offers to individual exhibitors the advantages of collective publicity, it is obvious that this publicity must be of the right kind; by the sheer force of its magnitude it is bound to attract attention, and unless all the exhibits and exhibitors are of the right kind, a trade cruise may do more harm than good. Those who participate in the enterprise should recognize that even if the floating exhibition is all that it can be from a representative standpoint, it is at best only a "passing show." It gives foreigners a chance to see the goods, and exhibitors an opportunity to effectively distribute literature and to personally approach buyers; it offers facilities for obtaining first-hand information regarding the character of foreign demand and supply and the best methods for reaching foreign distributors and consumers; but no lasting benefit can accrue from participation in such a cruise by those manufacturers who are not able and willing to follow it up by an aggressive selling campaign, or who are not provided with efficient organizations capable of maintaining permanent foreign trade. The French have developed the idea of the traveling fair by having dispatched an exhibit train across Canada in 1921. A movement is on foot in the latter country to equip a similar train for use in France, Belgium, and Great Britain. The Czechoslovaks also resorted to an exhibit train in their recent campaign to push the sale of their products in Poland and in Balkan countries. The train consisted of fifteen cars, equipped with show-cases and carrying samples of products manufactured by seventy-seven foremost firms of Czechoslovakia. REFERENCES DELGADO, D. E. Export Technique. Proceedings of the Sixth National Foreign Trade Convention, 1919. Pp. 96-101. DELGADO, D. E. The Separate Export Department at the Plant. Proceedings of the Eighth National Foreign Trade Convention, 1921. Pp. 135– 139. FILSINGER, E. B. Exporting to Latin America, Chap. IX. DE HAAS, J. A. HOUGH, O. B. Foreign Trade and Shipping, Chap IX. Practical Exporting, Chaps. V, IX. PRECIADO, A. A. Exporting to the World, Chaps. IV, VI. Pro ROCKWELL, H. P. The Separate Export Department at Seaboard. ceedings of the Eighth National Foreign Trade Convention, 1921. Pp. 127-135. TOSDAL, H. R. VEDDER, G. C. WYMAN, W. F. Problems in Export Sales Management, Chaps. I, II. Direct Exporting, Course in Foreign Trade. Vol. V, Export Merchandising, Chaps. V, VI, VII, VIII, XV. CHAPTER XVII EXPORTING THROUGH DOMESTIC INTERMEDIARIES. EXPORT MERCHANTS consumers. The Rôle of Export Merchants in the Past. The world owes a debt of gratitude to the adventurous merchant shippers of old, who, at the time when nature and men conspired to keep communities apart, braved innumerable dangers in order to carry on an exchange of products between the East and the West. The traders of Phoenicia, of Judea, of Carthage, of Genoa, of Venice, of Lisbon, of Rotterdam, of the Hanseatic League, and of London, all contributed their share toward the bringing together of distant producers and Over unknown, trackless seas, across deserts, through primeval forests did the traders of antiquity and of the Middle Ages move their wares from one solitary center to another, contending with the fury of the storm, combating the attacks of wild beasts, of brigands and of pirates, sometimes succumbing to these hardships, but often overcoming what seemed to be unsurmountable obstacles. While it was for the purpose of making profits that they risked their all, often their lives, the result of their courage, of their initiative and enterprise, of their indefatigable efforts, was the gradual breaking down of the natural and artificial barriers which separated the world into hostile groups. The activities of merchant shippers raised the standard of living in the communities which they served, by placing at their disposal products other than those of the immediate habitat. These activities created and supplied a desire for the products of far-off lands and enlarged the material welfare and with it the intellectual horizon of the people. In more recent times merchant shippers, or export merchants, as they are known in the United States, have done much valuable work in building up the foreign trade of Great Britain, Germany, and other leading commercial nations. The validity of their services has been questioned of late and a number of agencies have arisen which challenge their position. Present Status of Export Merchants.-Export merchants still play an important rôle in international trade. They perform many useful functions which make their services desirable to manufacturers who wish to sell their goods in foreign markets without assuming the risks of such sales. It is especially when dealing with backward countries, in which commercial and banking facilities are not well developed and where the financing of business presents many difficulties, that the export merchant is a most useful intermediary. His position has been materially weakened in those places where there are large importing firms; these firms possess a sufficient amount of capital and credit to enable them to deal directly with foreign manufacturers. Regularity, stability, and security of business tend to eliminate the uncertain but at times very large profits made by export merchants. Manufacturers who wish to obtain a foothold in foreign markets may begin by selling through merchants; but they should recognize that the security of the position gained by them depends upon their utilization of various other agencies which have been made available to them through improved means of communication and transportation, through the spread of advertising and the rise of many large commercial centers with adequate banking and warehousing facilities, with importing firms, local agencies, etc. Organization of Business. Inasmuch as an export merchant buys goods on his own account for the purpose of reselling them, he assumes the risk of price fluctuations. In order to succeed he must possess keen judgment, an ability ORGANIZATION OF BUSINESS 263 to interpret correctly economic conditions in his own as well as in other countries of the world; and he should be a good organizer. His business requires, besides a main office with its various departments, branches both at home and abroad. Through these branches the export merchant is able to keep in touch with the needs of particular markets. Branches facilitate the work of the credit department in acquiring information regarding the financial status of credit seekers; they help in collecting overdue accounts and in adjusting disputes between exporters and foreign buyers. The main office of the export merchant is usually located in one of the larger seaports. In this office decisions are made regarding the general policy of the concern and here is concentrated all supervisory work. Besides the executive and financial departments, the main office has many other divisions attending to such operations as the buying, warehousing, selling and shipping of goods. Export merchants have found out that one of the most satisfactory ways of grouping their force is by territorial divisions; thus an exporting house may have a South American section, a Far Eastern section, an Australian section. Members of each section, by specializing in a particular region of the world, can learn more quickly what are the requirements of this region relative to the preparation, packing, and marking of the goods, the making out of documents to conform to customs and consular regulations, etc. Export merchants seldom limit their operations to one line of merchandise; they usually handle any and all goods which are likely to prove profitable. If they specialize it is usually in catering to certain well-defined markets. Such specialization gives them an opportunity to acquire a hold over some selected territories; this is a more satisfactory arrangement than spreading over a wide field. At present there are relatively few export merchants in the United States. In England and in Germany many such merchants combine the functions of a merchant with those of a banker. They extend credit to foreign buyers, for |