316 REPORT ON COOPERATION IN AMERICAN EXPORT TRADE.

As an illustration, I might cite a case that recently came to our attention
where one pretty large New York institution would only discount 75 per cent
of the face value of the draft.
ao

We took this same draft to the Anglo-South American Bank and they discounted
it, without question, to the full face value.
Lawrence Williams, president of the Oliver Typewriter Co., Chicago,
 Ill. stated that:

Qur main difficulty in doing business with the South American countries
was due to our inability to finance our business according to their ideas.
The Latin American, as a rule, purchases his goods on time. He would rather
pay a larger price for his goods and purchase them on long time than to purchase
 them for a lesser price and pay the cash; and owing to lack of financial
connections we have been obliged to insist upon having our money in the United
States before we would put the goods aboard ship, consequently the purchaser
was out of his money for many weeks, months in fact, from the time he sent it
antil he received his finished goods. Whereas, as I understand it, the German,
owing to his banking connections, was able to ship his goods and be assured that
his credit would be cared for.

Edwin M. Herr, president of the Westinghouse Electria &amp; Manufacturing
 Co., Pittsburgh, Pa., speaking of the most important thing
which would further their export trade, said:
The most important thing, in my judgment, is the need of proper financial
ronnections. We are extremely handicapped in almost every foreign country
from the lack of financial information available. This is due to the fact that all
the financial connections there are British, German, or other nationalities than
the United States. So that this financial development that is going on—that is
beginning-—ig of very high importance, in my estimation.
W. 8. Kies, manager of the foreign trade department of the National
 City Bank, of New York City, said:
The matter of credits, due to the difficulty in obtaining credit information
concerning firms in foreign countries, is a serious obstacle to the growth of
export business. The long-time credit which has heretofore been customary in
Fouth American countries and Russia is violative of sound financial principles.

(d) Influence of Investments of Nationals in Foreign Countries on Buying.
W. H. Heulings, vice president of J. G. Brill Co., Philadelphia,
Pa.. manufacturer of electric motor cars. said:

We meet competitive conditions in South America, with French-owned and
German-owned public-service corporations, and it is utterly impossible for us
to break in, sometimes. As a general rule, when those loans are being arranged
 and German capital is provided for doing the work, there is usually an
agreement to the effect that German products must be used.

Relative to investments by the English and Germans in foreign
countries: and the resulting partiality shown for the German and
English machines, W. O. Washburn, of the American Hoisting &amp;
Derrick Co., St. Paul, Minn., made the following statement:

Our experience has been that it is not so much a matter of competition as a
matter of money. We do business all over the world in the tropical countries of
the world, and we find that England and Germany have gone into those countries
with money. They have used the banks, and through their banks they have
hacked their business men—those people with whom we do business—furnishing
 the capital and naturally influencing the resultant business.
We have had that as competition, and it has been pretty hard competition.
The business we have secured in the face of that competition we have secured
strictly on the merits of our goods over those of foreign manufacture,