Germany -- Foreign relations; World War, 1914-1918; World War, 1914-1918 -- Economic aspects
In Italy similar phenomena were observed frequently. A firm in
Florence celebrated for special types of wooden utensils which were
never successfully imitated elsewhere was ruined by commercial
espionage. One day the proprietor engaged the services of two foreign
workmen who laboured hard and steadily for some time and then
departed, to his great regret. Six months later Germany dumped on the
Italian markets the very same articles in vast quantities, and at a
price so low that the Italian firm could not hope to compete with
them. At first, indeed, the Florence house made a valiant stand
against the invasion, but had finally to give up the fight as
hopeless. Later on the proprietor learned that the two honest-looking
workmen were first-class German engineers, whose only objects in
entering his service were to acquaint themselves with his methods,
copy his models and then strangle his trade. And these objects they
achieved to their satisfaction.[10]
[10] _L'Invasione tedesca_, p. 147.
Thus, in order to strangle concerns that compete with them
successfully, the average German merchant sticks at nothing. His maxim
is, that in trade as in all forms of the struggle for existence,
necessity knows no law. And he is himself the judge of necessity. The
history of German industry in Italy is full of instructive examples
of this disdain of moral checks, but one will suffice as a type. It
turns upon the struggle which the Teuton invaders carried on against
the Italian iron industry, which for a while held its own against all
fair competition. In their own country, the German manufacturers sold
girders at L6 10_s._ the ton. The profits made at this price enabled
them to offer the same articles in Switzerland for L6, in Great
Britain for L5 3_s._ and in Italy for L3 15_s._ Now, as the cost of
production in Germany fluctuated between L4 5_s._ and L4 15_s._ per
ton, it is evident that the dead loss incurred by the German
manufacturers on Italian sales varied between 10_s._ and L1 per ton.
But this sacrifice was offered up cheerfully because its object was
the destruction of the growing iron industry of Northern Italy and the
clearing of the ground for a German monopoly.[11] The spirit that
animates the Teuton producer, in his capacity as rival, was clearly
embodied by one of the principal manufacturers of aniline dyes in
Frankfort, who remarked to an Italian business man: "I am ready to
sell at a dead loss for ten years running rather than lose the Italian
market, and if it were necessary I would give up for the purpose all
the profits I have made during the past ten years."[12] To contend
with any hope of success against men of this stamp, one should be
imbued with qualities resembling their own. And of such a commercial
equipment the business community of Great Britain have as yet shown no
tokens.
[11] _L'Invasione tedesca in Italia_, p. 149.
[12] _Op. cit._, p. 150.
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