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BUSINESS CORRESPONDENCE Communication through exchange of letters is known as correspondence. Business correspondence or business letter is a written communication between two parties. Businessmen may write letters to supplier of goods and also receive letters from the suppliers. Customers may write letters to businessmen seeking information about availability of goods, price, quality, sample etc. or place order for purchase of goods. Thus, business letters may be defined as a media or means through which views are expressed and ideas or information is communicated in writing in the process of business activities.

Definition Business letter / Buss. correspondence: The business letter is the basic mean of communication between two companies. It is estimated that close to 100 million Business Letters are written each workday. It is a document typically sent externally to those outside a company but is also sent internally to those within a company. Business letters are highly useful in introducing trade relations and promoting business transactions. They provide convenient and inexpensive means of communication without personal contacts Most business letters have a formal tone. include a formal salutation and closing. We should write a business letter whenever we need a permanent record. Business writing is more concise than many other types of writing. Business is busythus your letter have to get to the point quickly, support your reasoning, and finish fast. FUNCTIONS/PURPOSE/ Qualities OF BUSINESS LETTERS Business letters serves innumerable and important functions. They are good medium to Promote and sustain transactions and relations. 1.Record and Reference : Functions as permanent record of dealing with customers, suppliers, govt. agencies etc. They serve as ready reference. 2. Evidence of business transactions : It acts a valid document and serves as evidence for the business contracts between two parties. These are authentic proof and fully recognized by courts as these are signed by the MD or other officer holding authority. 3. Public relations : Help in maintaining formal as well as informal business relations even without personal contacts. Business letters help to build goodwill among clients and creditors. Creates positive image of the organisation. 4. Business in Remote : helps to serve business in case of dealing with persons operating in remote areas, where means of transport and communication have not developed or distance is too large to deal with economically.

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According to L.Gartside, there are four main reasons for writing business letters: 1.To provide a convenient and inexpensive means of communication without personal contact. 2.To seek or give information. 3.To furnish evidence of transactions entered into. 4.To provide a record for future reference. PRINCIPLES OF LETTER WRITING /ESSENTIALS OF AN EFFECTIVE BUSINESS LETTERS: 1. Simplicity : Use simple language that is easy to understand and makes an instant appeal to the reader. e.g. 1. Kindly acknowledge receipt of same as per return Simple way is : Please send us a receipt for it without delay 2. I am in receipt of your esteemed favour Simple is : Thank you for your letter. 2. PROMPTNESS- As a rule, respond to the letter the day it is received. If you need time, acknowledge the letter and indicate how soon you will be sending a specific reply. 3. KNOWLEDGE OF THE SUBJECTThis includes the knowledge of the past correspondence, if any the requirements of the sender/receiver of the letter and the knowledge of firms policies. 4. ACCURACY, COMPLETENESS AND CLARITY- All facts, figures, statements, quotations etc must be accurately mentioned. Verify them before including it in the letter. If you are replying to an enquiry, make sure you have touched all the points. The idea to be communicated must be clear 5.COURTESY-It means writing directly to the reader the reader , avoiding the outdated cold style that is devoid of all courtesy and personal touch. Courtesy begets courtesy and smoothens the business. 5. Tactful approach An effective business letter is tactfully planned. Generally good news is conveyed directly and bad news is preceded further by a buffer statement. 6. EMPATHY- means to care about someone's feelings or ideas. To write a good letter, put yourself in the reader's shoes and try to anticipate the reader's reaction to your comments. By doing this, you are more likely to choose more appropriate words and use the correct tone. 7. PERSUASION plan according to the reader's reaction. write with the "you" attitude- the state of mind where you always emphasize the benefits to the reader and subordinate your interests. adjust the language to the reader and use terms and concepts that the reader is familiar with. write positively and with confidence

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8. TONE Tone is the use of accent and inflection to express a mood or emotion in speaking or writing. You can avoid making mistakes with tone by using the following techniques: avoid the "I" attitude by having more emphasis on the reader and not yourself avoid extreme cases of humility, flattery, and modesty avoid condescension ( arrogance) avoid preaching your ideas 9.CONCISENESS- Dont load your letter with irrelevant details 10. THE POSITIVE AND PLEASANT APPROACH- Avoid negative words like failure , Refuse, sorry, damage etc.They are unwelcome words. Even no can be written as another time, and sorry can be reworded as Ill try. 11. Coherence : Effective letters present information in logical order by careful use of linking devices , use of pronouns and repetition of key words. linking words like besides , therefore , likewise , however etc and the pronouns like this , that , these give a logical progression to the thought content of the writer.

12. Care for Culture : In international correspondence we have to be especially careful in choice of words so as not to offend the receiver who may be having a very different cultural background. Avoid use of culturally derived words, slangs, idioms and phrases. Use simple words that are inoffensive. 13 . Ethical standard : All effective correspondence maintains ethics. Persuasion and tact in correspondence does not mean that we become indifferent to ethics. On the other hand our letters should reflect the genuineness of our felling , our concern for the receiver , our image of our organization, and the legitimacy of our goal.

Importance of Business Correspondence


i) Help in maintaining proper relationshipNow-a-days business activities are not confined to any one area or locality. The businessmen as well as customers are scattered throughout the country. Thus, there is a need to maintain proper relationship among them by using appropriate means of communication. Here business letters play an important role. The customers can write letters to the businessman seeking information about products and businessmen also supply various information to customers. This helps them to carry on business on national and international basis. ii) Inexpensive and convenient mode Though there are other modes of communication like telephone, telex, fax, etc. but business information can be provided and obtained economically and conveniently through letters. iii) Create and maintain goodwill Sometimes business letters are written to create and enhance goodwill.

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Businessmen at times send letters to enquire about complaints and suggestions of their customers. They also send letters to inform the customers about the availability of a new product, clearance sale etc. All this results in cordial relations with the customers, which enhances the goodwill of the business.

iv) Serves as evidence We cannot expect a trader to memorize all facts and figures in a conversation that normally takes place among businessmen. Through letters, he can keep a record of all facts. Thus, letters can serve as evidence in case of dispute between two parties. v) Help in expansion of business Business requires information regarding competing products, prevailing prices, promotion, market activities, etc. If the trader has to run from place to place to get information, he will end up doing nothing. It will simply result in loss of time. But through business letters, he can make all enquiries about the products and the markets. He can also receive orders from different countries and, thus enhance sales.

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Business Letter - Letter Writing


Essential Qualities of a Good Business Letter

Inner qualities : Simplicity Relevance Clarity Courtesy Accuracy Neatness Completeness Outer Qualities :

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Parts of a Business Letter 1.Heading

-mail address, Web-site address, Telephone Number, Fax Number,

2. Date normally written on the right hand side corner after the heading as the day, month 3. Reference-

is given on the left hand corner after the heading.

4.Inside address sent. low the reference number. e.g., The Secretary, the Principal, the Chairman, the Manager etc. 5. Subject attracts the attention of the receiver immediately and helps him to know quickly what the letter is about. e.g. Subject: Enquiry about Samsung television 6. Salutation This is placed below the inside address. ondence

7.Body of the letter-

(a)Opening part - It is the introductory part of the letter. In this part, attention of the reader should be drawn to the previous correspondence, if any. For example : with reference to your letter no. 326 dated. 12th March 2003, I would like to draw your attention towards the new brand of television.

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(b) Main part - This part usually contains the subject matter of the letter. It should be precise and written in clear words. (c) Concluding Part - It contains a statement the of senders intentions, hopes or expectations concerning the next step to be taken. Further, the sender should always look forward to getting a positive response. At the end, terms like Thanking you, With regards, With warm regards may be used. 8. Complimentary close It is merely a polite way of ending a letter. It must be in accordance with the salutation. For example: Salutation i. Dear Sir/Dear Madam ii. Dear Mr. Raj iii. My Dear Akbar 9. Signature

Complementary close Yours faithfully Yours sincerely Yours very sincerely (informal relations)

ame of the writer should be typed immediately below the signature. The designation is given below the typed name. Where no letterhead is in use, the name of the company too could be included below the designation of the writer. For example: Yours faithfully For M/S Acron Electricals (Signature) SUNIL KUMAR Partner 10. Enclosures attached with the letter. ne in serial numbers. e.g. Encl : (i) The list of goods received (ii) A cheque for Rs. One Thousand dtt. Feb. 27,2003 (Cheque No........) towards payment for goods supplied. 11. Copy circulation

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is required when copies of the letter are also sent to persons apart of the addressee.

For example, C.C. i. The Chairman, Electric Supply Corporation ii. The Director, Electric Supply Corporation iii. The Secretary, Electric Supply Corporation 12. Post script the letter.

For example, P.S. - In our offer, we provide two years warranty.

Types of Business Letter : -Recovery Letters -Sales Letters -Enquiry Appeals. -Requests -Adjustments Letters -Response Letters -Order Letters -Quotation letters -Complaint Letters Business Letter Styles Business readers expect to receive letters and memos that adhere to an existing format standard. There are several acceptable business letter styles available for use in the professional world. Three such business letter styles include: Modified Block Style: With this business letter format, the body of the letter is left justified and single-spaced. The date and closing, however, are in alignment in the center of the page. Block Style: when using this business letter format, the entire letter is left justified and singlespaced except for a double space between paragraphs. Semiblock Style: similar to the modified block business letter style except that each paragraph is indented instead of left justified.

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