Практическое пособие по английскому языку для студентов экономических специальностей

МИНИСТЕРСТВО ОБЩЕГО И ПРОФЕССИОНАЛЬНОГО ОБРАЗОВАНИЯ

СВЕРДЛОВСКОЙ ОБЛАСТИ

ГОСУДАРСТВЕННОЕ БЮДЖЕТНОЕ ОБРАЗОВАТЕЛЬНОЕ УЧРЕЖДЕНИЕ

СРЕДНЕГО ПРОФЕССИОНАЛЬНОГО ОБРАЗОВАНИЯ СВЕРДЛОВСКОЙ ОБЛАСТИ

 «Уральский государственный колледж имени И.И. Ползунова»

ПРАКТИЧЕСКОЕ ПОСОБИЕ

ПО АНГЛИЙСКОМУ ЯЗЫКУ

(профессионально направленный модуль)

для студентов укрупненной группы специальностей

«Экономика и управление» (базовая подготовка)

Разработала: Лизунова Н.С.

Кировград, 2014

Аннотация.

Данное пособие предназначено для студентов экономических специальностей, обучающихся на III курсе очной формы обучения.

Пособие содержит учебный материал по профессионально направленному модулю в соответствии с программой учебной дисциплины ОГСЭ.03 Английский язык и способствует развитию профессиональных компетенций студентов.

Пособие разделено на 5 разделов по темам: экономика как наука, уровни экономики, основные законы экономики, типы экономических систем, менеджмент, маркетинг, деловая переписка. В каждой теме содержатся тексты, диалоги и упражнения экономической направленности с целью развития навыков чтения, извлечения и обработки информации по специальности. Пособие завершают тексты для дополнительного чтения.

Данное пособие может быть использовано для аудиторной и самостоятельной работы студентов.

СОДЕРЖАНИЕ.

Unit 1. I. Economics as a science …………………………………..   4

           II. Levels of economics ……………………………………..   9

Unit 2. The laws of economics ……………………………………... 16

Unit 3. Economic systems ……………………………………….....  24

Unit 4. I. Marketing ………………………………………………...  33

          II. Management ……………………………………………...  48

Unit 5. Business Correspondence …………………………………... 52

Text bank ……………………………………………………………61

Литература ………………………………………………………... 70

UNIT I.

I. ECONOMICS AS A SCIENCE

Text 1.

Although the content and character of economics cannot be described briefly, numerous writers have attempted that. An especially useless, though once popular, example is: «Economics is what economists do.»

Similarly, a notable economist of the last century Alfred Marshall called economics «a study of mankind in the ordinary business of life.» Lionel Robbins in the 1930s described economics as «the science of choice among scarce means to accomplish unlimited ends.»

During much of modern history, especially in the nineteenth century, economics was called simply «the science of wealth.» Less seriously, George Bernard Shaw was credited in the early 1900s with the witticism that «economics is the science whose practitioners, even if all were laid end to end, would not reach agreement.»

We may make better progress by comparing economics with other subjects. Like every other discipline that attempts to explain observed facts (e.g., physics, astronomy, meteorology), economics comprises a vast collection of descriptive material organized around a central core of theoretical principles. The manner in which theoretical principles are formulated and used in applications varies greatly from one science to another. Like psychology, economics draws much of its theoretical core from intuition, casual observation, and «common knowledge about human nature.» Like astronomy, economics is largely nonexperimental. Like meteorology, economics is relatively inexact, as is weather forecasting. Like particle physics and molecular biology, economics deals with an array of closely interrelated phenomena (as do sociology and social psychology). Like such disciplines as art, fantasy writing, mathematics, metaphysics, cosmology, and the like, economics attracts different people for different reasons: «One person's meat is another person's poison.» Though all disciplines differ, all are remarkably similar in one respect: all are meant to convey an interesting, persuasive, and intellectually satisfying story about selected aspects of experience. As Einstein once put it: «Science is the attempt to make the chaotic diversity of our sense-experience correspond to a logically uniform system of thought.»

Economics deals with data on income, employment, expenditure, interest rates, prices and individual activities of production, consumption, transportation, and trade. Economics deals directly with only a tiny fraction of the whole spectrum of human behavior, and so the range of problems considered by economists is relatively narrow. Contrary to popular opinion, economics does not normally include such things as personal finance, ways to start a small business, etc.; in relation to everyday life, the economist is more like an astronomer than a weatherforecaster, more like a physical chemist than a pharmacist, more like a professor of hydrodynamics than a plumber.

In principle almost any conceivable problem, from marriage, suicide, capital punishment, and religious observance to tooth brushing, drug abuse, extramarital affairs, and mall shopping, might serve (and, in the case of each of these examples has served) as an object for some economist's attention. There is, after all, no clear division between «economic» and «noneconomic» phenomena. In practice, however, economists have generally found it expedient to leave the physical and life sciences to those groups that first claimed them, though not always. In recent years economists have invaded territory once claimed exclusively by political scientists and sociologists, not to mention territories claimed by physical anthropologists, experimental psychologists, and paleontologists.

Vocabulary

numerous многочисленный

to attempt попытаться

notable примечательный

scarce скудный, ограничен­ный

witticism ['witisizm] острота, шутка

practitioner те­рапевт

to comprise включать в себя

vast обширный, громадный

core ядро

casual observations зд. по­вседневные наблюдения

weather forecasting прогноз погоды

array массив, масса, множе­ство

closely interrelated тесно взаимосвязанные

phenomena явления

to convey передавать

income доход

employment занятость

expenditure затраты, из­держки, расход(ы)

interest rate процентная ставка

range ряд

pharmacist фармацевт

plumber водопроводчик

conceivable мыслимый, ве­роятный, возможный

expedient целесообразный (-о), соответствующий, подходящий, надлежа­щий

to claim приписывать себе, претендовать

to invade вторгаться

General understanding.

1. Is there a common opinion on the content and character of economics?

2. What definition of economics is referred to as «especially useless»?

3. With what sciences does the author compare economics? Why?

4. What similarities with economics have the following sciences: a) psychology b) astronomy c) meteorology 4) particle physics and molecular biology 5) art, fantasy writing, mathematics, metaphysics, cosmology, and the like.

5. What is the scope of economics? What does economics deal with?

6.  What does the author refer to as «popular opinion»?

7.  According to the text, can such problems as marriage and extramarital affairs be the subject of economists' attention? Is there a division between «economic» and «noneconomic» problems?

8.   What fields have economists «invaded» in recent years?

1. Defining economics.

A. Use the text to fill in the spaces:

PERIOD OF TIME	PERSON	DEFINITION
19th century		«a study of mankind in the ordinary business of life.»
	George Bernard Shaw
1930s		«the science of choice among scarce means to accomplish unlimited ends.»

B. What other two definitions could be found in the text? How does the author refer to each of them?

2. Similarities and differences:

SCIENCE(ES)	SIMILARITY	DIFFERENCE
psychology
astronomy
meteorology
particle   physics    and   molecular biology
art, fantasy writing, mathematics, metaphysics, cosmology, «and the like»

3.   Which of the following is not true about economics and economists:

A.   There is no brief description of the content and character of economics.

B.   Alfred Marshall and Lionel Robbins agreed that: «Economics is what economists do.»

C.  In the 19^th century economics was called «the science of wealth».

D.  Economics is only a theoretical science.

E.   Einstein once said,  «One person's meat is another person's poison».

F.   Economics deals with the problems of income, employment, and interest rates.

G.   Economics also deals with weather forecasting, psychology and fantasy writing.

H. In recent years economists switched to the new fields, such as political science and sociology.

4.  Say in your own words what each of the following outstanding people thought of economics and econo­mists:

a)  George Bernard Show

b)  Alfred Marshall

c)  Lionel Robbins

5. What is the profession of people who work in the field of:

Example: Those working in the field of economics are economists.

a)  physics

b)  astronomy

c)  meteorology

d)  psychology

e)  astronomy

f)  meteorology

g)  sociology

h) mathematics

Text 2.

What is economics?

One of the things that people discover every day is that you can't have everything. You are reminded of it every time you shop. Although you may see twenty or thirty items that you would really like to buy, you know that you will have to limit your selection to one or two. Everyone goes through life having to make choices.

Every business, even sports teams, must pick and choose from among the things they would like to have because they cannot have everything. Governments, too, cannot have everything. Every year the most important political debates concern questions about spending taxpayers' money.

Neither individuals nor societies can have all the things they would like to have. There simply is not enough of everything. Economists note that there is no limit to the amount or kinds of things that people want. There is, however, a limit to the resources, things used to produce goods and services, available to satisfy those wants. Once that limit is reached, nothing else can be produced. In other words, when nation's resources (all its workers, factories, farms, etc.) are fully employed, the only way it will be able to increase the production of one thing will be by reducing the production of something else.

To summarize: human wants are unlimited, but the resources necessary to satisfy those wants are limited. Thus, every society is faced with the identical problem, the problem of scarcity.

Text 3.

What do economists do?

Economics deals with the problems of scarcity and choice that have faced societies and nations throughout history, but the development of modern economics began in the 17th century. Since that time economists have developed methods for studying and explaining how individuals, businesses and nations use their available economic resources. Large corporations use economists to study the ways they do business and to suggest methods for making more efficient use of their employees, equipment, factories, and other resources.

Vocabulary

to impose — наложить, накладывать

trade-off — зд. замена

opportunity costs — цена альтернативы, альтернативные издержки

to give up — отказываться

II. LEVELS OF ECONOMICS.

Text 1.

Macroeconomics.

The word macroeconomics means economics in the large. The macroeconomist's concerns are with such global questions as total production, total employment, the rate of change of overall prices, the rate of economic growth, and so on. The questions asked by the macroeconomist are in terms of broad aggregates — what determines the spending of all consumers as opposed to the microeconomic question of how the spending decisions of individual households are made; what determines the capital spending of all firms combined as opposed to the decision to build a new factory by a single firm; what determines total unemployment in the economy as opposed to why there have been layoffs in a specific industry.

Macroeconomists measure overall economic activity; analyze the determinants of such activity by the use of macroeconomic theory: forecast future economic activity; and attempt to formulate policy responses designed to reconcile forecasts with target values of production, employment, and prices.

An important task of macroeconomics is to develop ways of aggregating the values of the economic activities of individuals and firms into meaningful totals. To this end such concepts as gross domestic product (GDP), national income, personal income, and personal disposable income have been developed.

Macroeconomic analysis attempts to explain how the magnitudes of the principal macroeconomic variables are determined and how they interact. And through the development of theories of the business cycle and economic growth, macroeconomics helps to explain the dynamics of how these aggregates move over time.

Macroeconomics is concerned with such major policy issues as the attainment and maintenance of full employment and price stability. Considerable effort must first be expended to determine what goals could be achieved. Experience teaches that it would not be possible to eliminate inflation entirely without inducing a major recession combined with high unemployment. Similarly, an overambitious employment target would produce labor shortages and wage inflation.

During the 1960s it was believed that unemployment could be reduced to 4 percent of the labor force without causing inflation. More recent experience suggests that reduction of unemployment to 5.5 percent of the labour force is about as well as we can do.

Vocabulary

total production — общая производительность 

individual households — индивидуальные хозяйства

total employment — общая занятость

layoff — увольнение

economic activity — экономическая активность

the rate of change of overall prices— коэффициент изменений предельных цен  

determinants — показатели, определители

values — ценности

rate of economic growth —  темпы экономического  роста 

meaningful totals — значимые итоги

gross domestic product (GDP) — валовой внутренний продукт (ВВП)

broad aggregates — масштабные совокупности                       

national income — нацио­нальный доход

personal income — личный доход

personal disposable income — личный доход после уплаты налогов

business cycle — экономи­ческий цикл

economic growth — эконо­мический рост

attainment — достижения

maintenance — поддержа­ние, содержание

price stability — стабиль­ность цен

eliminate — ликвидиро­вать, исключать

labor shortage — нехватка рабочей силы

reduction — уменьшение

General understanding

1. What does the word macroeconomics mean?

2. What are the concerns of a macroeconomist?

3. What is the difference between the questions asked by macroeconomists and microeconomics?

4. What is, according to the text, the important task of macroeconomist?

5. What does macroeconomic analysis attempt to explain?

6. What are the concepts of macroeconomics?

7. What   are   the   most   important   theories   of macroeconomics ?

8. What is said about the correlation between the inflation and unemployment?

1. Macroeconomics vs. microeconomics. Fill in the table to show the difference between:

MACROECONOMICS	MICROECONOMICS

2. Which of the following statements are true about macroeconomics and macroeconomists:

A. Macroeconomics deals with global questions only.

B.  Macroeconomics means economics in the large because it asks more questions than microeconomics.

C. Macroeconomist analyzes activities of families and large firms.

D. Such concepts as gross domestic product, national income and personal disposable income serve as meaningful totals.

E. Macroeconomic analysis shows the development of the economic theory.

F. Theory of business cycles concerns business. That is why this is a microeconomic theory.

G. Inflation could not be eliminated without some negative changes in economics.

H. More recent experience proves that macroeconomists of 60s were wrong.

3.  Translate into Russian:

A. The questions asked by the macroeconomist are in terms of broad aggregates.

B. What determines the capital spending of all firms combined as opposed to the decision to build a new factory by a single firm?

C. Macroeconomists measure overall economic activity; analyze the determinants of such activity by the use of macroeconomic theory.

D. Macroeconomic analysis attempts to explain how the magnitudes of the principal macroeconomic variables are determined.

E. Considerable effort must first be expended to determine what goals could be achieved.

F. More recent experience suggests the reduction of unemployment to 5.5 percent of the labor force.

G. Experience teaches that it would not be possible to eliminate inflation entirely.

4.  Explain in your own words the importance and practical applications of the following concepts. (Give Russian equivalents):

a)  total production

b)  total employment

c)  the rate of change of overall prices

d)  GDP

e)  national income

f)  personal income

g)  personal disposable income

5.   Are you able to answer the following macro-economic questions (If not, explain why it is impos­sible):

1.  What determines the spending of all consumers?

2.  What determines the capital spending?

3.  What determines the capital spending of all firms?

Questions for discussion:

1.   Was there a difference between macroeconomics and microeconomics in the Soviet economics? In 18th century? In 19^th century?

2.  What is more important for economy in general -microeconomics or macroeconomics?

3.  Is there a difference in analyzing macroeconomic and microeconomic problems?

Text 2.

Microeconomics.

The word «micro» means small, and microeconomics means economics in the small. The optimizing behavior of individual units such as households and firms provides the foundation for microeconomics.

Microeconomists may investigate individual markets or even the economy as a whole, but their analyses are derived from the aggregation of the behavior of individual units. Microeconomic theory is used extensively in many areas of applied economics. For example, it is used in industrial organization, labor economics, international trade, cost-benefit analysis, and many other economic subfields. The tools and analyses of microeconomics provide a common ground, and even a language, for economists interested in a wide range of problems.

At one time there was a sharp distinction in both methodology and subject matter between microeconomics and macroeconomics.

The methodological distinction became somewhat blurred during the 1970s as more and more macro-economic analyses were built upon microeconomic foundations. Nonetheless, major distinctions remain between the two major branches of economics. For example, the microeconomist is interested in the determination of individual prices and relative prices (i.e., exchange ratios between goods), whereas the macro-economist is interested more in the general price level and its change over time.

Optimization plays a key role in microeconomics. The consumer is assumed to maximize utility or satisfaction subject to the constraints imposed by income or income earning power. The producer is assumed to maximize profit or minimize cost subject to the technological constraints under which the firm operates. Optimization of social welfare sometimes is the criterion for the determination of public policy.

Opportunity cost is an important concept in microeconomics. Many courses of action are valued in terms of what is sacrificed so that they might be undertaken. For example, the opportunity cost of a public project is the value of the additional goods that the private sector would have produced with the resources used for the public project.

Theory of the Consumer

The individual consumer or household is assumed to possess a utility function, which specifies the satisfaction, which is gained from the consumption of alternative bundles of goods. The consumer's income or income-earning power determines which bundles are available to the consumer. The consumer then selects a bundle that gives the highest possible level of utility. With few exceptions, the consumer is treated as a price taker — that is, the consumer is free to choose whatever quantities income allows but has no influence over prevailing market prices. In order to maximize utility the consumer purchases goods so that the subjective rate of substitution for each pair of goods as indicated by the consumer's utility function equals the objective rate of substitution given by the ratio of their market prices. This basic utility-maximization analysis has been modified and expanded in many different ways.

Theory of the Producer

The individual producer or firm is assumed to possess a production function, which specifies the quantity of-output produced as a function of the quantities of the inputs used in production. The producer's revenue equals the quantity of output produced and sold times its price, and the cost to the producer equals the sum of the quantities of inputs purchased and used times their prices. Profit is the difference between revenue and cost. The producer is assumed to maximize profits subject to the technology given by the production function. Profit maximization requires that the producer use each factor to a point at which its marginal contribution to revenue equals its marginal contribution to cost.

Under pure competition, the producer is a price taker who may sell at the going market price whatever has been produced. Under monopoly (one seller) the producer recognizes that price declines as sales are expanded, and under monopsony (one buyer) the producer recognizes that the price paid for an input increases as purchases are increased.

A producer's cost function gives production cost as a function of output level on the assumption that the producer combines inputs to minimize production cost. Profit maximization using revenue and cost functions requires that the producer equate the decrement in revenue from producing one less unit (called marginal revenue) to the corresponding decrement in cost (called marginal cost). Under pure competition, marginal revenue equals price. Consequently, the producer equates marginal cost of production to the going market price.

Vocabulary

behavior - поведение                       

to investigate - исследовать                      

monopsony - монопсония (рынок, на котором выступает лишь один покупатель товара, услуги или ресурса)

constraints - ограничение, теснение

applied economics - прикладная экономика                         

subject - предмет, субъект                            

distinction - отличие                

matter - вопрос, материал  ресурса;

opportunity cost - альтернативные издержки

to blur -затуманивать, размывать

to sacrifice  -  пожертвовать, приносить в жертву

to remain - оставаться              

exchange ratio - ставка (соотношение) обмена            

optimization - оптимизация       

utility - полезность              

utility function - функция полезности                             

satisfaction - удовлетворение  

to undertake - взять на себя

to allow - позволять, разрешать

to influence - влиять

to maximize - максимально увеличивать

revenue – доходы

General understanding:

1.  What is, according to the text, microeconomics?

2.  What is meant by «economics in the small»?

3.   What economic phenomena are of microeconomists attention?

4.  Where is microeconomic theory used?

5.  What is «optimization»?

6.  What is the concept of the theory of consumer?

7.  What is the major difference between the theory of consumer and the theory of producer?

1.  Find equivalents in Russian:

a)   optimizing behavior of individual units

b)   industrial organization

c)   labor economics

d)   international trade

e)   cost-benefit analysis

f)    sharp distinction in both methodology and subject matter

g)   subjective rate of substitution

2.  Translate into Russian:

A. Microeconomic theory is used extensively in many areas of applied economics.

B. Their analyses are derived from the aggregation of the behavior of individual units.

C. The consumer then selects a bundle that gives the highest possible level of utility.

D. The consumer is free to choose whatever quantities income allows but has no influence over prevailing market prices.

E. The producer equates marginal cost of production to the going market price.

F. The producer recognizes that price declines as sales are expanded.

G. Under pure competition, the producer is a price taker who may sell at the going market price whatever has been produced.

3. Give definition to the following:

a)  microeconomics

b)  applied economics

c)  optimization

d)  opportunity action

e)  utility maximization

Questions for discussion:

1. What areas of applied economics are of the most importance?

2. What distinction in methodology between macro - and microeconomics is the most distinctive?

3. Does the author's concept of theories of consumer and producer comply with your own?

UNIT II.

THE LAWS OF ECONOMICS

Text 1.

The law of demand

Demand is a key concept in both macroeconomics and microeconomics. In the former, consumption is mainly a function of income; whereas in the latter, consumption or demand is primarily, but not exclusively, a function of price. This analysis of demand relates to microeconomic theory.

The theory of demand was mostly implicit in the writings of classical economists before the late nineteenth century. Current theory rests on the foundations laid by Marshall (1890), Edgeworth (1881), and Pareto (1896). Marshall viewed demand in a cardinal context, in which utility could be quantified. Most contemporary economists hold the approach taken by Edgeworth and Pareto, in which demand has only ordinal characteristics and in which indifference or preferences become central to the analysis.

Much economic analysis focuses on the relation between prices and quantities demanded, the other variables being provisionally held constant. At the various prices that could prevail in a market during some period of time, different quantities of a good or service would be bought. Demand, then, is considered as a list of prices and quantities, with one quantity for each possible price. With price on the vertical axis and quantity on the horizontal axis, the demand curve slopes downward from left to right, signifying that smaller quantities are bought at higher prices and larger quantities are bought at lower prices. The inverse relation between price and quantity is usually called the law of demand. The law rests on two foundations. One is the theory of the consumer, the logic of which shows that the consumer responds to lower prices by buying more. The other foundation is empirical, with innumerable studies of demand in actual markets having demonstrated the existence of downward-sloping demand curves.

Exceptions to the law of demand are the curiosa of theorists. The best-known exception is the Giffen effect — a consumer buys more, not less of a commodity at higher prices when a negative income effect dominates over the substitution effect.

Another is the Vehien effect — some commodities are theoretically wanted solely for their higher prices. The higher these prices are, the more the use of such commodities fulfills the requirements of conspicuous consumption, and thus the stronger the demand for them.

Vocabulary

in the former - в прошлом   

demand curve - кривая спроса

implicit - подразумевающийся

to slope down — спускаться               

to signify - означать, выражать

hold the approach - придерживаться взглядов 

approach - подход

substitution effect - эффект  замещения

provisionally — временно           

list - список, перечень        

conspicuous consumption — потребление заметное

vertical —вертикальный           

General understanding:

1.  What is «demand»?

2.  What is the current theory of demand based on?

3.   What prominent economists contributed to the development of the theory of demand?

4.  How is it possible to show the interrelation of price and quantities consumed?

5.  What is «Giffen effect»?

6.  What is Vehien effect?

1. Find equivalents in Russian and write two sentences with each:

a)   key concept

b)   consumption

c)   empirical foundation

d)   curiosa of theorists

e)   of a commodity at higher prices

f)   strong demand

g)   quantities of a goods

h)   ordinal characteristics

i)   conspicious consumption

2. Complete the table:

PERSONALITY	YEAR	IDEAS

3.   Which is not true about the law of demand:

A. Consumption is the key concept of microeconomics.

B. Classical  economists contributed  a lot to  the development of the theory of demand.

4. Translate into Russian:

A. Much economic analysis focuses on the relation between prices and quantities demanded.

B. Marshall viewed demand in a cardinal context, in which utility could be quantified.

C.   Consumption or demand is primarily, but not exclusively, a function of price.

D.  With price on the vertical axis and quantity on the horizontal axis, the demand curve slopes downward from left to right.

E.  A consumer buys more, not less of a commodity at higher prices when a negative income effect dominates over the substitution effect.

F. Innumerable studies of demand in actual markets having demonstrated the existence of downward-sloping demand curves.

5.  Explain the difference and write one sentence with each:

a)  sign — signify

b)  list - page

c)  quantity — quality

d)  effect — effective

e)  substitute - restitute

f)  conspicuous - curious

6.  Find antonyms to the following:

a)  negative -

b)  possible -

c)  numerable -

d)  vertical -

7. Think of examples of exceptions to the Law of Demand in the contemporary Russia. Write an essay of 100-150 words.

Questions for discussion:

1) Do you agree that «conspicuous consumption» plays the great role in the economy of Russia?

2)   Do you think that the economic crisis and instant and immediate raise of prices in September 1998 in Russia was provoked by a) producers b) consumers c) whole­salers d) traders?

3)   Do you think it is logical that «consumer responds to lower prices by buying more»? Think of an example when consumer believes that prices would go even lower and doesn't react immediately in the expected way.

Text 2.

Changes in consumer demand

Increases or decreases in demand are changes in the quantities that would be bought at any of the possible array of prices. Changes in demand are shifts or movements of the entire demand curve. A shift to the right means an increase in demand. It can come from any one or a combination of the following: a change in consumer desire or taste, sometimes augmented by volumes of advertising; a rise in consumers income; a rise in the prices of-substitutes; or a fall in the prices of complements. Of course, opposite changes in these factors cause a decrease in demand, i.e.. a leftward shift of the entire demand curve. An exception here applies to inferior goods, which are defined as those goods and services bought in smaller amounts as consumer incomes rise.

In an uncertain economy, especially an inflationary one, price expectation can affect demand. For storable commodities, when consumers believe that expected future prices will be higher, buyers tend to increase their current demand and thus tend to make their expectations self-fulfilling.

The demands for durable goods can fluctuate widely over time, as consumers' incomes vary. A durable good has both a stock demand and a flow demand. The stock demand is for the amount that consumers want to hold over a period of years. The flow demand in a given year consists of replacement demand, i.e., for purchases to maintain the stock at some level, and of expansion demand, i.e., for purchases to increase the stock.

Vocabulary

array - массив, множество

shifts -движение, сдвиг, перемена

entire - целый

to augment - увеличивать

volume - объем, количество       

to substitute - заменять       

substitutes - заменители          

complements - дополнители  

inferior goods - низшие блага, товары низкого качества      

amounts - количества     

inflationary - инфляционный

to affect - влиять

storable commodities - товары длительного хранения

self-fulfilling - самовыполняющиеся

to fluctuate- колебаться

stock demand -биржевой спрос

flow demand - текущий спрос

General understanding:

1.  What are increases or decreases in demand?

2.  What does the shift to the right of the demand curve mean?

3.  What are possible causes of the process?

4.  What does the shift to the left of the demand curve mean?

5.  Are there exceptions to the general rule?

6.  How does price expectation affect demand?

7.  What is said about demand fluctuations?

1. Find equivalents in Russian and write two sentences with each:

a)  array of prices

b)   increase in demand

c)   a fall in the prices of complements

d)   price expectation

e)   current demand

f)   replacement demand

g)   flow demand

2.  Translate into Russian:

1)    Changes in demand are shifts or movements of the entire demand curve.

2)  Inferior goods are those goods and services bought in smaller amounts as consumer incomes rise.

3)    In an uncertain economy, especially an inflationary one, price expectation can affect demand.

4)   The stock demand is for the amount that consumers want to hold over a period of years.

3.   Explain the difference between the following words. Write one sentence with each to illustrate the lexical meaning:

a)  able — willing

b)  occur - happen

c)  exceed — prevail

d)  affect - effect

e)  dependent — interdependent

f)   relate — relative - relations

4. The following table shows how words are formed around the verb to produce:

	e	r
produc	t	iv(e)	itv
		ion

Fill the gaps with the words:

a) The publishing house's new _____ is a color daily newspaper.

b) The plant____a new model of car every spring.

c) The___of this worker has gone down over the last 5 years.

d) 486 computer is not as___as Pentium III.

e) The___of computers make huge investments in their industries.

f)  The Board of Governors of State of New York has come to a decision to decrease the___of cheap products.

Questions for discussion:

1. What products could be referred to as inferior?

2. Do you think that the tern inferior goods could be applied to the products of some countries, i.e. China, Turkey, etc.

3. Do you think that it has become traditional in Russia to have a stock of such storable commodities as salt, sugar, soap and matches?

Text 3.

Law of supply.

Supply is a fundamental concept in both macro- and microeconomic analysis. In macroeconomic theory, aggregate supply is mainly a function of expected sales to consumers, businesses, and governments. In microanalysis supply is mainly a function of prices and costs of production. A more complex view of the supply curve for a commodity is its relation between quantities forthcoming and the possible current prices of that commodity, its expected future prices, the prices of alternative goods and services, the costs of the producer, and time.

Opportunity Costs

Incorporated in the supply curve of goods and services are opportunity costs. Economists differ from accoun­tants and from the Internal Revenue Service by including both explicit and implicit costs, or opportunity costs. Implicit costs are mainly business costs for wages, rents, and interest, whereas opportunity costs are the alternative costs of doing something else. A sole proprietor or the owners of businesses should calculate what they forgo in wages, rents, and interest by not working for someone else, or by renting the property they use to others, or by the possibility of converting plant and equipment to alternative investment projects.

The Shape and Position of Supply Curves

In competitive markets the shape, or elasticity of supply, reflects time in the production process, such as the immediate or market period, the short run, and the long run. Elasticity of supply is the relative change in price that induces a relative change in quantity supplied. The supply curve is a line on a diagram where the vertical axis measures price and the horizontal axis is quantity. Usually the coefficient of elasticity is positive, meaning that a rise in price induces an increase in the quantity supplied. In the immediate or market period, a given moment, time is defined as too short to allow for a change in output. The supply curve is vertical, and the coefficient of elasticity is zero.

The short run is defined as a period sufficiently long to permit the producer to increase variable inputs, usually labor and materials, but not long enough -to permit changes in plant and equipment. The supply curve in the short run is less inelastic or more elastic than in the immediate period. The long run permits sufficient time for the-producer to increase plant and equipment.  The longer the  time,  the greater the elasticity of supply.

Changes in supply are shifts in the position of supply curves. An increase in supply is a rightward movement of a supply curve, with more of the commodity being offered for sale at each possible price. Conversely, a decrease in supply shifts the supply to the left. An increase in supply can occur because sellers expect lower prices in the future, or, as in the agricultural sector, because of bountiful crops. The reverse is true of a decrease in supply. Over periods of time long enough for production processes to change, improvements in technology and changes in input prices and productivities are the main causes of changes in supply.

Vocabulary

aggregate supply - совокуп­ное предложение

complex - сложный, комп­лексный

forthcoming - предстоя­щий, ожидаемый

opportunity costs - альтер­нативные издержки

accountant - бухгалтер

explicit - явный, откровен­ный

implicit - подразумеваю­щийся

to calculate -подсчитывать, вычислять, рассчитывать

for(e)go - предшествовать (по времени или в про­странстве)

to convert - обращать, пре­образовывать

shape - форма

given moment - данный мо­мент

sufficiently - достаточно, в достаточной мере

to permit - позволять, раз­решать

variable - переменный, из­менчивый;

a variable - переменная

rightward movement - дви­жение вправо

conversely - наоборот

bountiful crops - обильный урожай

General understanding:

1. What is the difference of the concept of supply in macro— and microeconomics?

2.  What are opportunity costs?

3.  What are implicit costs?

4.  What, according to the text, a sole proprietor or the owners should do?

5.  What does the elasticity of supply show?

6.   What is the difference between the short-time and long-time supply?

7.   Why do changes in the supply affect the position of the supply curve?

1.  Which of the following is not true:

A.  Supply is a concept of macroeconomics.

B. Economists differ from bookkeepers and tax-gatherers because they include also opportunity costs.

C.  The shape of the supply curve provides specialist with the information on elasticity of supply and the reflection of the shareholder.

D.  The supply curve is a line on a diagram where the vertical axis measures price and the horizontal axis is quantity.

E.  Bountiful crops is a cause of increase in supply.

F.   Improvements in technology and changes in input prices and productivities are the main causes of the changes in elastic demand.

2.  Find equivalents in Russian:

a)  fundamental concept

b)  current prices

c)  business costs for wages,

d)  sole proprietor

e)  alternative investment projects.

f)  coefficient of elasticity

g)   a decrease in supply

h)   improvements in technology

3.    Find antonyms for the following words. Write one sentence with each:

a)   expected —

b)   complex —

c)   possible —

d)   future —

e)   competitive —

4.  Find the synonyms of the following:

a)  accountant —

b)  calculate —

c)  permit —

d)  expect —

e)  complex —

f)  opportunity —

g)  businessman —

5.  Define the following terms in English:

a)  aggregate supply

b)  opportunity costs

c)  sole proprietor

d)  elasticity of supply

e)  coefficient of elasticity

Questions for discussion:

1. How do you understand: «Economists differ from accountants and from the Internal Revenue Service»?

2.  In what sphere can a person with the economic education work?

3. What is a better-paid job for economist: applied economics or theoretical research? Give examples to support your opinion.

Unit III.

ECONOMIC SYSTEMS.

Text 1.

An economic system is the way in which a country Uses its available resources (land, workers, natural resources, machinery etc.) to satisfy the demands of its inhabitants for goods and services. The more goods and services that can be produced from these limited resources, the higher the standard of living enjoyed by the country's citizens. There are three main economic systems:

1. Planned economies

Planned economies are sometimes called «command economies» because the state commands the use of resources (such as labour and factories) that are used to produce goods and services as it owns factories, land and natural resources. Planned economies are economies with a large amount of central planning and direction, when the government takes all the decisions; the government decides production and consumption. Planning of this kind is obviously very difficult, very complicated to do, and the result is that there is no society, which is completely a command economy. The actual system employed varies from state to state, but command or planned economies have a number of common features.

Firstly, the state decides precisely what the nation is to produce. It usually plans five years ahead. It is the intention of the planners that there should be enough goods and services for all.

Secondly, industries are asked to comply with these plans and each industry and factory is set a production target to meet. If each factory and farm meets its target, then the state will meet its targets as set out in the five-year plans. You could think of the factory and farm targets to be objectives, which, if met, allow the nation's overall aim to be reached.

A planned economy is simple to understand but not simple to operate. It does, however, have a number of advantages:

• Everyone in society receives enough goods and services to enjoy a basic standard of living.

• Nations do not waste resources duplicating production.

• The state can use its control of the economy to divert resources to wherever it wants. As a result, it can ensure that everyone receives a good education, proper health care or that transport is available.

Several disadvantages also exist. It is these disadvantages that have led to many nations abandoning planned economies over recent years:

• There is no incentive for individuals to work hard in planned economies.

• Any profits that are made are paid to the government.

• Citizens cannot start their own businesses and so new ideas rarely come forward.

• As a result, industries in planned economies can be very inefficient.

A major problem faced by command or planned economies is that of deciding what to produce. Command economies tend to be slow when responding to changes in people's tastes and fashions. Planners are likely to underproduce some items as they cannot predict changes in demand. Equally, some products, which consumers regard as obsolete and unattractive, may be overproduced. Planners are afraid to produce goods and services unless they are sure substantial amounts will be purchased. This leads to delays and queues for some products.

Vocabulary

inhabitants -  жители, на­селение

to own -  владеть

natural resources -природ­ные ресурсы

a large amount -  большой объем

central planning and direction -  центральное планирование и руко­водство consumption - потребление

obviously -очевидно

complicated -  сложный

to have a number of common features -иметь ряд об­щих черт

intention -  намерение

to comply with -    подчи­няться

a production target to meet - производственная за­дача (задание), которую надо выполнить

an objective - цель, задача

an overall aim - общая цель

to enjoy a basic standard of living -  иметь основной уровень жизни

to duplicate production - дублировать производ­ство

to divert - отвлекать (напр., ресурсы на другие цели)

to abandon - отказываться от чего- либо

a major problem faced by command or planned economies - основная проблема, стоящая перед командной или плановой экономикой

changes in tastes and fashions - изменения вкусов и моды

to underproduce - недопроизводить

to regard smth as -воспри­нимать что- либо, отно­ситься к чему- либо как...

obsolete (syn. out of date) -устарелый, вышедший из употребления

to overproduce -перепро­изводить

delays and queues - зд. пере­бои (с товарами) и очереди

1. Answer the questions:

1.  What is an economic system?

2.  What does a standard of living depend on?

3.  What is a planned economy?

4.  What are the main features of a planned economy?

5.  What are the advantages of a planned economy?

6.  What are the disadvantages of a planned economy?

7.  What causes delays and queues for some products?

8.  What are other advantages and disadvantages of a planned economy?

2. Find Russian equivalents to the following:

1.  each factory is set a production target to meet

2.  to divert resources to wherever it wants

3.  new ideas rarely come forward

4.  tend to be slow when responding to changes

З. Find synonyms for the words in italics:

Obsolete products; it can ensure that; it can be very inefficient.

There is no incentive for individuals to work hard in planned economies.

It led to many nations abandoning planned economies over recent years.

4. Find in the text English equivalents for the following:

1.  имеющиеся в распоряжении ресурсы

2.  управлять использованием ресурсов

3.  управление экономикой

4.  отказываться от плановой экономики

5.  иметь высокий жизненный уровень

6.  иметь общие черты

7.  подчиняться 5-летнему плану

8.  значительное количество

9.  ставить производственные задачи

10.  полученная прибыль

11.  стимул к эффективной работе

12.  перебои и очереди

13.  реагировать на изменения спроса

14.  предсказывать изменения спроса

15.  основная проблема, стоящая перед...

5. Translate into English:

1.  Если хозяйство плановое, то работа промышлен­ности подчиняется плану, в котором государство опре­деляет производственные задачи и планирует разви­тие на 5 лет вперед.

2. В плановой экономике покупатели лишены воз­можности влиять на производство товаров.

3. Поскольку значительная доля полученной при­были должна быть выплачена государству, то в усло­виях плановой экономики стимулы работать эффек­тивно невелики.

4. Промышленность часто выпускает непривлека­тельные и старомодные товары, поскольку невозмож­но предсказать изменения моды на 5 лет вперед.

5.  Государство в условиях плановой экономики мо­жет гарантировать своим гражданам образование и медицинское обслуживание.

6. Все крупные решения, касающиеся объема ис­пользуемых ресурсов, структуры и распределения про­дукции, производства и потребления, принимаются центральным плановым органом.

Text 2.

Market economies

In a true market economy the government plays no role in the management of the economy, the government does not intervene in it. The system is based on private enterprise with private ownership of the means of production and private supplies of capital, which can be defined as surplus income available for investment in new business activities. Workers are paid wages by employers according to how skilled they are and how many firms wish to employ them. They spend their wages on the products and services they need. Consumers are willing to spend more on products and services, which are favoured. Firms producing these goods will make more profits and this will persuade more firms to produce these particular goods rather than less favoured ones.

Thus, we can see that in a market economy consumers decide what is to be produced. Consumers will be willing to pay high prices for products they particularly desire. Firms, which are privately owned, see the opportunity of increased profits and produce the new fashionable and favoured products.

Such a system is, at first view, very attractive. The economy adjusts automatically to meet changing demands. No planners have to be employed, which allows more resources to be available for production. Firms tend to be highly competitive in such an environment. New advanced products and low prices are good ways to increase sales and profits. Since all firms are privately owned they try to make the largest profits possible. In a free market individual people are free to pursue their own interests. They can become millionaires, for example. Suppose you invent a new kind of car. You want to make money out of it in your own interests. But when you have that car produced, you are in fact moving the production possibility frontier outwards. You actually make the society better-off by creating new jobs and opportunities, even though you become a millionaire in the process, and you do it without any government help or intervention.

Not surprisingly there are also problems.

Some goods would be underpurchased if the government did not provide free or subsidized supplies. Examples of this type of good and service are health and education. There are other goods and services, such as defence and policing, that are impossible to supply individually in response to consumer spending. Once defence or a police force is supplied to a country then everyone in this country benefits.

A cornerstone of the market system is that production alters swiftly to meet changing demands. These swift changes can, however, have serious consequences. Imagine a firm, which switches from labour-intensive production to the one where new technology is employed in the factory. The resulting unemployment could lead to many social as well as economic problems.

In a market economy there might be minimal control on working conditions and safety standards concerning products and services. It is necessary to have large-scale government intervention to pass laws to protect consumers and workers.

Some firms produce goods and then advertise heavily to gain sufficient sales. Besides wasting resources on advertising, firms may also duplicate one another's services. Rival firms, providing rail services, for example, could mean that two or more systems of rail are laid.

Finally, firms have to have confidence in future sales if they are to produce new goods and services. At certain times they tend to lack confidence and cut back on production and the development of new ideas. This decision, when taken by many firms, can lead to a recession. A recession means less spending, fewer jobs and a decline in the prosperity of the nation.

Vocabulary

to own and run (to manage, to operate) businesses - владеть и управлять бизнесом

to intervene - вмешиваться

private enterprise (entrepreneurship) - частное предпринима­тельство

private ownership (property) of the means of production - частная собственность на сред­ства производства

public property, common ownership - обществен­ная собственность

personal property - лич­ная собственность

state-owned property, state ownership - государ­ственная собственность

private supplies of capital -частный капитал

surplus income available for investment in new business activities - дополнительный доход (излишек дохода), который можно вло­жить (инвестировать) в новое дело (бизнес)

to employ - использовать; предоставлять работу, нанимать

employer -работодатель

employee - служащий

employment - занятость

unemployment - безрабо­тица

to persuade - убеждать

at first view (at first sight) - на первый взгляд

to adjust automatically - автоматически приспо­сабливаться; приводить­ся в соответствие

competitive - конкурентос­пособный

to make the largest profits possible -получить наибольшую возможную прибыль

to pursue one's own interests - преследовать свои интересы

to make money out of it -заработать деньги на этом

to move the production possibility frontier outwards - продвинуть вперед предел производ­ственных возможностей

to make the society better-off - сделать общество более состоятельным

to create new jobs and opportunities - создать новые рабочие места, новые возможности

to underpurchase - недо­статочно раскупать

to provide free or subsidized supplies - обеспечить бесплатное или субсидированное (дотированное) предос­тавление (товаров, услуг)

in response to (in answer to) - в ответ на                      

Large-scale intervention - широкомасштабное вмешательство

a cornerstone -краеугольный камень        

to pass Laws -принимать законы

to alter swiftly - быстро  меняться

to gain sufficient sales -добиться достаточного объема продаж

consequences - последствия       

labour-intensive production - трудоемкое производство                    -      

rival firms - фирмы- конкуренты, соперники

working conditions -  условия работы                      

to have confidence - иметь уверенность

safety standards -нормы  техники безопасности            

to lack confidence -не хватать уверенности                

6. Answer the questions:

1.  What is a market economy?

2. What is the mechanism of producing goods and services in a market economy?

3.  In what way do changing demands affect production in a market economy?

4. What is the main difference between a market economy and a planned economy?

5.  What are the advantages of a market economy?

6.  What are the disadvantages of a market economy?

7. Find the Russian equivalents to the following:

1.  new advanced products;

2.  products which are favoured;

3.  they try to make the largest profits possible;

4.  provide free or subsidized supplies;

5.  produce goods and then advertise heavily;

6.  a firm which switches from labour-intensive production to a new one;

7.  a decline in the prosperity of the nation

8. Find the synonyms for the words in italics:

businesses owned and run by the state; products and services, which are favoured; at first view; production alters swiftly.

9. Find in the text English equivalents for the following:

1.  процветание нации

2.  управление экономикой

3.  быстро меняться

4. широкомасштабное вмешательство правительства

5.  принимать законы

6.  конкурирующие фирмы

7.  автоматически изменяться (приспосабливаться)

8.  быть конкурентоспособным

9.  частные фирмы

10.  фирмы, принадлежащие государству и управля­емые им

11.  краеугольный камень

12.  иметь серьезные последствии для ...

13.  трудоемкое производство

14.  сокращать производство

15.  быть уверенным в ...

16.  не хватает уверенности в ...

17.  дорого платить за что-либо

10. Translate into English:

1. В рыночной экономике невелика или очень мала необходимость в планировании, контроле и широко­масштабном вмешательстве со стороны государства (правительства) в экономический процесс.

2. В условиях рыночной экономики изменения по­требительского спроса играют заметную роль в фор­мировании политики фирм.

3. Чтобы быть конкурентоспособными и увеличи­вать доходы, фирмы должны постоянно изучать спрос и менять свою деятельность в ответ на его изменения.

4.  Чем более модный товар, тем более высокую цену надо за него платить.

5. Некоторые виды услуг, например здравоохране­ние и образование, не могут быть полностью обеспече­ны только частными фирмами.

6.  Рыночная экономика характеризуется частной соб­ственностью на ресурсы и использованием системы рын­ков и цен для управления экономической деятельностью.

7. В такой системе каждый ее участник волен пре­следовать свои собственные интересы; каждая эконо­мическая единица стремится получить наибольший возможный доход на основе индивидуального приня­тия решений.

Text 3.

Mixed economics

Command and market economies both have significant faults. Partly because of this, an intermediate system has developed, known as mixed economies.

A mixed economy contains elements of both market and planned economies. At one extreme we have a command economy, which does not allow individuals to make economic decisions, at the other extreme we have a free market, where individuals exercise considerable economic freedom of choice without any government restrictions. Between these two extremes lies a mixed economy. In mixed economies some resources are controlled by the government whilst others are used in response to the demands of consumers.

Technically, all the economies of the world are mixed. Some countries are nearer to command economies, while others are closer to free market economies.

The aim of mixed economies is to avoid the disadvantages of both systems while enjoying the benefits that they both offer. So, in a mixed economy the government and the private sector interact in solving economic problems. The state controls the share of the output through taxation and- transfer payments and intervenes to supply essential items such as health, education and defence, while private firms produce cars, furniture, electrical items and similar, less essential products.

The UK is a country with mixed economy. Some services are provided by the state (for example, health care and defence) whilst a range of privately owned businesses offer other goods and services.

Vocabulary

significant faults - значительные недостатки

at one extreme... at the other extreme - на  одном полюсе... на другом

to exercise considerable economic freedom of choice — иметь значительную экономическую свободу выбора 

restriction — ограничение                  

whilst [wailst] = while —  в то время как, пока                 

state-controlled industry — промышленность, контролируемая государством  to avoid disadvantages — избегать недостатков

to enjoy the benefits — иметь преимущества, пользоваться преимуществами  to interact — взаимодействовать

to solve economic problems— решать экономические проблемы

a share of the output - доля объеме производства

essential items — товары и услуги первой необходимости

a range of businesses - зд. ряд компаний, фирм               

11. Answer the questions:

1.   Do really pure examples of planned and market economies exist in the world?

2.  What is a mixed economy? What is its aim?

3.  What type of economy has the UK?

4.  What type of economy is in Russia now?

12. Find Russian equivalents to the following:

an intermediate system has developed;

to supply essential items;

the government controls a share of the output

13. Find synonyms to the words in italics:

significant faults,

a range of products;

whilst others are used

in response to the demands of consumers

14. Find in the text English equivalents for the following:

1)  избегать недостатков

2)  частный сектор

3)  налогообложение

4) централизованно принимать экономические решения

5) на одном полюсе — на другом ...

6)  без ограничений

7)  взаимодействовать в решении проблем

8)  пользоваться благами

9)  правительство, возглавляемое ...

15. Translate into English:

1. В реальной действительности экономические систе­мы находятся где-то между чисто рыночной и плановой экономикой. Смешанная экономика — это система, при которой частная собственность и ры­нок, а также правительство и общественные инсти­туты, энергично участвующие в обеспечении эконо­мической стабильности и перераспределении дохо­дов, взаимодействуют в решении экономических про­блем.

UNIT IV.

I. MARKETING.

Text 1.

It is impossible to speak about marketing without understanding what “needs and wants” mean. So let’s begin with the definition of needs and wants. A need occurs when a person feels physiologically deprived of basic necessities like food, clothing, and shelter. A want is a felt need that is shaped by a person’s knowledge, culture, and personality. Effective marketing, in the form of creating an awareness of good product at convenient locations, can clearly shape a person’s wants. 

Marketing is the performance of business activities connected with the flow of goods and services from producers to consumers. Marketing includes the following operations: transporting, storing, pricing, and selling goods. The most important thing in marketing is finding out who the customers are and what they want. Marketing is the process of having the right product at the right time in true right place, the process that brings mutual benefit to customers and vendors.

Transporting means carrying goods from the place of their production to the place of their selling.

Storing is necessary because the consumer desires to buy goods without waiting.

Pricing involves the art of determining what price is the best.

Selling involves helping consumers to discover their needs. Marketers should inform potential buyers of where goods can be bought and how much they cost.

Marketing research is also very important. The following steps are in marketing research: defining the problem, collecting data, compiling data and analyzing the results, advertising.

Marketing operations are very expensive and one should consider the value added through marketing. Marketing becomes too costly only when cost exceeds the value it adds.

1. Ответьте на вопросы.

1.  What process is marketing?

2.  What operations does marketing include?

3.  What is the most important thing in marketing?

4.  What are the main steps in making research?

5.  When does marketing become too costly?

2. Найдите соответствия.

1. business activity	a. выяснить потребности
2. the flow of goods	b. нужный товар
3. to sell goods	c. продавать товары
4. mutual benefits	d. от производителя к покупателю
5. marketing research	e. обоюдная выгода
6. to compile data	f. потребители товаров
7. to define the problem	g. определить проблему
8. from producer to consumer	h. изучение рынка сбыта
9. the fight product	i. собирать данные
10. to discover one’s needs.	j. деловая активность

3. Закончите предложения и переведите их на русский язык.

1. Marketing is the performance of business activities connected with …

2. Marketing includes …

3.  Marketing is the process of...

4. Marketing research steps are as follows: …

5. Marketing operators are very …

4. Переведите предложения на английский язык.

1.      Маркетинг - это деятельность, связанная с прохождением товаров и услуг от производителя к потребителю.

2.      Маркетинг включает в себя такие операции, как транспортировка, складирование, ценообразование и продажа товаров.

3.      Наличие нужного товара в нужном месте в нужное время приносит обоюдную выгоду покупателям и продавцам.

4.      Важную роль в маркетинге играют таки факторы, как определение проблемы, сбор данных, анализ результатов, а также реклама.

5.      Иногда маркетинговые исследования слишком дорогие.

5. Прочтите, переведите и выучите следующие определения.

To buy – to get something by paying money for it.

Consumer – someone who buys and uses products and services.

Goods – things that are produced in order to be sold.

To sell – to give something to someone in exchange for money.

Vendor – someone who sells things, especially on the street.

6. Заполните пропуски данными словами: goods, consumer, vendor, buy, sell. Предложения переведите.

1.     There will be tax increases on a range of … and services.

2.     It will offer a wider choice of goods for the … .

3.     He bought a copy from a newspaper … .

4.     It’s much cheaper … in bulk.

5.     I won’t sell my shares.

7. Составьте предложения на английском языке, используя слова и словосочетания из упражнения 6.

Text 2

Defining marketing

A prominent economist Philip Kotler defines marketing as «a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and values with others.» Marketing research is used to assess the market's response to the firm's marketing inputs which include promotional activities such as price discounting, placement of in-store displays, multimedia advertising, and couponing; expanding distribution; and product development and enhancement. The goal of marketing research is to assist the firm in determining the most effective, i.e. most profitable, mix of marketing inputs given knowledge of the marketplace.

As a formal scientific discipline marketing research began in the early twentieth century with most analyses being based on survey data. In the 1930s, the A. C. Nielsen Company began collecting in-store data using manual audits. Today, with the advent of scanning technology, the amount of timely data available from stores and household panels has grown exponentially. Coincident with this data explosion, the data delivery systems and the techniques used to analyze the data have become increasingly sophisticated. Marketing research is an integral part of organizations in both the consumer durable and nondurable goods sectors, and.in recent years the use of marketing principles has become increasing prevalent among nonprofit and government sectors.

Marketing research is interdisciplinary requiring the knowledge of economists, operations researchers, psychologists, and statisticians. For the economist, the economic theory of consumer behavior and the theory of the firm provide basic building blocks. Marketing research can be viewed as an operational or tactical activity and as a strategic activity. Although both activities require knowledge of the workings of the marketplace at both the macroeconomic and microeconomic levels, tactical -analyses focus on monitoring a product's performance and testing the effectiveness of marketing programs relative to competitors. Strategic research involves selecting and optimizing marketing opportunities.

In order to understand the marketplace, the researcher must define the market in terms of both the geographic unit and the product class and collect data. Data on consumer purchases permit an analyst to determine what was sold and how particular brands performed relative to each other. In addition to sales and price information. causal data assist the analyst in understanding the reason that sales took place. Examples of causal data are -newspaper advertising, which indicates the extent of retailer advertising support, display activity, and coupon ads. Another important source of information for understanding the source of sales is television advertising. Measuring the effects of television advertising is relatively difficult owing to the dynamic effects such advertising has on consumer behavior, however.

Once the data are collected, the analyst may choose to evaluate the information by simply looking at the raw series together over time or compute straightforward measures such as market share in order to arrive at a qualitative assessment of market activity. Statistical models might be estimated in order to address issues such as temporary price reduction, effectiveness, the extent of cannibalization due to promotional activity, i.e. the extent to which sales of one specific product decline as a result of promoting another similar product produced by the same manufacturer, the competitive effects of promotions, differences between markets, competitive pricing points, and long-term price elasticities.

Forecasting is an activity likely to be undertaken by a business economist working in a marketing research department. Conventionally, business economists have been responsible for producing forecasts for the macroeconomic environment or for activity within industry groups. More recently, forecasting movements in mature product categories, in segments within categories, and in brands has increased in importance.

Forecasting the success or failure of new product introductions is also important. New product introductions require a considerable amount of a firms resources, and failure to read the marketplace correctly and early in the development process can lead to costly errors. The development of a new brand begins with the identification of new market opportunities. Consumer survey research directed at identifying the market response to the brand concept and elements of the marketing mix, e.g., pricing, is typically conducted. On the basis of the survey a firm may decide to continue with the development plans for the brand, revise current plans in response to the survey results and retest, or cancel development plans completely. Comparisons may also be made between attitudes toward the new concepts and existing products.

Vocabulary

managerial - управленчес­кий

to assess - оценивать

promotional activities - действия по продвиже­нию товара

price discounting - ценовые скидки

placement - размещение

couponing - использование купонов

enhancement - увеличение, улучшение

survey data - данные осмот­ра, оценки

audits - проверки

advent - появление

coincidence - совпадение

sophisticated -изощренный

prevalent - преобладаю­щий, превалирующий

competitors - конкуренты

 extent - зд. масштаб

source - источник

market share - доля рынка

temporary price reduction - временное снижение цен

effectiveness - эффектив­ность

long-term price elasticities -долгосрочная  эластич­ность цен

success - успех

failure - провал

to cancel - отменять

comparison - сравнение

General understanding:

1.  How does Philip Kotler define marketing?

2.  What is marketing research used for?

3.  What is the goal of marketing research?

4.  When did marketing research begin as a «formal scientific discipline»?

5.  What knowledge does marketing research require?

6.  What are basic steps of marketing research?

7.  According to the text, how can marketing research be viewed?

8.  What are the sources of information of marketing researcher?

1. What is not true about marketing research:

A. Marketing as a formal scientific discipline has its roots in Greece and Rome.

B.   Philip Kotler, a prominent economist, defined marketing research as «a social and managerial process».

C.   Marketing research began in the early twentieth century.

D.   Marketing research requires the knowledge of economists, operation researchers, psychologists and statisticians.

E. The research must understand the location and product class of a certain market in order to understand it.

F. A person working in a marketing research department is a good forecaster.

2.  Give definitions to the following:

a)   marketing

b)   promotional activities

c)   couponing

d)   tactical activity

e)   strategic activity

f)   statistical models

g)   business economist

h)   macroeconomic environment

3.  Translate into Russian:

A. Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and values with others.

B.  Marketing research is used to assess the market's response to the firm's marketing inputs.

C.  Coincident with this data explosion, the data delivery systems and the techniques used to analyze the data have become increasingly sophisticated.

D. Marketing research can be viewed as an operational or tactical activity and as a strategic activity.

E. Forecasting the success or failure of new product introductions is very important.

4. Find equivalents in Russian for:

a)   managerial process

b)   promotional

c)   activities

d)   placement of in-store displays

e)   multimedia advertising

f)   durable and nondurable goods sectors

g)   product class

Questions for discussion:

1.  Is it reasonable to use independent marketing research in small business?

2.  What skills are of the most use for specialist in marketing?

3.  How could marketing research be made less expensive?

Text 3.

Read the text and answer the questions. The text is subdivided into 9 parts, single out the key sentences and make up a summary of each part.

Marketing

Activities involved in getting goods from the producer to the consumer are called Marketing. The producer is responsible for the design and manufacture of goods. Early marketing techniques followed production and were responsible only for moving goods from the manufacturer to the point of final sale. Now, however, marketing is much more pervasive. In large corporations the marketing functions precede the manufacture of a product. They involve market research and product development, design, and testing.

Marketing concentrates primarily on the buyers, or consumers, determining their needs and desires, educating them with regard to the availability of products and to important product features, developing strategies to persuade them to buy, and, finally, enhancing their satisfaction with a purchase. Marketing management includes planning, organizing, directing, and controlling decision making regarding product lines, pricing, promotion, and servicing. In most of these areas marketing has complete control; in others, as in product-line development, its function is primarily advisory. In addition, the marketing department of a business firm is responsible for the physical distribution of the products, determining the channels of distribution that will be used and supervising the profitable flow of goods from the factory or warehouse.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

decision making; pricing, promotion, and servicing, distribution; profitable flow; warehouse; producer, consumer; marketing techniques; final sale; to precede; market research; product development; design and testing; with regard to; availability; to enhance; planning, organizing, directing, controlling.

Tailoring the Product

Merchandise generally similar in appearance, that is, in style or design, but varying in such elements as size, price, and quality is collectively known as a product line. Product lines must be correlated with consumer needs and wants.

In order to develop a line effectively, marketing research is conducted to study consumer behaviour. Changing attitudes and modes of living directly affect the salability of products. For example, the trend to informal dress has changed clothing styles dramatically. The availability or lack of disposable income, i.e. income over and above that spent for basic necessities such as food, shelter, and clothing, affects the buying pattern for so-called luxury products. Similarly, the purchase of durable or long-lived goods, such as refrigerators, automobiles, and houses, may be deferred when the economy is declining and may increase rapidly in periods of prosperity. Staple products, such as food and clothing, tend not to be seriously affected by the business cycle.

The life cycles of products require careful study. Virtually all product ideas lose in time the novelty that initially attracted purchasers of the merchandise. Manufacturers may also accelerate the obsolescence of a product by introducing new, more desirable features. Today consumers expect product innovations and tend to react favourably to new features. Competition between manufacturers of similar products naturally accelerates the speed of changes made in those products.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

merchandise; product line; consumer needs; income; basic salability of products, necessities; luxury products; long-lived goods; to decline; staple products; innovations; competition.

Pricing the Product

The two basic components that affect product pricing are costs of manufacture and competition in selling. It is unprofitable to sell a product below the manufacturer's production costs and unfeasible to sell it at a price higher than that at which comparable merchandise is being offered. Attempts to maintain resale prices were facilitated for many years under federal and state fair-trade laws. These have now been nullified, thereby prohibiting manufacturers from controlling the prices set by wholesalers and retailers. Such control can still be maintained if the manufacturers wish to market directly through their own outlets, but this is seldom feasible except for the largest manufacturers.

Attempts have also been made, generally at government insistence, to maintain product-price competition in order to minimize the danger of injuring small businesses. Therefore, pricing decisions are reviewed by the legal department of the marketing organization.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

federal and state fair-trade laws; wholesalers and retailers; outlets; product pricing; unprofitable; unfeasible; resale prices.

Promoting the Product

Advertising, personal (face-to-face) selling, and sales promotion are the methods for inducing people to buy.

The primary objective of advertising is to presell the product, i.e. to convince consumers to purchase an item before they actually see and inspect it. Most companies consider this function so important that they have allotted extensive budgets and engaged special advertising agencies to develop their program of advertising. By repeatedly exposing the consumer to a brand name or trademark, to the appearance or package of a product, and to special features of an item, advertisers hope to incline consumers toward a particular product. Advertising is most frequently done on television, radio, and billboards; in newspapers, magazines, and catalogues; and through direct mail to the consumers.

As the costs of personal selling have risen, the utilization of salespeople has changed. Simple transactions are completed by clerks. Salespeople are now used primarily where the products are complex and require careful explanation or customized application. For example, in the typical automobile sale, the salesperson's activities generally centre on negotiating price and arranging terms of payment; the actual product has usually already been presold through advertising.

The purpose of sales promotion is to supplement and coordinate advertising and personal selling; this has become increasingly important in marketing. Often it is necessary to work closely with the dealers who handle a manufacturer's products if the products are to move satisfactorily. Displays must be supplied and set up, and cooperative advertising programs may be worked out. Store clerks should be trained in a knowledge of the manufacturer's products. Often the manufacturer must provide services such as installation and maintenance for a specified time period. On the consumer level, sales promotion may involve special inducements such as discount coupons, contests, a premium with the purchase of a product, or a lower price on the purchase of a second item.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

utilization; transaction; customized application; to negotiate price; to arrange terms of payment; dealers; displays; to set up; to work out; store clerks; installation and maintenance; discount coupons, contests, premium; advertising; personal selling; sales promotion; to presell; item; brand name or trademark; package; to incline; direct mail.

Distributing the Product

Some products are marketed most effectively by direct sale from manufacturer to consumer. Among these are durable equipment—for example, computers, office equipment, industrial machinery and supplies, and such consumer specialties as vacuum cleaners, washing machines etc. The direct marketing of products such as cosmetics and household needs is very important. Direct marketing by mail has been expanded to virtually all types of products and services. Working people find it easy to shop in their leisure hours by catalogue, and comparison shopping is made easier because catalogues generally contain extensive product information. For retailers, the use of catalogues makes it possible to do business considerably beyond their usual trading area and with a minimum of overhead. Also important are credit cards, which have made it relatively easy to purchase by mail , telephone or internet even such high-priced items as appliances, electronic equipment, and cameras. Television is a potent tool in direct marketing because it facilitates the demonstration of products in use. Direct sale of all kinds of goods to the public via home-shopping clubs broadcasting on cable television channels is gaining in popularity. Also carving its own niche is telephone marketing, called telemarketing, a technique used in selling to businesses as well as to consumers. Most consumer products, however, move from the manufacturer through agents to wholesalers and then to retailers, ultimately reaching the consumer. Determining how products should move through wholesale and retail organizations is another major marketing decision.

Wholesalers distribute goods in large quantities, usually to retailers, for resale. Some retail businesses have grown so large, however, that they have found it more profitable to bypass the wholesaler and deal directly with the manufacturers or their agents. Wholesalers first responded to this trend by adapting their operations so that they moved faster and called for a lower margin of profit. Small retailers fought back through cooperative wholesaling, the voluntary banding together of independent retailers to market a product. The result has been a trend toward a much closer, interlocking relationship between wholesaler and independent retailer.

Transporting and warehousing merchandise are also technically within the purview of marketing. Products are often moved several times as they go from producer to consumer. Products are carried by rail,truck,ship,airplane, and pipeline. Efficient traffic management determines the best method and timetable of shipment for any particular product.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

transporting and warehousing merchandise; timetable, direct sale; durable equipment; leisure hours; to shop by catalogue; retailers; credit cards; to purchase by mail or telephone; high-priced items; gain in popularity; telemarketing; to bypass; interlocking relationship.

Services and Marketing

Services, unlike products, are intangible commodities. A service is the provision of work, accommodations, or ministrations desired by a consumer. Services familiar to most consumers are in the fields of maintenance and repair, transportation, travel, entertainment, education, and medical care. Business-oriented services include computer applications, management consulting, banking, accounting and legal services, stock brokerage, and advertising.

Services, like products, require marketing. Usually, service marketing parallels product marketing with the exception of physical handling. Services must be planned and developed carefully to meet consumer demand. For example, in the field of temporary personnel, a service that continues to increase in monetary value, studies are made to determine the types of employee skills needed in various geographical locations and fields of business. Because intangibles are more difficult to sell than physical products, promotional campaigns for services must be even more aggressive than those for physical commodities. Through extensive promotion, temporary-personnel agencies have convinced many companies that hiring on a temporary basis only in times of need is more economical than hiring permanent, full-time personnel.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

computer applications; management consulting; banking; accounting and legal services; stock brokerage; and advertising; to meet consumer demand; intangibles; promotional campaigns; temporary-personnel agencies; full-time personnel; maintenance and repair; transportation; travel; entertainment; education; a medical care; business-oriented.

Marketing Research

Marketing research involves the use of surveys, tests, and statistical studies to analyze consumer trends and to forecast the quantity and locale of a market favourable to the profitable sale of products or services. The social sciences are increasingly utilized in customer research. Psychology and sociology, for example, by providing clues to people's activities, circumstances, wants, desires, and general motivation, are keys to understanding the various behavioural patterns of consumers.

Coupled with applications from the social sciences has been the introduction of modern measuring methods when surveys are made to determine the extent of markets for a particular product. These methods include the use of statistics and the utilization of computers to determine trends in consumers' desires for various products.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

consumer trends; forecast; behavioural patterns; measuring methods; surveys, tests, and statistical studies.

Forces Affecting Modern Marketing

An important influence in marketing theory is the continuous and rapid change in consumer interests and desires. Consumers today are more sophisticated than those of past generations. They attend school for much longer; they are exposed to newspapers, magazines, movies, radio, television, and travel; and they have much greater interaction with other people. Their demands are more exacting, and their taste changes more volatile. Markets tend to be segmented as each group calls for products suited to its particular tastes. «Positioning» the product—that is, determining the exact segment of the population that is likely to buy a product, and then developing a marketing campaign to enhance the product's image to fit that particular segment—requires great care and planning.

Competition also has sharply intensified, as the number of firms engaged in producing similar products has increased. Each firm tries to differentiate its products from those of its competitors. Profit margins, meaning the profit percentages made by a business per dollar of sales, are constantly being lessened. While costs continue to rise, competition tends to keep prices down. The result is a narrowing spread between costs and selling prices, and an increase in a business' sales volume is necessary to maintain or increase profit.

The consumer movement, that is, the insistence on reputable products and services by consumer groups, gives every indication of becoming a permanent influence on marketing techniques. Both consumer groups and government agencies have intensified their scrutiny of products, challenging such diverse elements as produ'ct design, length and legitimacy of warranty, and promotional tactics. New legislation has generally defined and extended the manufacturer's responsibility for product performance.

Ecological concerns have also affected product design and marketing, especially as the expense of product modification has increased the retail cost. Such forces, which have added to the friction between producer and consumer, must be understood by the marketer and integrated into a sound marketing program.

Even the way a firm handles itself in public life, that is, how it reacts to social and political issues, has become significant. The public's dissatisfaction with the actions and attitudes of a firm has sometimes led to a reduction in sales; conversely, consumer enthusiasm, generated by a firm's intentional establishment of a good public image or public relations, has led to increased sales.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own.

scrutiny; product design, length and legitimacy of warranty, and promotional tactics; product modification; retail cost; reacts to social and political issues; to be exposed to smth; to suit; to fit; profit margins; to keep prices down; permanent influence.

The Marketing Profession

Perhaps nothing is more conducive to the success of a firm than the image that it conveys of itself to the public. The marketing activities of a company, because they act directly on the consumer, do most to shape this image and thus must be developed with great care. As marketing has become increasingly more complex, a need has arisen for executives trained in the social sciences who also possess statistical, mathematical, and computer backgrounds. Many colleges and universities now have programs designed to train marketing executives. Courses are offered at the undergraduate and the graduate level in such specialized fields as advertising, administrative practices, financial management, production, human relations, retailing, and personnel administration.

Give Russian equivalents for the following words and expressions from the text and use them in the sentences of your own:

background; undergraduate and the graduate' level; administrative practices; personnel administration.

Answer the guestions:

1.  Give the definition of marketing.

2.  What are the main marketing constituents?

3.  Are there factors influencing the salability of products? What are they?

4.  What affects product pricing?

5.  Where can pricing decisions be reviewed?

6.  How can people be induced to buy products?

7.  What is known as the primary objective of advertising?

8.  Which sources of advertising do you know?

9.  What is the purpose of sales promotion?

10. Are there any special inducements, which sales promotion uses on the consumer level?

11.  There is a number of ways to distribute products. What are they?

12.  Has there been any disagreement between wholesalers and retailers?

13.  What is a service? What do business-oriented services include?

14.  Why must promotional campaigns for services be more aggressive than those for physical goods?

15.  What does marketing research involve?

16.  How do social sciences help in marketing research?

17.  What do measuring methods include?

18.  Are consumers today more sophisticated than those of past generations?

19.  What does «positioning» of the product mean?

20.  Why are marketing programs so necessary today?

Text 4.

Marketing Plan For Small Manufacturers

Successful marketing starts with you, the owner-manager. You have to know your product, your market, your customers, and your competition.

Before you plan production, you have to decide who your market is, where it is, why they will buy your product, whether it is a growth or static market, if there are any seasonal as­pects of the market, and what percentage of the market you will shoot for in the first, second, and third year of operation. Your production goals and plans must be based on and be re­sponsive to this kind of fact finding (market feasibility and research).

In some directories, marketing information is listed according to the Standard Industrial Classification (SIC) of the product and industry. The SIC classifies firms by the type of ac­tivity they're engaged in, and it is used to promote the uniformity and comparability of sta­tistical data relating to market research. When you begin your market research, you may find it useful to have already classified your products according to this code.

1. Market area

Where and to whom are you going to sell your product?

Describe the market area you will serve in terms of geography and customer profile.

2. Who are your competitors?

List your principal competitors selling in your market area, estimate their percentage of market penetration and dollar sales in that market, and estimate their potential loss of sales as a result of your entry into the market.

3. How do you rate your competition?

Try to find out the strengths and weaknesses of each competitor. Then write your opinion of each of your principal competitors, their principal products, facilities, market­ing characteristics, and new product development or adaptability to changing market con­ditions. Have any of your competitors recently closed operations or have they withdrawn from your market area?

4. Advantages over competitors

On what basis will you be able to capture your projected share of the market. What ad­vantages do your products enjoy over those offered by competitors. Analyze each charac­teristic. For example, a higher price may not be a disadvantage if the product is of higher quality than your competitor's. Also, the unique characteristics of your product can be the basis for advertising and sales promotion. You should address:

1)   Price                                                             6) Ease of operation or use

2)   Performance                                                 7) Ease of maintenance or repair

3)   Durability                                                     8)  Ease or cost of installation

4)   Versatility                                                     9)  Size or weight

5)   Speed or accuracy                                        10) Styling or appearance

5. Distribution

How will you get your product to the ultimate consumer? Will you sell it directly through your own sales organization or indirectly through manufacturer's agents, brokers, wholesal­ers, and so on? What will your method of distribution cost you?

6. Market trends

What has been the sails trend in your market area for your principal products over the last 5 years? What dо you expect it to be 5 years from now?

7. Share of the market

What percentage of total sales in your market area do you expect to obtain for your products after your facility is in full operation?

8. Sales volume

What sales volume do you expect to reach with your products?

1.   Find the English equivalents to the following Russian expressions:

1.   заниматься какой-либо деятельностью        8.  простота в обслуживании

2.   обеспечить однородность и                          9.  разнообразие

сравнимость данных                                          10. конечный потребитель

3.   оборудование                                                 11. оптовики  

(приспособления, аппаратура)                               12. объем продаж

4.   осуществимость                                                13. справочник

5.   длительность эксплуатации                             14. стоимость установки

6.   с точки зрения географии                                 15. фактические данные^-

7.   основа для рекламы

2. Find sentences equivalent to these:

1.   What is prospective size of the market sector you are going to occupy?

2.   Evaluate what share of the market is taken by your competitors.

3.  Hindrances (помехи) are provided to the rivals due to the fact that a new competitor ap­peared at the market.

4.   What is so good about your product as compared with the competitors?

3.  Find words appropriate to these definitions from those given below:

1. When some product can last for years without breaking down, we can say that it possesses

2.  End user can otherwise be called_____.

3. In order to be sold in changing market conditions, one of your product's characteristics must be_____.

4.  When a number of things is perfected in a similar manner, we call it_____.

5.  A person selling the same products as you do, is called your_____.

6.  The people selling products in consignments are called ______ .

versatility, wholesalers, durability, rival, ultimate consumer, uniformity

4.  Translate the dialogue.

-  Я собираюсь начать свое дело. Мне неинтересен посреднический (mediator) бизнес. Я не хочу продавать то, что уже изготовлено другими. Я хочу быть производителем товаров для здоровья.

-  Надо изучить рынок. Боюсь, что вы столкнетесь с большой конкуренцией. Столько фирм занимаются этим. Почему вы считаете, что ваш товар будет лучше чем у дру­гих?

- Я смогу обеспечить лучшее качество. Много специалистов в области здравоохране­ния будут сотрудничать со мной. Помимо этого, у меня есть доступ (access) к более дешевому сырью (raw materials).

- Неужели вы думаете, что ваше вхождение на рынок - потенциальное снижение сбы­та у конкурентов? Ваших товаров никто еще не знает. Сможете ли вы захватить на­меченную вами долю рынка? Вам придется продавать вашу продукцию слишком дешево.

- Не думаю. Высокая цена может не быть недостатком, если товар более высокого качества, чем у конкурентов.

5. Finish the following relative clauses and translate them. The first one is done for you as an example:

1.    Activities they are engaged in are very versatile.

Виды деятельности, которыми они занимаются, очень разнообразны.

2.   The share of business you want to capture is ...

3.   The products they are going to promote are ...

4.    Facilities the firm distributes are...

5.   The market research we want to begin is ...

6.   The data we have classified are ...

DISCUSSION POINTS  Work in pairs.

1.    You are a small manufacturer. Discuss your advantages over competitors with your part­ners.

2.    Discuss product distribution problems of your firm.

3.   Write your opinion of one of your prospective competitors. Discuss it with your friend.

II. MANAGEMENT.

Read the text and give the characteristic of man­agement functions.

Management functions

Management plays a vital role in any business or organized activity. Management is composed of a team of managers who have charge of the organization at all levels. Their duties include making sure company objectives are met and seeing that the business operates efficiently. Regardless of the specific job, most managers perform four basic functions. These management functions are planning, organizing, directing, and controlling.

Planning involves determining overall company objectives and deciding how these goals can best be achieved. Managers evaluate alternative plans before choosing a specific course of action and then check to see that the chosen plan fits into the objectives established at higher organizational levels. Planning is listed as the first management function because the others depend on it. However, even as managers move on to perform other managerial functions, planning continues as goals and alternatives are further evaluated and revised.

Organizing, the second management function, is the process of putting the plan into action. This involves allocating resources, especially human resources, so that the overall objectives can be attained. In this phase managers decide on the positions to be created and determine the associated duties and responsibilities. Staffing, choosing the right person for the right job, may also be included as part of the organizing function.

Third is the day-to-day direction and supervision of employees. In directing, managers guide, teach and motivate workers so that they reach their potential abilities and at the same time achieve the company goals that were established in the planning process. Effective direction, or supervision, by managers requires ongoing communication with employees.

In the last management function, controlling, managers evaluate how well company objectives are being met. In order to complete this evaluation, managers must look at the objectives established in the planning phase and at how well the tasks assigned in the directing phase are being completed. If major problems exist and goals are not being achieved, then changes need to be made in the company's organizational or managerial structure. In making changes, managers might have to go back and replan, reorganize, and redirect.

In order to adequately and efficiently perform these management functions, managers need interpersonal, organizational, and technical skills. Although all four functions are managerial duties, the importance of each may vary depending on the situation. Effective managers meet the objectives of the company through a successful combination of planning, organizing, directing, and controlling.

1. Give the Russian equivalents to these words and word combinations from the text and use them in your own sentences.

To have charge of, basic functions, planning, organizing, directing, controlling, to involve in smth, to achieve company objectives/goals; to evaluate alternative plans, to fit into, to depend on smth, to move on, allocating resources, human resources, duties and responsibilities, staffing, a day-to-day direction, potential abilities, ongoing communication, an employee, to assign, to replan, interpersonal, organizational, and technical skills.

2. Refer to the text from task 10 to help you complete the outline.

MANAGEMENT FUNCTIONS

A.  Planning (= determining overall company objectives and how to achieve them).

1. Managers:

a. evaluate alternative plans before____________________

b. check_________________________________________

Planning is first because____________________________

It continues______________________________________

B. Organizing (=__________________________________)

1. Involves_______________________________________

2.  Managers:

a. decide on ______________________________________

b. choose the right person for the right job (=__________)

С. _______________(=____________________________)

1.  Managers:

a.__________________=>

b. __________________=> workers

с __________________=>

2.  Effective direction requires_______________________

D._____________________(=_____________________)

1. Managers look at:

a.______________________________

b.______________________________

3. Read the interview and retell it.

Manager: Well, I usually work in my office, of course. I spend a lot of time on the telephone and dealing with the post. I have to report to the General Manager every day to tell him what I am doing and why. I also have to meet the Finance Manager- twice a week- to discuss figures. The sales figures from each of our branches come in monthly, so every month, I have to check them very carefully to see if we have reached our targets. If we are below target, as happens sometimes, then I visit the branch and talk to the Branch Manager about it. I occasionally travel abroad too, when we have international Trade Fairs or important meetings with our parent company.

Reporter: Do you ever meet the customers themselves?

Manager: Oh yes. Quite often. The important customers, such as the Government, always deal directly with me.

Reporter: What else do you do?

Manager: Well, there are the quarterly financial reports to prepare, and once a year we have our Annual General Meeting where we discuss the past year vied fix the targets for the next year.

Reporter: How often do the company’s annual sales figures fall below the target?

Manager: Oh, never!

4. Read and act out the dialogue. Discuss the prob­lem raised in the dialogue. Make a story on the basis of the dialogue.

WHAT MAKES A GOOD MANAGER?

Mr. Klimov: One hears over and over again that what a modern enterprise needs is a good manager. What do you think of the problem?

Mr. Sage: The importance of a good manager can't be overestimated.

Mr. Klimov: What do you think makes a good manager?

Mr. Sage: First of all high standards of professional knowledge and personal conduct.

Mr. Klimov: What personal traits must a good manager have?

Mr. Sage: A good manager must be flexible, must have confidence in himself and others, and keep a sense of proportion. Besides, he must have a leading ability.

Mr. Klimov: I see, and what professional skills should managers have?

Mr. Sage: Managers must know how to set goals and how to achieve them, how to divide work and how to coordinate the activities of individuals. They must know how to take corrective action if the organization is not, progressing towards its goals.

Mr. Klimov: Management is often called the art of getting things done through people. What's your point of view on the essence of management?

Mr. Sage: The essence of management is to create an environment where individuals, working together, can perform effectively and efficiently. Nowadays managers must be more skilled in handling people.

Mr. Klimov: Yes, managers must understand that human resources are a very important part of any business. The manager's job is very interesting, isn't it?

Mr. Sage: Yes, and given the opportunity I would choose the same career again.

UNIT V.

BUSINESS CORRESPONDENCE.

   Деловую жизнь невозможно представить без документов. Это может быть письмо(letter), факсимильное сообщение (fax message), докладная (internal memorandum), памятная записка (memo), контракт (contract), рекламация (complaint), пресс-релиз (press-releases), резюме (resume or CV), описание вакансии (vacancy note), повестка дня (agenda), протокол (minutes), счет фактура (invoice) и другие документы.

Business Letters

Деловые письма можно разделить на следующие группы:

1.Information letter	информационное письмо
2. Inquiry/enquiry	запрос
3. Offer	предложение
4. Request	просьба
5. Order	заказ
6. Confirmation of order	подтверждение заказа
7. Accepting an order	принятие заказа
8. Reminder (first/seconr/final)	напоминание (первое, второе последнее)
9. Refusal	отказ
10. Apology	извинение
11. Complaint	жалоба, рекламация
12. Letter of intent	письмо о намерении
13. Advertising	письмо-реклама
14. Letter of agreement	письмо о соглашении
14. Cover letter/covering letter	сопроводительное письмо
15. Job application	заявление об устройстве на работу
16. Invitation to an interview	приглашение на собеседование
17. Testimonial/ letter of recommendation	рекомендация; характеристика, рекомендательное письмо

Useful Information for Business Correspondence

Три главных правила написания деловых писем – ясность, краткость, вежливость.

 Business Letter Format

Block Format (The block format is the simplest format)

Return Address   A

Date   B

Mr. /Mrs. /Ms. /Dr. Full name of recipient.   C

Title/Position of Recipient.

Company Name

Address

Dear Ms. /Mrs. /Mr. Last Name:   D

Subject: Title of Subject   E

Body   F

Closing (Sincerely...),   G

Signature   H

Your Name (Printed)   I

Your Title

Enclosures (2)   J

Typist Initials.   K

A) Your Address: (Not needed if the letter is printed on paper with the company letterhead already on it.): The return address of the sender of the letter so the recipient can easily find out where to send a reply to. Skip a line between your address and the date.

B) Date: Put the date on which the letter was written in the format Month Day Year i.e. August 30, 1981. Skip a line between the date and the inside address (some people skip 3 or 4 lines after the date).

C) Inside Address: The address of the person you are writing to along with the name of the recipient, their title and company name, if you are not sure who the letter should be addressed to either leave it blank, but try to put in a title, i.e. "Director of Human Resources". Skip a line between the date and the salutation.

D) Salutation: Dear Ms. /Mrs. /Mr. Last Name, Dear Director of Department Name: or To Whom It May Concern: if recipient's name is unknown. Note that there is a colon after the salutation. Skip a line between the salutation and the subject line or body.

E) Subject Line (optional): Makes it easier for the recipient to find out what the letter is about. Skip a line between the subject line and the body.

F) Body: The body is where you write the content of the letter; the paragraphs should be single spaced with a skipped line between each paragraph. Skip a line between the end of the body and the closing.

G) Closing: Let's the reader know that you are finished with your letter; usually ends with Sincerely, Sincerely yours, Thank you, and so on. Note that there is a comma after the end of the closing and only the first word in the closing is capitalized. Skip 3-4 lines between the closing and the printed name, so that there is room for the signature.

H) Signature: Your signature will go in this section, usually signed in black or blue ink with a pen.

I) Printed Name: The printed version of your name, and if desired you can put your title or position on the line underneath it. Skip a line between the printed name and the enclosure.

J) Enclosure: If letter contains other document other than the letter itself your letter will include the word "Enclosure." If there is more than one you would type, "Enclosures (#)" with the # being the number of other documents enclosed that doesn't include the letter itself.

K) Reference Initials: If someone other than yourself typed the letter you will include your initials in capital letters followed by the typist's initials in lower case in the following format; AG/gs or AG:gs.

   Clichés, Expressions and Sentences Useful for Business Correspondence

Клише, выражения и предложения, полезные для деловой переписки

1. Обращение
Dear Sirs, Dear Sir or Madam	(если вам не известно имя адресата)
Dear Mr., Mrs., Miss or Ms	(если вам известно имя адресата; в том случае, когда вы не знаете семейное положение женщины, следует писать Ms, грубой ошибкой является использование фразы “Mrs. or Miss”)
Dear Frank,	(В обращении к знакомому человеку)
2. Вступление, предыдущее общение
Thank you for your e-mail of (date)…	Спасибо за ваше письмо от (числа)
Further to your last e-mail…	Отвечая на ваше письмо …
I apologise for not getting in contact with you before now…	Я прошу прощения, что до сих пор не написал вам …
Thank you for your letter of the 5th of March.	Спасибо за ваше письмо от 5 Марта
With reference to your letter of 23rd March …	Относительно вашего письма от 23 Марта …
With reference to your advertisement in «The Times» …	Относительно вашей рекламы в Таймс …
In accordance with your request we …	В соответствии с Вашим запросом мы …
3. Указание причин написания письма
I am writing to enquire about …	Я пишу вам, чтобы узнать …
I am writing to apologise for …	Я пишу вам, чтобы извиниться за …
I am writing to confirm …	Я пишу вам, что бы подтвердить …
I am writing in connection with …	Я пишу вам в связи с …
We would like to point out that …	Мы хотели бы обратить ваше внимание на ...
We are pleased to inform you …	Мы рады сообщить Вам, что …
May we remind that …	Разрешите напомнить Вам, что …
We wish to notify you that …	Мы хотим заметить Вам, что …
4. Просьба
Could you possibly …	Не могли бы вы …
I would be grateful if you could …	Я был бы признателен вам, если бы вы ...
I would like to receive …	Я бы хотел получить …
Please could you send me …	Не могли бы вы выслать мне …
5. Соглашение с условиями.
I would be delighted to …	Я был бы рад ...
I would be happy to …	Я был бы счастлив …
I would be glad to …	Я был бы рад…
6. Сообщение плохих новостей
Unfortunately …	К сожалению …
I am afraid that …	Боюсь, что …
I am sorry to inform you that …	Мне тяжело сообщать вам, но …
We regret to inform you that …	К сожалению, мы вынуждены сообщить вам о …
7. Заключительная форма вежливости
Looking forward to hearing from you.	С нетерпением ждем от Вас письма
Many thanks for your assistance/ attention.	Огромное спасибо за Вашу помощь/внимание
Yours faithfully	преданно Ваш
Yours sincerely,/ Sincerely	искренне Ваш
8. Приложение к письму дополнительных материалов
We are pleased to enclose ...	Мы с удовольствием вкладываем…
Attached you will find ...	В прикрепленном файле вы найдете ...
We enclose …	Мы прилагаем …
Please find attached (for e-mails) …	Вы найдете прикрепленный файл …

   Formatting Envelopes for Business Letters

It is best to type an envelope for a business letter.

Sending company's name and address is sometimes printed here Postage stamp Ms. Maggie Jones Angel Cosmetics Inc. 110 East 25th Street New York NY 10021 USA

The position of the address is the same like in the letter.

Street, Road and Avenue can be written in abbreviations (St), (Rd) (Av).

The postcode/zip code you write under the town

Write the name of the country in CAPITAL LETTERS.

In the corner top left you can find the following phrases:

Air Mail – авиапочтой

Confidential – конфиденциально

Express – экспресс

Please forward – направить далее

Printed Matter

Private/Personal – личное

To be called for – до востребования

Urgent – срочное

Registered– заказное

   Пример письма

MICHAEL WARRENS LTD - 78 Court Street - Nottingham – UK

4th October 2

Mrs Sara Fisher

Manager

18 St. James Avenue 004

Bournemouth HB3 4LN

Our ref: US / HK 1082

Your ref: SP / T

Dear Mrs Fisher,

Your order

We are pleased to acknowledge your order no. 202 dated 1st October 2001. Your order is already dealt with. We will inform you when the consignment is ready for delivery.

Please do not hesitate to contact us if you require further information.

We thank you for your custom and again look forward to being of service to you in the future.

Yours sincerely,

M Warrens (Mr)

 Enc

Тренировочные упражнения.

1. Деловое письмо состоит из приведённых ниже элементов. Расположите их в правильной последовательности

1.closing sentence  2.inside address  3.opening sentence  4.salutation  5. body of the letter  6.complimentary close  7.closing sentence  8.signature  9. sender's address  10. P.S. или Postscript  11.enclosure (enc)  12. reference (Ref)  13. date

2. Прочитайте фрагменты деловых писем, укажите их тип.

a) Following my conversation with the representative in your London showroom, I should be glad if you would send me your new catalogue of portable notebooks.

b) In reply to your request for our Catalogue № 135 we enclose a copy herewith, and we hope you may find it useful.

c) Thank you for letter.

We shall be only too pleased to supply you with display material of our book “The Great General”. We have instructed our advertising department to dispatch immediately 12 show cards and 6 posters.

We are very sorry that we cannot send you a dummy but we have not made one of this title.

d) We are obliged for your letter of May 16, in which you enquire whether our firm is represented in Brazil.

We regret, therefore that, at least for the present, we cannot make use of your offer.

e) Our representative, Mr. John Brain, has informed us that you did not give him your order this season because two pieces in our lat consignment were, in your opinion, not equal to the original quality.

f) Your invoice and two parcels, supposed to contain 50 copies of “The Great General” arrive today. On opening the parcels we fund that one contained 25 copies of “Little Women” ad the other 40 copies of “Cooking without Fat”.

This is the first time in all our dealings with you that any mistake has occurred and we hope you will do the utmost to remedy it. Will you please therefore on receipt of this letter dispatch the correct copies Express and make sure that they reach us tomorrow afternoon.

g) In response to your letter of 17thApril, we thank you for sending us a catalogue of men’s silk shirts.

We are enclosing our Order №144, and would ask you to return its duplicate to us, duly signed as an acknowledgement.

Контрольная работа.

1. Поставьте слова каждой фразы в правильный порядок.

1.to   you   look   I   meeting   forward   2.to   delivery   am   I   confirm   writing

3.letter   please   of   receipt   this   acknowledge   4.of    your   15^th   you   letter   thank   for   April   5.sincerely yours

2. Расставьте знаки препинания в следующем письме.

i have been asked to write a letter of recommendation for ms sue kay i am very pleased to do so so i have known ms kay since 2001 i was her faculty adviser and had her in several of my classes

ms kay is a very capable creative person one with integrity and a high sense of responsibility she approaches a job with a great deal of enthusiasm energy and organizational ability she has worked and lived in several countries italy spain france and sweden and has always adapted readily to new cultures and environments in addition she speaks french and spanish fluently along with her native language english ms kay is a person who is knowledgeable about other cultures and is open to learning more she relates extremely well to people of all ages

i recommend ms kay highly for a job requiring these skills I wish her lots of luck in getting a job.

dr christopher knight

faculty of political sciences

keele university

3. Вставьте соответствующие предлоги в следующие предложения. Переведите предложения на русский язык.

1. We refer … your Order No. 392 and we are glad to inform you that the whole range … the toys has been manufactured. 2. According … your request we are sending you the details … the alterations … delivery schedule.

3. Dear Mr Smith

(1) … reply (2)… your letter (3) … August 25 we have the pleasure (4) … informing you that we have considered your request and found it valid and convincing. Attached (5) … this letter you will find all the data (6) … the subject you are interested (7) … .

I look forward (8) … seeing you here.

Yours sincerely,

N. Simpson

4. Расположите части делового письма в правильном порядке.

a) Your company has been recommended to us by a business association and we are writing to enquire about your translation services. We would be grateful if you could send us your prices and terms of pay.

b) Blocks and Panels, 58 Victoria Street, Salton JK 894

telephone [phone], fax [phone]

4 June 2005

c) Director General, Globus, 15 High Street, Salton Po 576

d) We look forward to hearing from you.

Your faithfully,

_____

Sir Formes

Managing Director

e) Dear Sir/Madam

5. Замените русские слова и выражения в скобках английскими эквивалентами.

1. (С удовольствием высылаем) you a copy of the contract. 2. (Выражаем удовлетворение) your letter of 15 June and send you the range of tours we offer.

3. (Мы рады выслать вам) the samples of greeting cards we have in stock.

6. Ответьте на вопросы, пользуясь информацией на конверте  

New Jersey Power Company 5695 South 23 Road (1) Ridgefield, (2) NJ 08887
	(3) Mr Frederick Wolf Director of Marketing (4) Smith Printing Company 590 (5) Sixth Avenue Milwaukee, (6) WI 53216

a) What is the ZIP Code in the return address?  b) What is the ZIP Code in the mailing address?  c) Who is the addressee?  d) What town does the letter come from?  e) What is the addressee’s company name?  f) What is the street name in the mailing address?

7. Используя приведенные ниже адреса, ответьте, какое из писем направлено:

1) на имя компании; 2) на имя определенного должностного лица компании;

3) не известному вам сотруднику компании, который занимается интересующим вас вопросом; 4) определенному сотруднику компании;

5) на имя человека, чей адрес неизвестен, но известен адрес компании или организации, с которой он поддерживает отношения.

a)  Center of International Health      Boston University School of Public Health     53 Bay State road, Box E     Boston MA 02215     Attention of Dr. Albert James	b)  Mr Edward Beans       c/o WESTLINK Plc       33 Constitution Street       Edinburgh EH6 9AY       Scotland
c)  The Secretary      Toolmaking Company      25 St James’s street      London SW HG	d) Chelsea Business centre     484 Fulham Road     London SW 118 EL     UK
e)  General manager       MarGelt international Group       90/D Peregrine Tower 89 Queensway       Hong Kong

8. Подберите соответствующую формулу вступительного обращения и заключительную формулу вежливости к каждому из внутренних адресов:

1)  The Manageress     Restaurant Buenna Vista     Mar Bella     Mexico     Dear …     Yours …

2)  Prof. John Harrison     Fleets College     33 Hanover Street     Glasgow EH5 7LM     GB     Dear …    Yours …

9. Прочитайте письмо, определите тип письма, добавьте нужную информацию.

Dear Sirs,

We are obliged for your letter of January 23. We regret that we cannot offer you the cameras you enquired about because we do not have them in stock now.

We have, however, a large inventory of other new cameras. We hope that this model might suit you and enclose a free catalogue and a price-list

A fast delivery is guaranteed and we could supply the cameras by the end of August on CIF terms.

We hope that our offer will interest you.

Yours sincerely,

TEXT BANK

1

Boris Baker is an engineer in electronics. He works for the Browns' company. They design and manufacture electronic equipment. Boris is responsible for its technical supervision. He is always very busy. He's got a lot of work to do every day. To put it another way he's head over ears in work. He comes to work in the morning and stays there practically all day long. He is satisfied with his job but he dislikes the fact that he works lоng hours. Very often he stays at work till nine o'clock in the evening. Another bad thing is that his holiday is only 25 days a year. But he enjoys the work he does and the salary he gets.

Alex O'Hara is his friend and colleague. He is in sales. He is Export Sales Manager. At the office Alex writes business letters, looks through the mail, reads cables, talks business on the telephone. He also receives visitors, mostly clients. Sometimes Alex meets foreign businessmen and discusses with them prices for different goods, terms of payment, shipment and delivery. He also takes part in organizing trade fairs and exhibitions. Alex O'Hara finishes his work at 6 o'clock p.m. and goes home. He is always tired after work but he likes it and does it with pleasure.

2

Mr. Brown is a sales manager in a manufacturing business. The company «Farmco» produces high quality farming equipment. It meets up-to-date international standards and now the company is increasing the export of its goods to African countries.

«Farmco» consists of three departments: production department — its manager is in charge of production and service, finance department — its manager is responsible for finance and accounting and marketing and sales department. As a Sales manager Mr. Brown is in charge of selling and advertising.

Mr. Brown works hard and has a lot of things to do during his working day. He looks through the mail; plans and watches every step in the supply of his customers with the goods; employs salesmen, wholesalers and retailers to sell the goods. He sees that the system of distribution works efficiently and economically. Also during the day there are business matters which need his immediate attention. It takes Mr. Brown from two to three hours daily to discuss the questions of prices and discounts with his travelling salesmen. The company covers several countries. Mr. Brown chooses the method of distribution, the frequency of visits to customers, the method of travel by salesmen and solves many other issues.

Each department works to a common end, but sometimes there are arguments about the distribution of responsibilities. Mr. Brown and two other managers regularly hold meetings to discuss the questions of general  importance. Now Mr. Brown and two other managers are having a meeting with the chief executive. The chief executive is explaining to the two other managers that the sales manager has authority to decide any question about the selling campaign, even some issues of manufacturing and financial sections. Clearly, the task of selling is very important for any urgnnization and the responsibilities of a sales manager are heavy.

3

Williams and Sons is a medium-sized British company which manufactures door hinges for the motor industry. The home market share of Williams and Sons is static but overseas trade has always been an attractive option. The company has a showroom and also has always promoted its products at trade fairs, exhibitions and seminars in the UK. They have hail some contacts with overseas buyers and other foreign visitors.

Step by step they have decided through reading, talking and listening to other people that there are export possibilities for the company's product. Several years ago the company decided to study the possibility of selling their product to the US market. First they closely examined several things: their product, human resources, and the prospects of gaining profit.

Then they did more detailed research. The owner of the company attended an international trade exhibition in the US. There he found out the offers of the competitors and met some potential customers. Finally, market research showed that sales opportunities were excellent. The Board of the directors was pleased with the results and decided to get down to business immediately. They made contacts by letter and telephone with possible agents when a crucial problem stopped the work. Their safety and quality tests, quite good for UK and European regulations, were not acceptable in the USA.

Their task was to rewrite test specifications, upgrade their test equipment and retrain personnel.

After long and detailed consultations the Board made the decision to go ahead with the project. Their bank managed to provide additional finance.

The results over the last five years have proven that the Board's decision was correct. Orders from the USA have increased and the company is now considering the possibility of setting up its own manufacturing plant there. The company is also looking forward to other overseas markets.

4

Donald L.Ford has more than 30 years of experience as a CEO, small-business owner, manager and consultant. He and his wife, Susie, started and have successfully been operating retail gift stores. One of the questions they dealt with at the beginning of their business career was to be or not to be in e-commerce.

The last years of the previous millennium saw the meteoric rise of a new phenomenon in retailing - online purchasing. Stocks of Internet start-ups rose but soon investors began to retreat and the year 2000 saw the bankruptcy of many internet companies. Still, there was a growth in the amount of trade through the internet because of its main advantages-speed and convenience of internet shopping. Most major retail chains now have web sites from which one can purchase all or a selection of their goods. Most of the web commerce sites deal in mass-produced goods which consumers may find in Wal-Marts and other main department and discount stores.

Donald and Susie considered e-commerce several times and decided against it. The main reason they went into retail in the first place was the people factor- getting to meet new people, interact with them, get feedback from them and form new personal relationships. There were always many people who wanted to see and feel the items before they bought them.

Lately they have been investigating the pluses and minuses of managing both "real" and "virtual" stores. First because their business has been suffering from competition on the internet. Second, consumers have been asking them if they have a web page. Finally, they don't want to ignore the possibilities of internet marketing any longer. One of them is the provision of outstanding service and the marketing of a unique and one-of-a-kind product. For example, eBay, which serves as "flea markets" on the web. From your computer, you can browse through an unlimited number of unique items, such as antiques and collectibles, look at color photos, and then haggle on the purchase price. Such sites have been attracting a lot of attention.

Of course, even if your site is attractive you benefit from it only if it Is accessible to a large number of potential buyers. It is also necessary to make the right decision about the way to start selling online. That is why Donald and Susie are not in a hurry. They have been looking into their options and investigating similar businesses to get some ideas.

5

The Sales Manager

At one time the word "manager" was just a mere title. "Sales manager" was a salesman whose sufficient knowledge and experience of salesmanship gave him seniority over his fellows.

In these days, however, management is both a science and profession. The sales manager still needs the knowledge and experience of salesmanship, although some very successful sales managers have never been "on the road"; but they should also have the knowledge and experience of management. Doing something oneself and supervising the operations of others are two very different things. It does not mean that if a man can do certain work he can successfully monitor the progress of other sales force.

It is, of course, obvious that the product, the channel of distribution, the market and customer base demand the performance of various functions from the manager. Even if they have no great selling ability or experience, they must have a "selling sense," and creative organizing abilities, and they must have managerial abilities. These are the three fundamental qualities, and it is almost equally important that they should be in well-balanced proportions.

The sales manager must be able to make decisions, and have the courage to put them into action. This may be quite challenging.

He must have the personality of a leader, because he has to inspire his sales force. When a sales manager leads his staff with enthusiasm and goodwill, these qualities benefit the whole organization. Every employee tries to take an important part in the success of work.

A manager is to set a good example. If the manager is unpunctual, the staff is unpunctual; if the manager is lazy and careless, the staff is lazy and careless; if the manager is dishonest, the staff is dishonest as well.

Leadership must be consistent and systematic, and this means that the sales manager must be in close touch with his staff, and accessible to them at all times. The manager who shuts himself up in his room, and avoids his assistants may find things in a very bad shape when he leaves his room for a tour of inspection.

It is also necessary to remember that high education and high achievement in practical affairs don't necessarily go together. A story tells of two schoolboy friends, one brilliant at maths, one completely hopeless, who meet much later when the first is a professor and the second a multi­millionaire. Unable to control his curiosity, the professor asks the figure-blind friend how he managed to find his fortune. 'It's simple,' was the answer. T buy things at £1 and sell them for £2, and from that difference I make a living.' The business world is fun of successful people who live by knowing the difference between a buying price and a selling price. It is also full of clever fools who establish ambitious financial targets but can't achieve them. A Harvard Business School graduate has no reason at all to suppose that he can manage more effectively than a less instructed person.

6

Michael, Patrick Casey's elder son, spent a week in Hollywood as a bonus for his good work at Christmas. He stayed at the Peninsula Beverly hotel and was impressed by top quality accommodation service, 24-hour room service and a wide range of facilities. He had travelled before but that was the first time he liked everything: food, service, accommodation.

Michael managed to talk to AH Mamedov, general manager of Hills the Peninsula Beverly hotel at a welcoming Friday party. Although the Cosy Corner is less expensive, and its guests are not as wealthy and demanding as the guests of the Peninsula there is always room for innovation. This simple (but revolutionary) innovation was an unconventional style that had made the Peninsula Beverly Hills one of the best hotels in southern California. Michael talked with Mamedov about how he kept guests coming back. Mamedov told him that too many people had copied too many other people's best practices. That was a sure route to mediocrity. They had decided to be different.

Many people take flights from Asia, Australia, and New Zealand. They fly all night. They get to Los Angeles at 9 or 10 in the morning. At that point, there is nothing worse than telling them that their room isn't ready. At Mamedov's hotel, they offer a 24-hour-a-day check-in. The moment you arrive — whatever time of day — Mamedov and his colleagues have a room available. The funniest thing is that it was simple to do. And it hadn't cost a penny but required only some small changes. Some of their maids had to come earlier in the morning. That was uncomfortable for a few of them. But for others, it was great, because they could leave earlier. They also work differently. The vacuums that they had used before sounded like 747 engines. That was okay at 10 in the morning, but not at 6. Now they use handhelds.

Michael asked Mamedov about his idea of a good service. The answer was the following." Good service is memorable service. You have five senses. Good service is the sixth. You can't describe it, but you know it when you experience it. Good service is also a culture. You can't teach it. All you can do is to provide fertile ground so that good service can grow there."

Michael was so excited with his experience at the Peninsula that back home he started to think of getting a diploma in hospitality business. He chose Canadian College of Tourism & Hospitality Management in Vancouver which is known in the travel and tourism industry as the leader in quality training. This decision is a good example for his younger brother Jack and a source of pride and hope for his father. Patrick is sure that some day his sons will launch a chain of comfortable and client-responsive motels.

Vocabulary notes

mediocrity — посредственность, заурядность

fertile — плодородный, изобильный

7

What is marketing?

What does the term marketing mean? Most people mistakenly think of market­ing only as selling and promotion. And no wonder. Americans are bombarded with television commercials, newspaper ads, direct mail, and sales calls. Some­one is always trying to sell something. It seems that we cannot escape death, taxes, or selling.

Therefore many students are surprised to learn that selling is only the tip of the marketing iceberg. It is but one of several marketing functions, and  often not the most important one. If the marketer does a good job of identifying consumer needs, developing good products, and pricing, distributing, and pro­moting them effectively, these goods will sell very easily.

Peter Drucker, a leading management thinker, put it this way:

The aim of marketing is to make selling superfluous. The aim is to know and understand the customer so well that the product or service fits him and sells itself.                               

This does not mean that selling and promotion are unimportant, but rather that they are part of a larger "marketing mix", a set of marketing tools that work together to affect the marketplace. Here is our definition of marketing:

Marketing is human activity directed at satisfying needs and wants through ex­change processes.

8.

Accounting.

Accounting has been called “the language of business”. Perhaps a better term is “the language of financial decisions”. The better you understand the language, the better you can manage the financial aspects of living.

Accounting shows firm's financial conditions, it helps to measure the activity of a business. Accounting records give important financial data of the firm and they can be used by managers, independent analysts, auditors and government.

Accounting shows a financial picture of the firm (the enterprise). An accounting department records and measures the activity of a business. Accounting records give very important data. Management, stockholders, creditors, banks and government use them.

Usually accountants of the firm prepare two types of accounting records, namely: income statement and balance sheet. It is necessary to prepare them as they show how money was get and how money was spent by the firm.

In order to know that the firm is operating efficiently and gets profit the accounting department should do ratio analyses.

There are three main types of ratio analyses, namely: ratio dealing with profitability, ratio dealing with assets and liabilities, ratio dealing with the overall financial structure of the firm.

The first ratio analysis is used to measure the firm's operating efficiency.

The second is used to evaluate the current financial position of the firm.

The third one analyses the value of the ownership of the firm.

LEXICAL EXERCISES

1. Ответьте на вопросы.

1.   What is the aim of accounting?

2.  What do accounting records show?

3.  Who uses the data by accounting department?

4.  What types of accounting records do you know?

5.  Why should the accounting department do ratio analyses?

2. Найдите соответствия.

1. accounting	a. доходность
2. income statement	b. пассив
3. measure the efficiency	c. отчет о доходах
4. value of the ownership	d. текущее финансовое положение
5. current financial	e. бухгалтерия
6. assets	f. получать прибыль
7. profitability	g. актив
8. liabilities	h. измерить эффективность
9. balance sheet	i. балансовый отчет
10. get profit	j. стоимость собственности

3. Закончите предложения и переведите их на русский язык.

1.  The purpose of accounting is to show ...

2.  Accountants prepare ...

3. It’s necessary to prepare accounting records as they …

4. There are three main types of …

5.  Ratio analysis is done to know ....

4. Переведите предложения на английский язык.

1.   Бухгалтерский учет необходим, чтобы показать финансовое состояние фирмы.

2.   Существует два типа бухгалтерских отчетов, а именно: отчет о доходах и балансовый отчет.

3.   Для того чтобы знать, что фирма работает эффективно, необходимо проводить анализ относительных показателей.

4.   Существует три типа анализа относительных показателей: прибыльности, актива и пассива, полной финансовой структуры.

5.   Бухучет представляет много важной информации.

5. Прочтите, переведите и выучите следующие определения.

Accounting – someone whose job is to keep and check financial accounts, calculate taxes etc.

Asset – the things that a company owns, that can be sold to pay debts.

Data – information or facts.

Manager – someone whose job to manage part or all of a company or other organization.

Profit – money that you gain by selling things or doing business after your costs have been paid.

6. Заполните пропуски данными словами: accounting, data, manager, asset, profit. Предложения переведите.

1.     She works as an accountant.

2.     Their daily … is usually around $ 500.

3.     The research involves collecting … from two random samples.

4.     He is a general manager of Chevrolet.

5.     Do you know any corporations with $9 billion in …?

7. Составьте предложения на английском языке, используя слова и словосочетания из упражнения 6.

9

Britain's economy power rests on its industries and natural resources. These include the extraction of oil and gas from the North Sea, coal mining, agriculture, textiles, fishing, electronics, tourism, publishing, chemicals and financial service. As part of the European Union Britain enjoys extensive trading relations with its neighbours across the channel as well as with many countries around the world.

The United Kingdom has an economy based mainly on private enterprises. Since 1980 all of the largest public industries have been privatized. They are no longer controlled by the government. Examples are coal, steel, shipbuilding, civil aviation, electricity, gas and water supplies.

The best indicator of an economy's health is its annual total output of goods and services, which is called the gross national product or, simply, GNP. Agriculture accounts for about 3% of the gross national product and employs 2% of the population. Since Roman times the cultivation of wheat has been the main agricultural activity. Fruit growing in the south and sheep rearing in the north are traditional sources of employment. Britain has rich mineral deposits: coal, iron and tin. Oil production has allowed Britain to become self-sufficient in petroleum and accounts for over 5% of Britain's annual GNP. Manufacturing industries now account for one fifth of the GNP and employ less than one-third of the work force. Major manufacturing products include metal goods, ships, motor vehicles, petrochemicals, and other chemicals.

Export of goods and services accounts for as much as one-third of the GNP, and the British merchant navy remains one of the largest in the world. Exports to the countries of the Commonwealth represent approximately one-tenth of the United Kingdom's total exports and ordinarily exceed imports.

LEXICAL EXERCISES

1. Ответьте на вопросы.

1.What does Britain’s economy rest on?

2. The U.K. has an economy based mainly on public enterprises, doesn’t it?

3.What is the GNP?

4.How much of GNP do manufacturing industries account for?

5. How much of GNP does agriculture account for?

2. Найдите соответствия.

1. nation's economy .	а. осуществить индустриализацию
2. to create wealth	b. природные ископаемые
3. to experience industrialization	с. добыча нефти
4. sale of goods	d. торговые отношения
5. natural resources	е. народное хозяйство
6. extraction of oil	f. валовый национальный продукт
7. manufacturing industries	g. составлять
8. gross national product	h. продажа товаров
9. to account for	i. общий годовой выпуск продукции
10. trading relations	j.перерабатывающая промышленность

3. Закончите предложения и переведите их на русский язык.

1. Britain’s economy power rests on …

2. The United Kingdom has an economy based mainly on ...

3. The test indicator of an economy's health is ...

4. Oil production ... over 5% of Britain's annual GNP …

5. The British merchant navy remains …

4. Переведите предложения на английский язык.

1. Лучший индикатор состояния экономики – это ВНП.

2. В Великобритании много полезных ископаемых.

3. Основные товары Великобритании – товары из металла, корабли и химические продукты.

4. В сельском хозяйстве Великобритании работает 2 % населения.

5. У Великобритании обширные торговые связи со многими странами.

5. Прочтите, переведите и выучите следующие определения.

Export – the business of selling and sending goods to other countries.

Import – to bring – product from one country into another so that it can be sold there.

Output – the amount of goods or work produced by a person, machine, factory etc.

Private sector – the industries and services in a country that are owned and run by private companies, and not by government.

Public property – something that is provided for anyone to use and is usually owned by the government.

6. Заполните пропуски данными словами и словосочетаниями: export, import, output, private sector, public property. Предложения переведите.

1.     This company belongs to the … .

2.     In 2001, Britain extorted more cars than it … .

3.     … is up 30% on last year.

4.     … licenses for some goods are strictly controlled.

5.     The army was call out to protect … .

7. Составьте предложения на английском языке, используя слова и словосочетания из упражнения 6.

ЛИТЕРАТУРА.

1. Агабекян И.П., Коваленко П.И. Английский язык для экономистов. Издание 4-е. Серия «Высшее образование». Ростов н/Д: «Феникс», 2004.

2. Английский язык для студентов экономических специальностей. – М.: Книжный Мир, - 2012.

3. Богацкий И.С. , Дюкова Н.М. Бизнес-курс английского языка. – Киев: «Логос», 2001.

4. Гельпей Е.А. Английский язык для экономических колледжей. – Ростов н/Д: “Феникс», 2005.

5. Малый бизнес: Учеб. пособие/ Н.В. Попова, А.Я. Федорова, А.Я. Ятунина. Спб.: Изд-во СПбГТУ, 2001.

Краткое описание документа:

Данное пособие предназначено для студентов экономических специальностей, обучающихся на III курсе очной формы обучения.

Пособие содержит учебный материал по профессионально направленному модулю в соответствии с программой учебной дисциплины ОГСЭ.03 Английский язык и способствует развитию профессиональных компетенций студентов.

Пособие разделено на 5 разделов по темам: экономика как наука, уровни экономики, основные законы экономики, типы экономических систем, менеджмент, маркетинг, деловая переписка. В каждой теме содержатся тексты, диалоги и упражнения экономической направленности с целью развития навыков чтения, извлечения и обработки информации по специальности.

Пособие завершают тексты для дополнительного чтения.

Данное пособие может быть использовано для аудиторной и самостоятельной работы студентов.