Buying In Quotes
Boeing had the foresight to invest in the concept of Air Mail by bidding low at the beginning, becoming the best in the nation, and then raising prices when no one else can compete—a technique called “buying in”. However, he was so successful that he soon had a monopoly on all the airmail in the country. Each new airmail contract would require more and more capability and Boeing used the existing contracts to finance the R&D and training of manpower to present a better and better service. Soon, no other company could compete at any price. Boeing indeed had a monopoly but each step of the building of it he did at the request of the government or was the low bidder and saved the taxpayer money. The airmail contracts were canceled and air service was nationalized. William Boeing was so disgusted by the way he was treated in the Congressional Hearings, that he sold his interest in the Boeing Company and would have nothing to do with making planes or providing services to the government thereafter.
