SPIRIT OF OPTIMISM.

Waikato Times, Volume 113, Issue 18875, 20 February 1933, Page 6

SPIRIT OF OPTIMISM.

CONDITIONS IN AUSTRALIA; FEELiriQ OF CONFIDENCE. BUSINESS MEN CHEERY. “While in Sydney and Melbourns recently,” says Mr Vincent H. Freeth, "I had the opportunity of talking with dozens of business men. On every hand 1 found a return of confidence, of the fighting spirit, of the determination to survive and retain the things worth living for.” “What is being done in Australia may be judged by this case of a largo factory, which is similar to many other eases. In 1931 the directors budgeted for a loss of £40,000 and lost £38,000. Half the factory was closed and and about 600 operatives were out of work. The general manager, who told me about it, said frankly: "We had grown soft when times were easy. Now it was reform or go under. For the first time we determined upon some real campaigning. We sent one of ou? directors abroad to revise the buying of our materials. We determined what we would make and what the public would pay for. It meant giving a great deal more value for money and lowering our prices by about one-third. We had to do this without sacrificing our reputation for quality. Increase In Turnover. “In the old days our advertising ■ programme bore little relation to our selling policy. We just gave a certain sum of money to our advertising department and let them go ahead. But we do not do that today. To-day we plan to campaign. Our salesmen go ‘over the top’ and tiie selling and advertising campaign is carried out to the bitter end, without cessation or alteration. In 1932 we increased ouv turnover by 67 per cent, put all our operatives and machines back into work, and showed a profit.”

“In another factory, employing 1200 hands, I saw additions being rushed up. An extension, the» size of which was equivalent to what we would call a substantial factory in New Zealand, had been planned and built in 10 weeks. One very large retailer complained that the pressure of orders In this factory bad been such that they could not supply him with goods, which , would have given him an extra £15,000 turnover in the the last three days before Christmas. You will see that there Is still some money in the Commonwealth.

Indications of Confldenoo. "Confidence is written in letters a mile high across Australia. Better seasons and slightly better prices for wool have something to do with It, but largely this confidence is bred from within, as the result of the successful tackling of what seemed to be insuperable problems. Whatever Australia may have to face in the future, she will emerge triumphant from her difficulties.

“If you think I have painted too glowing a picture, let me tell you that I saw things which were still more inspiring—families reduced to actual poverty, ruined In the succeeding stages of the slump, facing the position squarely and fighting their way back with no whimpering. "It is the spirit that matters. The will to survive, to overcome difficulties, to maintain a standard of living worth fighting for. You do not see the same reckless spending in Australia as of yore. Yet they still love play in their genial climate. Aua-» tralia is coming back fast."