Part 1. Business and finance
Task 1. Read and translate the texts into Ukrainian:
Banks and businesses
Most businesses need to borrow money to finance (= pay for) investments (= things they need to buy in order to help the company, e.g. machines). The money they borrow from the bank is called a loan, and on this loan they have to pay interest, e.g. if you borrow ?1,000 and the interest rate is 10%, then you have to pay back ?1,000, plus ?100 in interest.
Businesses and profit
One of the main aims/objectives (the things that you hope to do/achieve) of a company is to make a profit (= earn/receive more money than it spends) (=make a loss). If a company does not make a profit or a loss, it breaks even.
Most companies are happy if they can break even in their first year of business. Companies receive money from selling their products - this money is called the turnover. The money that they spend is called the expenditure. They spend money on these things: raw materials (= materials in their natural state used to make something else, e.g. coal and oil are important raw materials used to make plastics); labour (= employees); overheads (= necessary costs for a company, e.g. rent for buildings, electricity, telephone)
Rise and fall
Business people often need to talk about the movement of sales, prices, interest rates, profit and loss, etc. Here are some of the words used to describe these trends (= movements): rise / go up / increase; rise slowly (also gradually); rise sharply; fail / go down; fall slowly; go down sharply.
Note: rise, increase, and fall are also used as nouns: a slow rise in interest rates, a steady increase in sales, a sharp fall in profits, a dramatic (= sharp) rise in inflation. We can also use be up/down: prices are up by 10%; profits are down by ?2m.
Businesses and the economy
In order to grow/expand (= get bigger) and thrive/prosper (= do well / be successful), many companies want or need the following: low inflation, so prices do not go up; low interest rates, so the company can borrow money without paying a lot of interest; economic and political stability (= things remain steady and stable and there are no sudden changes in the economic and political situation); a healthy/strong economy (= in good condition), and not an economy in recession (= in a period of reduced and slow business activity); tax cuts (= tax reductions / lower taxes), so they can keep more of their profit. This often depends on government expenditure, e.g. The government will not be able to reduce taxes if public expenditure continues to rise.
Task 2.Give the Ukrainian equivalents to the words and expressions in bold from the texts.
to finance
investments
a loan
to pay interest
interest rate
to pay back
aims/objectives
to make a profit
to make a loss
break even
turnover
expenditure
raw materials
labour
overheads
rise / go up / increase
rise slowly (also gradually)
rise sharply
fail / go down
fall slowly
go down sharply
Task 3. Match the words on the right with their definitions on the left.
Task 4. Replace the underlined word(s) in each sentence with another word that has the same meaning.
1. There has been a slow rise in sales. Slow - gradual
2. This comes after a dramatic fall last year. Dramatic - sharp
3. Fortunately the company is doing well now. Doing well - prospering
4. And it’s growing very quickly. Growing - expanding
5. This is one of their main objectives. Objectives - aims
6. Profits have risen considerably. Risen - increased
Task 5. Can you answer these questions about your own country?
1. What is the current inflation rate?
2. If you borrowed $10,000 from your bank, what would the interest rate be approximately?
3. What is the state of the economy at the moment?
4. Do you think businesses are optimistic about the future?
5. Has the government reduced company taxes or personal taxes in the last twelve months?
6. Has public expenditure risen or fallen in the last twelve months?
Public expenditure has risen in the last twelve months.
Part II Sales and marketing
Task I. Read and translate the texts into Ukrainian:
What is marketing?
People talk about the marketing mix. This consists of (= it is formed from and includes): choosing the right product (= what a company produces/makes or offers), selling it at the right price (= what it costs to the buyer/consumer), using the right kind of promotion (= the ways to make the product popular and well-known; this includes advertising.), making it available in the right place (= where you sell the product and how it reaches the consumer; also known as distribution)
This ‘mix’ is often referred to as the four Ps, and marketing people have the job of matching these things to the needs of consumers (= the people who buy and use products). People who buy the products of a particular company are that company’s customers /clients.
‘Sales’ and ‘market’
There are a number of words which combine with sales and market to form compound nouns and word partnerships which are very common in marketing.
sales figures: the amount you have sold
sales target: the amount you would like to sell in a future period
sales forecast: the amount you think you will sell in a future period, e.g. next year
sales representative: a person who sells a company’s products; abbreviated to sales rep
sales/marketing manager: the person who runs the sales/marketing department
market research: collecting and studying information about what people want and need
market share: the % of a market that a company has, e.g. a 20% market share
market leader: the company or product with the biggest market share
Competition
Ford Motors is the market leader in the UK car industry. Its main competitors (= the most important companies in the same market) are Vauxhall and Rover, and it has had to work very hard in recent years to maintain its market share. Every time a competitor launches a new product (= introduces a new car onto the market), it is harder for Ford to stay in front.
A company’s image
The image of a product/company (- the picture or idea that people have of the product/company) is very important in sales and marketing. Some companies want a fashionable image (=modern and up-to-date), others do not. For example:
Volkswagen Beetle
mass-produced (= made in large numbers), reliable (= you can trust it), good value (= good for the money) functional but boring.
Subaru
young; exciting, glamorous (= exciting + attractive); often fashionable, dangerous; not very practical.
Mercedes Benz
high quality (= high standard/ very good), luxury (= expensive and giving great comfort), high status/prestige (= important; driven by important people).
Task 2.Give the Ukrainian equivalents to the words and expressions in bold from the texts.
consists of
product
price
promotion
advertising
place
consumer
distribution
customers/clients
sales figures
target
sales forecast
sales representative
sales/marketing manager
sales/marketing department
market research
market share
competition
main competitors
launch
the image
fashionable
mass-produced
reliable
good value
exciting, glamorous
high quality
luxury
high status/prestige
Task 3.See how many different compound words and word partnerships you can form from the words in the box (you can use a word more than once), then complete the definitions below.
sales market manager share figures marketing leader research department forecast
1. A sales forecast is what you think you are going to sell during a future period.
2. The marketing manager will be responsible for all the activities in the marketing department.
3. Sales figures tell you how much you have sold of a product.
4. The market leader is the company with the largest market share in a particular market.
5. Market research gives you information about what people want, need and buy.
Task 4. What knowledge is necessary to be a good sales rep? Complete this text and then try to add a further sentence of your own.
Task 5. Complete this word-building table. Use a dictionary to help you.
Task 6. Which nouns or adjectives from the last exercise (or any others from section A company’s image in the text), do you associate with these companies and products?
Task 7.Can you answer these questions about your own country?
1. Which company is the market leader in the motor car industry in your country?
2. Do you know its approximate market share?
3. Which companies are its main competitors?
4. Write down the names of at least two cars that have been launched in the last six months. BMW M6 and SUBARU Legacy 2.0 have been launched in the last six months.