No military campaign was ever planned with such exactness of detail and precision as that which characterized the preliminary movements of the exporting nations of Europe to acquire control of Latin American markets. When the Franco-Prussian war was over and the Powers of the Old World had settled down to a development of their resources, it soon became apparent that foreign fields must be sought in which to dispose of the excess products of their industry. With that object in view governments, trade associations, manufacturers, shippers, exporters, civic and social societies, colleges, merchants, and individuals united in one harmonious movement to accomplish this purpose. While each nation followed more or less the same general plan, still Germany attacked the problem with the thoroughness so typical of its people that its course in this direction may be taken as an example of what should be done in similar contingencies, and it may be well worth mentioning in detail.

To impress the Latin American people that their trade was courted by the nation as well as the individual producer, government commissions were dispatched from Europe to each of these countries, when possible in a war vessel of the nation sending them. With much pomp and great ceremony visits were exchanged between the members of this body and the authorities ashore and every effort made to develop a national feeling of regard between both parties, very much the same as we did when Commodore Perry opened up Japan to the world. Much time was spent in each country and nothing was overlooked that might be of any aid to accomplish the object in view.

Following these emissaries from the European Power came officials of trade bodies and business organizations, college professors and writers, each one studying the situation from his particular point of view and noting the things most required and the methods under which business was conducted. One of the subjects given the most complete and far reaching attention was the question of banking relations and how to best develop this important field, for it was early seen that this would form the most essential link in the perfected chain of business success. In the meantime the home government had caused to be printed throughout its territory, full and specific facts regarding the countries, the nature of their soils, everything obtainable about the flora and fauna, their mountains and minerals, the various waterways, climatic conditions and what crops could be grown with profit, with complete data concerning business opportunities. Commercial schools were opened wherein the student was taught Spanish and Portuguese, and perfectly drilled in Latin American business methods and etiquette. Realizing that much of their future success in these lands would be dependent upon having colonies throughout them, every effort was made to encourage emigration, the official authorities knowing full well that affection for the Fatherland and a belief in the superiority of its products, would materially help in the dissemination of its goods and keep up a demand for home made articles, until they had through their own merit obtained a foothold among the natives. As a direct result of this plan of colonization, fully one-fourth of the population of Chile are either German or of German descent, and the southern section of this country reminds one more of a portion of Germany in its type of building, the characteristics of the inhabitants, their dress, the nature of their business and their modes of living than of a Latin nation. The same is also true in the southern part of Brazil, where the Germans have many colonies, each provided with public schools in which natives are really taught German before acquiring their mother tongue.

The real ambassador of commerce—the traveling man—courteous, polite, affable, familiar with trade customs, national mannerisms, and speaking both Spanish and Portuguese perfectly was on the scene early, paying particular attention to the demands of the merchant. If a certain style of cloth was too wide, the obliging German made it of the dimensions required. If the color was too subdued for the aboriginal customer of the native merchant, the pattern and pigment were changed to suit the buyer. If plows were required with one handle instead of two, so that the farmer could have the other free for manipulating his cigarette, his wish was cheerfully complied with. The idea that filled the mind of the salesmen from Europe was to give the customer just what he wanted, and this rule was never deviated from. No attempt was made to force the storekeeper to adopt the customs of Europe in anything, but stress was laid on the fact that their only object was to oblige in every way the buyer, and cater to his demands. The suggestion from the storekeeper that he got six months’ time from England’s manufacturers, on this line of goods, was combated with the unanswerable argument that the seller would be pleased to bill the order at eight months if desired.

Samples of native-made articles that sold well were also purchased by the wide-awake representatives and sent home with full and complete data as to price, cost of manufacture, quantities consumed, and any other useful hint that practical observation might suggest, so that those in Germany might have an opportunity to experiment with a view to reducing the cost of the article and thereby obtain commercial control of this particular line. In a word, no stone was left unturned to accomplish the object always in view, namely—the complete capture of these markets.

As orders began to come in and were ready for exportation Germany suddenly realized that she was confronted with a problem which she had not seriously considered before—that of a national merchant marine. Without ships this vast business, now practically acquired, was at the mercy of the foreigner who had vessels in which to convey it to the markets across the seas. With the exorbitant freight rates which were beginning to be charged, as cargoes multiplied and ships became scarce, it became obvious that all this newly secured trade would be seriously jeopardized, if not completely lost, unless the entire situation was under the absolute control of the Government and in the hands of the German people. Accordingly the State took up the question, and to make a long story short, the result was the development of the enormous German merchant marine,—perhaps the most complete and perfect in the world—with subsidies from the national treasury, which enabled ship owners to quote a freight rate per ton so low, that it was cheaper to ship German made goods from Hamburg to Valparaiso, than from Hamburg to many of the interior cities of the Fatherland for home consumption. This last stroke of generalship in this business campaign for commercial supremacy gave Germany the greatest impetus toward reaching the goal upon which her eyes were fixed, and as a result her export trade as well as her import trade, increased by leaps and bounds, making her the envy of all Europe, a condition which in the opinion of many people undoubtedly had much to do with precipitating the European War.

This briefly is the story of how Germany secured control of not only Latin American trade, but much of the over seas business of the world. In the republics to the south of us the national effect of this commercial invasion is very noticeable. Natives were invited to visit and get acquainted with Germans in Germany, and when they accepted were the recipients of such courteous treatment and became so thoroughly impressed with the perfection of the German nation in every field of enterprise, that they returned enthusiasts on the subject. One of the results of this is seen to-day in the armies of Colombia, Mexico, Chile, Argentine, Venezuela and some of the Central American countries. They have all been instructed by German officers, imported for the special purpose and kindly loaned by the German military authorities—a fact worthy of serious thought when we think that some day Germany may turn covetous eyes upon some parts of Latin America. To see some of these troops march past with their peculiar knapsack, their goose-step and the pickelhaub helmet, makes one feel that one is in Germany for the time being, anyway. Throughout the length and breadth of Central and South America are to be found German delicatessen shops and hotels; German stores and breweries; German banks and steamship lines; German salesmen and German schools, each one dependent on the Fatherland for supplies, and in turn playing an effective part and contributing a strenuous share toward forcing Germany to the front in every way.

In developing local markets their methods were equally unique and practical. I recall for instance the first brewery started in Venezuela. Venezuelans knew of beer in much the same way that we of the States know of mate, the herb used so extensively in the Argentine, Uruguay and Paraguay, for making a beverage—that is they had read about it and heard people refer to it, but few really knew what it looked like or how it tasted. All were naturally more or less suspicious of it. Nothing daunted the phlegmatic Teutons who had invested their money in the erection of the plant in pursuing their stolid, predetermined plan of introducing beer as a national beverage in lieu of the light clarets and other wines, formerly so much in use in these countries. A building on the most prominent corner of the city of Caracas was leased and in it chairs and tables were arranged as in German beer halls, while adjacent to the bar at which the beer was served direct from the barrel, was a lunch stand which provided excellent delicatessen food. When everything was ready, invitations were sent broadcast to the better class families to come and accept the hospitality of the brewing company without cost for the purpose of becoming better acquainted with the health and strength-giving properties of real German beer. Physicians were “sampled” in detail and told when to prescribe and what to expect from this wonderful beverage in certain diseases and especially during convalescence. Within a few months’ time the saloon became a rendezvous of the elite. Ultimately beer supplanted all other alcoholic drinks in this particular city. The same plan was carried out in other towns and I am certain that Latin America to-day can boast of more breweries, per capita, than Germany. Other local trade problems were attacked and solved in the same sensible, simple and practical manner, the result always being that German products grew in favor and in demand.

England, France and Italy of course developed their business in these lands along much the same lines, but none of these nations showed the deliberately planned aggressiveness and solidarity of purpose, or the determined unity of spirit that animated the German. England did more to establish her connections throughout Latin America along the path of extensive investments in national and local securities, the building of railroads, the dredging of harbors and erection of docks, while France, relying upon the admitted and acknowledged fact that all the civilized world looked to her for its fashions, styles, millinery, articles of clothing and dress, toilet goods, and luxuries, very naturally took advantage of existing conditions and used this as a foundation on which to erect her trade. Whatever commercial prestige either Spain or Portugal acquired in these countries was due almost entirely to the presence of thousands of citizens of these nations, who created a demand for articles of home production, and this is relatively small.

In this simple but thorough manner was the trail to business success in this field blazed. The experiences of our predecessors, and the lessons they learned should stand us in good stead in our efforts and help to direct our feet from all possible pitfalls. In fact we should, by following and improving on their attempts, if this be possible, acquire a commercial supremacy in this territory in less than half the time taken by the Europeans.