Word: rayons
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...industry grew fast, but Love's company grew faster. He kept buying small new plants (he now has 81), thus kept abreast of the industry's improvements without too big an outlay. Rayon's recent rate of growth has far exceeded both wool and cotton. Since 1940 the rayon industry has grown 238%, Burlington's sales have risen...
...fight affected more than rayon. Now that it was in ample supply, after three years of shortages, rayon men hoped to grab some of the cotton and wool market. In a cocky newspaper ad, Burlington sounded a battle cry: "It is a rough and tumble competitive situation with few holds barred. Business from here on in will go to the firms that produce precisely what the public wants and at the prices the public wants to pay." And the price for women's rayon dresses, Burlington thought, would soon be down...
Last week it came down. The Celanese Corp. of America, third biggest U.S. yarn producer, trimmed its prices of rayon (acetate staple fiber) by 12.5% to 42? a lb., lowest in its history. As other producers, weavers, converters and jobbers began cutting prices to the new pattern, the whole industry joined in its first big postwar price battle...
...money to his, he bought the mill. During a real-estate boom, Love sold the mill's land and buildings at a small profit, then moved its machinery to a new $200,000 plant built by eager-beaver boosters in Burlington, N.C. There he branched out into rayon, then an infant industry...
Giant's Stretch. Now Burlington not only makes 10% of all U.S. woven rayon goods, but is also the biggest U.S. producer of ribbons and second biggest maker of nylon stockings. Love keeps a sharp eye peeled for ways to improve Bur-Mil's products. To test Burlington's fabrics, he gets samples of clothing which other manufacturers make from them, and has Burlington's employees wear them. He set up a monthly fashion clinic for the big clothing designers and manufacturers, thus anticipates (and sometimes creates) trends...