Rivals "Take Work at Any Price"
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"WE have had a hard fight to maintain our hold on our traditional markets, although in this struggle we have had much support and encouragement from some important customers who desire to have more than one source of supply for the important components manufactured by our company," says Mr. G. E. Liardet, chairman and managing director of Simms Motor Units, Ltd., in his annual report.
" It is regrettable, however, to find that one large chassis maker, whom we have served faithfully for many ycars, is in a position where satisfied users of Simms equipment all over the world are no longer able to avail themselves of the advantages of Simms products."
He says that it would be wrong to underestimate future difficulties. Increased turnover could not be expected to enhance a smaller profit margin which appeared inevitable this year.
The company were endeavouring to negotiate price adjustments "without which a considerable portion of our group output would be sold at a loss, but in this respect we are faced with competitors who appear to be prepared to take business irrespective of cost."
Mr. Liardet added that great benefit would arise from large-scale spending on technical development. Activities would expand into other industries through subsidiary concerns.
PLANS FOR RAIL PROFIT
GOOD progress in discussions between the Minister of Transport and the chairman of the British Transport Commissiof on plans to improve the Commission's financial position was reported to the House of Commons, last week, by Mr. Harold Watkinson. "By applying the ordinary principles of enlightened private enterprise to the railways we shall show how they will make a profit," he said.