376 REPORT ON COOPERATION IN AMERICAN EXPORT TRADE.
manufacturer of printing equipment, exporting 3 or 4 per cent of
his product, wrote in part:

A combination joint agency commands more respect, prestige, and influence
py reason of its size and importance and effectiveness than can be had by the
representative of a single interest, unless one of vast resources and importance.

A manufacturer of cork insert pulleys wrote:

A combination of manufacturers would produce an organization of suificient
importance to obtain a hearing on trade questions in foreign countries which the
Individual manufacturer might not be abie to get. It would bring about
gnanimity of action and would increase the influence which a large organization
rains through a large volume of business with the people with whom it is dealing.

Effect on ocean transportation.—Nearly 20 included in their answers
 reasons to the general effect that combinations could obtain
better ocean freight rates, or lower marine insurance, or provide their
own transportation. Thus a southern lumber manufacturer, exporting
 about 15 per cent of his product, wrote:
We favor selling organizations composed of American manufacturers catering
 to foreign buyers. We believe such an organization would be in a position
to facilitate and obtain more advantageous ocean freight rates, protect the
manufacturer in the collection of accounts, be in a position to obtain lower
insurance rates, cover 3 larger territory for distribution of products and help
market and dispose of to better advantage distress shipments in our own as
well as foreign ports.

A large independent steel company wrote:

On all heavy products, like iron and steel, where cargo freights are necessary,
combination would enable manufacturers to obtain time charters on vessels for
p, period of years, and would possibly justify in some cases purchasing steamships,
 operating similarly to-the United States Steel Corporation through its
subsidiaries, the United States Steel Products Co., whereas independent steel
companies are too small and their export operations too intermittent to make
time charters, therefore regular sailing dates are difficult to arrange and minimum
 freights can not be obtained.

Example of other nations.—About 15 gave as one of their reasons
that combinations are in the publie interest because that was the way
in which other countries, and Germany in particular, had developed
their foreign trade; that foreign Governments encourage combinations;
 and that therefore we should. Thus a small furniture manufacturer
 wrote:

The German system of developing foreign markets is in itself ample evidence
of the benefit to be derived.

A small Indiana manufacturer of canned foods wrote:

It is our understanding many foreign Governments foster, encourage, and
protect aggregated capital which gives them the advantage over us in that they,
having the stronger business organizations, are in position to put us out of
pusiness on piecemeal basis. In other words, I favor “fighting the devil with
Are” or meeting competition with like weapons.

Establishing of branch banks—Six gave as one of their reasons
that combinations would facilitate the establishment of American
branch banks abroad. Thus, a Chicago banker wrote in part:

They would pave the way to the establishment eventually of American branch
banks in foreign countries, as there can be no doubt that the established and
assured business of, say, 50 or more first-class American firms would make an
attractive appeal to our banking institutions.