Real iron

["Chris and Ranae Procyk" <procyk19@domain.elided>]

>Iron ore to finished product was not the main reason for IH going downhill,
>but that has been talked about too much anyway.

Actually, I think Scout lifts have been talked about too much (duck!!!),
there hasn't been much talk *here* about what happened to IH-- not that
there is any definitive answer.   You are thinking about the Farmall list.

As far as this list, you, me and Dan Nees are the only people on the list
that have even  revealed themselves as to having read Barbara Marsh's book.

It was, I think Hussey's revenge- he bought a steel supplier in the 1890's
and it really worked out well for him, so IH just grew their steel business.
The thing is, its good to have a newer technology (like steel in the 19th
century) close to or a part of your business, since you depend so much on
it.  Also, as a "high tech" product it's a high margin product, and you
don't want to pay that margin out to somebody else.

Eventually, it becomes a commodity, and is best to let specialists go at
each other's throats while you shop for the best price.   Henry Ford made
like everything, but now we see that manufacturers are almost assemblers.
Steel is particularly nasty because of its high capital investment, very low
profit margin.  From the mid-20's on, I wonder if there was any manufacturer
beside IH who would even consider touching it?

In the 50s/60s (?? I haven't read the book for awhile, so I'm not entire
sure of dates and names)  IH was in a situation where they needed to spend a
lot a capital on Wisconson  <sp> Steel, they also had guy from Wisconson at
the helm, yet they weren't in the steel business.  So when they should have
been getting out of steel, they were thinking and spending on steel instead.
Coincidence that that's when JD pulled ahead? Probably, but fun to throw
out.

I do think that particular situation was a real body blow, like a punch in
the 7th round that leads to a 10th round knockout.  You say "wow, see that
knockout punch" but if the guy wasn't staggering around to begin with...

Not that I don't absolutely adore my IH bolts.  I won't even throw one away,
no matter how rusty.

In Use: 70 1210 4x4 TE, 73 1210 WM
Project (2nd time) 67 1000B PU
Parts: 67 1000B TA   68 1100 4x4 TA  72 1010 TA