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NEW SERIES VOL. 3, No. 28
TELEVISION DIGEST-9
Sales Earnings
1963
1962
1963
1962
National Union Electric
.... 9,059,626
9,318,768
242,777
348,507
Oak Mfg
.... 9,345,333
7,415,802
240,685
276,013
Oxford Electric
.... 2,089,800
2,263,583
(61,673)
22,664
Sangamo Electric
13,387,000
10,615,000
148,000
(546,000)
Standard Kollsmon
18,020,000
23,436,000
265,456
805,381
Texas Instruments
59,797,000
57,483,000
2,455,000
2,411,000
Transitron Electronic
6,211,161
6,033,624
(663,023)
(297,101)
Tung-Sol
14,923,552
18,311,554
241,087
449,855
TOTALS
$277,976,504
$281,876,512
$7,545,052
$9,552,474
EUROPE TRENDS AWAY
FROM TAIR
TRADE': New European attitude toward
competition, par
ticulorly in France & Germany, "is responsible for the movement away from resale price maintenance" which "years ago was the common practice in Europe's retail distribution," Chase Manhattan Bonk emphasized in latest report on overseas retailing trends.
"Marketing strategies of American exporters & companies operating in Europe would do well to take into account these present developments in resale pricing," Chase cautioned, "because the changing legal setting may require them to modify their marketing strategy."
Resale price maintenance still is traditional pricing formula for branded & trademarked consumer goods, but its effectiveness "is challenged today by the rapid spread of modem retail methods and by new lows & judicial rulings on competition," Chase pointed out, adding: "Civil servants, businessmen, judges & porhamentarians have come to appreciate the importance of more competitive markets . . . The gradual weakening of resale price maintenance in Europe today is another indication of the continuing development of more competitive markets within the European Economic Community."
Fair Trade in France & Germany "has clearly been weakened by the trend of judicial interpretation," and TV sets, radios & household appliances ore among products "most affected by this change." Chase amplified: "These product lines are weU suited for discount houses which have expanded all over Europe. Their growth is largely a result of the decline of 'fair trade,' but supermarkets & discount houses contribute in turn to the further erosion of resale price maintenance."
Change in Europe's distribution practices. Chase report summed up, "will mean several things: Profit margins will be lower & markets will become less 'orderly' & less secure. Yet freer competition may well present new opportunities to American exporters. Their greater experience in competitive marketing should make it easier to enter the European markets & to increase exports."
• • • •
Motorola is urging dealers to "join hands now with the growing army of reputable manufactxirers & resellers of quahty products who are moving vigorously toward early enactment of the Quality Stabihzotion Bill." To our knowledge, this is first direct appeal by TV manufactmer for dealer support of Quality Stabilization legislation (Vol. 3:26 p9), which has been reported out of House committee & still is being processed by Senate subcommittee.
Motorola Consumer Products Pres. Edward R. Taylor, at N.Y. showing of new TV-stereo lines last week (see p. 11), spelled out to dealers need for Quality Stabilization legislation, told them: "If you believe in this legislation, write your Senators & Representatives and let them know." Brochure on legislation, with appeal for write-in support, was included in dealer take-home kit distributed at meeting. Motorola will deUver Quahty Stabilization message to some 25,000 dealers this month during comse of 20 new-line meetings scheduled around country.
TV-RADIO PRODUCTION: EIA statistics for week ended July 5 (27th week of 1963):
June29-July5 Preceding wk. 1962 wk. '63 cumulative '62 cumulative
Black & white TV 89,693 156,843 82,441 3,550,961 3,375,855
Total radio 239,739 369,357 270,323 8,857,747 9,528,398
Auto radio 111,313 137,092 110,678 3,898,641 3,372,793