From the Rolls-Royce experimental archive: a quarter of a million communications from Rolls-Royce, 1906 to 1960's. Documents from the Sir Henry Royce Memorial Foundation (SHRMF).
Visit to Lucas to discuss high prices and negotiate reductions for supplied articles.
| Identifier | ExFiles\Box 168a\4\ img086 | |
| Date | 14th November 1938 | |
| CHILPS - To BY.{R.W. Bailey - Chief Engineer} Fm. 6144. BY/RD.6/B.14.11.38. Visit of Roy{Sir Henry Royce}/Les and BY/RD to Lucas. Friday 11th. November. We interviewed Messrs. Walker, Thacker and Robinson on this occasion, and after we had outlined our case that we thought their prices were much too high relative to what other people pay, Mr. Walker talked at great length in "market-place" style, to impress upon us that such is not the case, although subsequent conversation led me to conclude that his remarks were not very convincing. He subsequently pointed out that he could not, under any circumstances sell to us articles at the same price as to other people since other people would take large quantities, and if they learn the figure charged to us, would require reductions. It appears therefore, that they add to their selling price to us an unknown factor called "conscience figure". We disagree with this arrangement, but nevertheless, that is what they propose to do. It was intimated that reductions in prices could be substantial if we take the same identical articles as other people, and we must not be too finicky about finish and the wide limits to which they work on the performance of the unit. The whole thing boils down to the fact that they pass units through their Standards Shop in tens of thousands and sell them to the trade for low figures, but the slightest deviation from standard, puts the price up by leaps and bounds. They are steadily pronouncing a policy of forcing all manufacturers to take one type of unit. -Contd- | ||