always done.
they are axle deep keep out of them "I'd rather be an optimist and be at all costs. interest in Fokker Aviation, controls
If they are not unduly i When he was an automobile deal-wrong, than the Allison Engineering Co., and is er
a pessimist and be deep, they are the best means of in Elmira, N.Y., Willys put right," be told the writer recently, keeping you out of trouble. Just preparing, jointly with the Radlo (up $10,000 in cash with the while at his desk in the corner of keep light control of the steering, Corporation of America, to enter Overland Company, then of Indiana- his office building overlooking his letting the car follow the zig-zag the radio business on a vast scale polis, as a pledge of good faith on vast plants in Toledo. and to market the appartus through an order of 400 cars that he had
ruts and you will have no trouble. That probably explaina why its wordwide selling organisation contracted for during 1907.
When stuck in mite do not "ray" General Motors shares are now pay.
things that Willys calls failure turn the engine hard. Let the power On a trip to the Hoosier city to out to be atepping stones to success. take quietly and evenly and there ing at the rate $3.80 a year, see what was wrong that he wasn't
Willya is one of three automobile will be less tendency for the driving Earnings this year are expected to getting any cars Willys found manufacturers who is in business wheels to dig in. be around $5.50 per share, compared that the Overland Company to-day that was head of his own with $5.37 in 1928, but for 1980 was broke. It was Saturday, and company over 21 years ago. the earnings prospect is extremely the bookkeeper added the bit of in-
MOTOR PROSECUTIONS For in 1928 Willys attained his clouded, as with all other motor-car formation that they didn't have majority as an automobile manufac shares. On its recent price of 38 (enough to meet the payroll.
For the first time the Legal De- turer. His motto of optimism has partment of the R.A.C. In Great the shares currently yield about 8.7
The financial depression of 1907 led him through his difficulties. Britain recently per cent.
compiled 83 had hit the country. Willys went Since that near fatality in 1920. analysis of the various offences. Among other shares, Auburn down-town and tried to cash a Willys has led the Willys-Overland under the Motor Car Acts for which Automobile Co. la comparatively cheque for $350 well entrenched, and is Introducing Grand Central Hotel
at the Company upward to a place where members and associate-members of He found he again is one of the world's weal the club were summoned during a a front-wheel-drive car which is that there wasn't that much cash in thiest men, a director of one of the complete year, and which were dealt sold out well ahead. Chrysler Indianapolis that night. The hotel nation's leading railroads and a with under the Club's Free Legal shares at 32 are cheap on the basis manager and some of the other em- banker of notable standing, of past performance but while the ployées came to his help, and when
Defence Schema. The actual num- The tide turned in Willy's favour ber of cases dealt with runs into outlook is for a smaller decline in the men were paid off by Willys in 1923. In 1028 his auditors re-many thousands, and occurred in profits than in the case of moat Monday morning, many of them got ported to him that, in addition to every part of the country. motor companies, there will cer- their money by the hatful-nickels, the plant facilities of 1928, he had tafnly be a drop of consequence, dimes, quarters and even pennies Studebaker is paying nearly 12 per were used. cent, on its curent price, and is
Ford Company Active Ford seems to be responsible for upsetting the applecart in the motor industry, and it is likely that the present troubles, although not In 80 aggravated A form, would have developed even if there had been no crash of security prices on the share exchanges. Car regis trations in the United States for the first eight months of this year, ac- cording to the Standard Statistles | Co., amounted to 2,964,758 units, a gain of 34.2 per cent. as compared with 1928. But Ford cars account. ed for almost exactly the extent of this expansion, the registration of other cars only increasing two-tenth of 1 per cent.
Car production 18 dropping rapidly, particularly in the high priced models. Bearing in mind the fact that production is now much below September, and will grow less as the year closes, the following figures of production by months are illuminating:-
663,200 635,600 566,800 517,800 512,600 429,100
April
May
June
July
August
September
Export Demand Off
American manufacturers appear
to have greatly overestimated the probable demand for their cars In overseas markets. In the first four months of the year vary large ex port shipments were made, but many
of these cars remain in the hands
of agents and dealers. It is widely
General Motors Yleid
A
If
taken as a fair indication of the The analysis therefore, may be
type of offence for which car drivers and motor cyclists are most com monly summoned
Dangerous driving, 24.3 per cent,;
reported in London at the moment that scarcely any reasonable offer for a new American car is refused,
put $28,000,000 cash into Te regardless of what may be the sup-
building his plant... posed selling price. Since April
He reorganised the almost de He built 06,028 cars in 1022, most American car exports have been bay considered by many to be an at funct company. It became the ly with borrowed money. He built low the 1523 figures in every month. tractive speculation: Hudson Motor Willy-Overland Company. He scour between 800,000 and 400,000 in 1923 There seems to have been a total Car Co. and Nash Motors shares ed the country for cash with with his own company's money, speed limit 23.83 per cent obstruc absence of any realisation of the are both yielding more than 10 per which to continue operations. And his organisation: He has ton, 18.4 per cont; Lights, 14.62 extent to which conditions in the cont. Apart from the shares med Financial depression or no financial Founded into them the words: per cent allencers, 6.22 per cent.; United States have hampered the tioned in this article, there do not depression, Willys-Overland start Learn to lose without squealing riving licences, 5.04 per cart, car buying power of other countries appear to be any American motor ed to pull out of the mire of trou and win without bragging daring most of this year. If I securities which offer as attractive Bles, she
licences, 8.84 per cent; parking re- Baked And won they have where there gulations 3.50 per cent defective estimated hat stocks of American opportunities for Investments It was just another fight And Is the least sign of weakness, Willys Hea cars in dealers, hands and ware may be found in other fields. as the company grew of its own ac is in the thick of the batt
58 per cent obscured houses abroad. Is enough to care for
percent, fall dach day probable demand without fur- ther shipments for at least four
per months.
>> As competition
48* United
out into other fights, until he was
proqnoz fuoptor
[cord prior to the War, Willys opread janoza A
Increases and
"ARIEL MOTOR CYCLES
Stapl
In 80%
ked the automid
cau baing
not having
cent.
(0.49
Hing police onriver. pf his duty, 0.149
BUYERS'
13
GUIDE
MOTOR CARS.
ARMSTRONG SIDDELEY-Hongkong Hotel Garage, Queen's
Road. C.4759.
BUICK-The Dragon Motor Car Co, Ltd., 38 Wong Nel Chang
Road, Happy Valley, C.1247.
CADILLAC Hongkong Hotel Garage, Queen's Road. · G.4769. CHEVROLET.-Hongkong Hotel Garage, Queen's Road. C.4759. CHRYSLER MOTOR CARS.--Republic Motor Co. of China 30-82,
Des Voeux Road C. Tel. 0. 1216 & 6252..
DE SOTO MOTOR CARS.—Republic Motor Co. of China, 80-32,
Des Voeux Read C., Tel, C. 1216 & 6252. 'GUY MOTOR PASSENGER BUSES-Republic Motor Co. of China,
30-82, Des Voeux Road C., Tel. C. 1216 & 6252. MORRIS--Hongkong Hotel Garage, Queen's Road. C.4769., OAKLAND. Lane, Crawford, Ltd.
OLDSMOBILE.—The Dragon Motor Car Co., Ltd., 38 Wong Nei
Chung Road, Happy Valley. C.1247.
PACKARD MOTOR CARS-Republic Motor Co. of China, 80-82,
Des Voeux Road C. Tol. C:1210 & 0252. PLYMOUTH MOTOR CARS-Republic Motor Co. of China, 80-82,
Des Voeux Road C. Tel. C. 1216 & 6252. PONTIAC.-Lane, Crawford, Ltd.
ROLLS-ROYCE.-Hongkong Hotel Garage, Queen's Road. C.4759. STUDEBAKER-Hongkong Hotel Garage, Queen's Road. C.4759. TRIUMPH MOTOR CARS-The Globe Automobile, Co., Ltd,
1, Canton Road, Kowloon. VAUXHALL-Lane, Crawford, Ltd. WILLYS-KNIGHT & WHIPPET MOTOR CARS.-Gilman & Co.,
Ltd., 48, Des Voeux Road C. Tel. C. 290..
OUTBOARD MOTORS, Rudolf Wolff & Kew, 54 Quean's Road
G., Tel. C.2173.
MOTOR TRUCKS AND TRACTORS, BROCKWAY MOTOR TRUCKS-The Asiatic American Co. Tel
C. 241
CHEVROLET-Hongkong Hotel Garage, Queen's Road. C.4759. FARO MOTOR TRUCKS.—Republic Motor Co. of China, 80-32,
Des Voeux Road 0: Tél. C. 1216 & 6252. G.M.C-The Dragon Motor Car Co., Ltd., 88 Wong Nei Chung Road,
Happy Valley. C.1247.
MORRIS Hongkong Hotel Garage, Queen's Road. C.4759. REO-MOTOR TRUCKS.-Republic Motor Co, of China, 80-82, Dea
Voeux Road CTel: Č. 1218 & 8252. STUDEBAKER-Hongkong Hotel Garage, Queen's Road 0.4759. WILLYS-KNIGHT & WHIPPET TRUCKS. Gilman & Co., Ltd.,
da. Des Voeux Road C. Tel. C. 290.
MOTOR
CYCLES.
B. S. A The Sincere Co., Ltd., Des Voeux Road. G.1067. NEW HUDSON MOTOR CYCLES- Republic Motor Co. of China,
30-82, Des Voeux Road C. Tei, C. 1216 & 6252 RALEIGH MOTOR CYCLES Republic Motor Co. of China, 80-82-
Des Voeux Road C. Tel, C. 1216 & 6252. ROYAL ENFIELD MOTOR CYCLES Republic Motor Co. of China,
80-82, Des Vogur Road C. Tel. č. 12zia a 6259 *** TRIUMPH MOTOR CYCLES. The Globe Automobile Co., Ltd.
0975 Canton Road, Kowloon.
TYRES AND ACCESSORIES: ACCESSORIES, Hong Kong Hotel Garage, Quaen's Bond. G.4769, ACCESSORIES – The Duro Motor Co., Nathan Road, Kowloon. K.226. FISK TYRES Gilman & Co. Ltd. da, Dea Freur Rd Tel DEC. 290.
MILLER ACCESSORIES A. Láng & Co., 19, Queen's Ed., C
tel. C1219,
MILLER RUBBER TYRES AND TUBES Republic Motor Co. of - China, 30-32, Des Voeux Road C. Tel, C. 1816 & 62620 PRESTOLITE BATTERIES Hongkong Hotel: Garage, Queen's
WILLARD BATTERIES Gilman & Co., Ltda, Des Voeux Rd
ON Tel. CF 290, 1