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Mergers are very much the in thing at the
moment but there were mergers in Germany even in 1926. the Daimler
(Mercedes) and Benz marques combined, causing Paul Daimler, Gottfried
Daimler’s eldest son, to leave his father’s company for Zwickau,
where he joined the Horch company.
Hermann Beissbarth, who had been a good friend
of Paul Daimler for many years, added to the range of Gebrüder
Beissbarth’s products by becoming Horch’s dealer in Bavaria. Despite
this expansion, there was no growth in sales. On the contrary. The
economic situation in Bavaria and political uncertainty (Hitler’s
putsch took place in Munich on November 9th, 1923) was looking increasingly
bleak. To quote the Bavarian Commercial Archives again. “In previous
years, the factory on Tegernseer Landstrasse has achieved sales
of around 2,000,000 Marks per year… sales in 1930 were said to have
amounted to 600,000 Marks … and there were around 295 waged and
20 salaried employees”, end of quote. In 1931, Hermann Beissbarth
was forced to close the factory.
On February 15th, 1932, unemployment in Germany was at its highest
ever level of over 6 million. In 1933, Hitler seized power and in
1935 Munich was declared the “Capital of the Movement”. On September
1st, 1939, Hitler invaded Poland, unleashing the Second World War.
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