In the summer of 1894-1895 Carlos Wiederhold, a German-Chilean from Osorno, crossed the poorly known mountain passes of the Andes from Chile into Nahual Huapi Lake. He was aided by the guide Antonio Millaqueo and Daniel Márquez from Chiloé helped them in navigating the lake. Back in Chile Wiederhold bought provisions in Puerto Montt and brought them across the Andes to sell these in the Nahuel Huapi area. Wiederhold established then a little shop called "La Alemana" (The German) in 1895, and it is from this shop the modern settlement of Bariloche developed from. As Wiederhold was named consul of the German Empire in Chile he left Bariloche for Puerto Montt in the 1900s. In Puerto Montt Wiederhold continued to run the business while in Bariloche Wiederhols business partner Federico Hube, also a German-Chilean from Osorno, was left in charge of local affairs. By 1900 Chilean merchants dominated trade in the area of Nahuel Huapi Lake by their control of nearby mountain passes. Hube & Achelis controlled Paso Pérez Rosales and Camino y Lacoste did so in Paso Puyehue. A war scare between Chile and Argentina in the 1900s meant some difficulties for these earlier entrepreneurs who later came to benefit from the 1902 boundary arbitration between Chile and Argentina which increased trust along the international boundary. The trade route established by Wiederhold connecting the Pacific port of Puerto Montt with Nahuel Huapi Lake in the inland was well into the 1910s among the most important ones in northern Patagonia.