DA NANG UNIVERSITY OF ECONOMICS

ESP
BUSINESS ENGLISH

Edition 2

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UNIT ONE: NEW BUSINESS
I. Starting up:
A. What conditions are important for people starting new businesses? Choose the four most
important from this list. Can you think of any others?

- low taxes - good transport links

- skilled staff - training courses
- low interest rates - high unemployment
- cheap rents - a strong currency
- stable economy - government grants

B. Many economies contain a mix of public- and private-sector businesses. Think of

companies you know in the areas below. Which are public-sector companies and which are
private-sector companies?

- post office - rail

- TV / newspaper - water
- cars - telecoms
- airlines - energy

II. Vocabulary: Economic terms

A. Match the economic terms (1-10) with their definitions (a –j)

1. interest rate a) total value of goods and services produced in a country

2. exchange rate
3. inflation rate
4. labour force
5. tax incentives
6. government bureaucracy
7. GDP ( gross domestic product)
8. unemployment rate
9. foreign investment
10. balance of trade
b) general increase in prices
c) cost of borrowing money
d) people working
e) price at which one currency can buy another
f) percentage of people without jobs
g) low taxes to encourage business activity
h) money from overseas
i) official rules / regulations / paperwork
j) difference in value between a country‟s imports and exports

B. Try to complete this economic profile without looking back at the terms in Exercise A.

The economy is stable following the problems of the past two years. By following a tight
monetary policy the government has reduced the ___________ _________ to 2%. After going up
dramatically, the ___________ ___________ is now down to 8%. The last six month has seen a
slight improvement in the ____________ ___________ against the dollar. The G___________ has
grown to 0.15%. Exports are increasing and the ___________ of ___________ is starting to look
much healthier.
The _____________ __________ continues to be a problem as it is still 16%. In order to
stimulate the economy and attracts ____________ ___________ the government is offering new
__________ __________ as well as making a renewed effort to reduce ___________ __________.

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Finally, a large skilled ___________ __________ means there could be attractive investment
opportunities over the next five years.

C. Listen to the report and check your answers to Exercise B.

D. Write sentences about the economic profile of your country.

III. Listening: Starting new businesses

A. Work in group. Make a list of things that are important to do before you start a new
business.
B. Alan Martin, a young entrepreneur, descibes five important steps for setting up a
business. Listen and complete the chart below. Did you have the same ideas as Alan.

Step 1: ……………………………………

Step 2: …………………………………….

Step 3: …………………………………….

Step 4: …………………………………….

Step 5: …………………………………….

C. Listen again and answer the questions.

1. What percentage of business ideas fails?

2. Why do they fail?
3. What two questions does your market research need to answer?
4. What two things does a business plan help you to do?
5. What does it usually include? Name three things.
6. Which step does Alan think is the most important? Why?

D. Alans says most businesses fail because people don’t understand the market. What other
reasons can you think of?

IV. Reading: The Human Touch

A. Go through the article quickly to find the four elements that a good team needs.
A good team needs:
1. ………………………………..
2. ………………………………..
3. ………………………………..
4. ………………………………..

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 HOW TO ADD THE HUMAN TOUCH
By Dough richard
When thinking about how you start your business,
getting the right team together will be the most important and
the most difficult decision you make .
The reason is simple. No one person has all the skills,
experience, contacts or reputation that are recruited to get a
business up and running. So, in order to succeed, you will
have to form a core team of people.
Before that, however, you can only know who else you
need by knowing your strengths and your weaknesses. Having
a great business idea does not mean that you have the skills to
manage others. The hardest of all your decisions may be to let
someone else lead the company you founded.
What, then, does the team need?
First, it needs the ability to sell – and in particular the
ability to persuade others to buy into your vision.
Second, the team needs the ability to count. The business is
managed by managing the flow of cash. It may be the accountant‟s job to do your books, but it
is your responsibility to understand them so well that you use them to drive the business.
Third, the team needs experience. There are three types: customer experience, product
experience and start-up experience. If you are going to sell an Internet service to restaurants,
you need experience in the development of Internet services and the experience of running
reastaurants. If your team has only one or the other, you will either know what product to build
or how to build it, but not both.
Fourth, the team needs to have contacts, relationships, a network. Having people who can
help you informally or formally will help your business succeed.
Finally, you and your team must be fully aware that starting a business means giving up two
things- time and money. It frequently means working evenings and weekends and being last in
line for payment. Succeeding with an innovation-based company takes everything: all of your
time, all your great ideaslots of personal sacrifices – and it may take all of your money.
There is no magic formula to building a business. It is like putting together the pieces of a
puzzle. But it is worth remembering that the team is the most important piece.
Financial Times

B. Read the article carefully, then decide whether these statements are True or False according to
the article.
1. If you want your new business to succeed, you yourself first need to gain all the necessary
skills and experience.
2. New entrepreneurs sometimes rightly decide to let another person lead the company they
started up.
3. Good cashflow managem,ent is a necessary condition for a business to be successful.
4. An effective team will have experience in three key areas.
5. You need to put in a lot of time and effort before you can enjoy the rewards of owning a
fast-growing start-up.
6. Building the right team is the magic formula to setting up a successful business.

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IV. Language Skill: Socialising
A. Making Contacts:
1. What activities are involved in socialising? Add some more to the following list.

- Introducing visitors
- Greeting visitors

2. You will hear three dialogues about people meeting visitors.Complete the chart.
Dialogue 1 Dialogue 2 Dialogue 3
1. Have the speakers
met before?
2. Is the dialogue
formal or informal?
3. Where are they
meeting?
4. What problems
did the visitors have
during the journey?
5. What are they
doing next?

3. Compete the sentences from the dialogues. Listen if necessary.

1. You __________ be Raj.
2. It‟s great to _________ meet you in _________ after all our phone calls and emails.
3. I _________ you haven‟t been __________ long.
4. It‟s a _________ to meet you.
5. How was your __________?
6. Hi, Paul, good to ________ you _____________.
7. Sorry to keep you ____________.
8. Can I ___________ you with your ___________?
9. Would you ____________ taking this?
Which sentences above are used to:
a. Welcome or greet the visitors? (1,2,4,6)
b. Talk about the journey (5)
c. Offer (or ask for) helping with something? (8,9)
d. Apologize for a delay? (3,7)

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B. Talking about weather.
1. Kasia Janiak is accompanying Mr Syms from the airport to his hotel. Look at the
dialogue below. Listen and complete the gaps. What is the topic of their conversation?

Mr Syms: I can‟t belive it‟s so ___________ here. It makes a nice ________ from England!
Kasia : How was the __________ when you _________?
Mr Syms: It was __________ as usual. This summer has been ___________.
Kasia : Well, we‟ve been very ________ here. The last couple of weeks has been very ______
.Mr Syms: Do you normally _________ _________ summers here?
Kasia : It depends. Ususally we get at least a few _______ days, but sometimems it rains a lot.
Mr Syms: I imagine the winters here must be pretty __________.
Kasia : Oh yes. Sometimes it _________ _________ to minus 15.
Mr Syms: Well, at least it never gets that cold in England. The winter there is usually just grey
and _________. It can be quite depressing!
Kasia : Ugh! Well, I‟m glad the weather is nice for your visit here.

2. The weather is one of the most popular small-talk topic. It is a topic everybody can
talk about. Put the words below into the right categories.

cloudy cold damp drizzling freezing grey

hazy humid mild overcast pouring rainy
roasting sunny warm

Words describing temperature Words describing the sky Words to do with water

3. Roleplay: Work in pair. Use the profiles below to practise meeting visitors.

. Student A: Christ: You are meeting Catherine Brown, a supplier from Britain, at the
airport in Franfurt. You have never met before but have spoken a lot over the phone.
Catherine is carrying heavy bags. Greet her and ask about the flight. Make some
small talk ( weather, job, company) and take her to your car.

Student B: Catherine: You have just arrived at the airport in Franfurt and have made
arrangements for your business partner, Christ, to pick you up. You have spoken a lot
over the phone but have never met before. You are carrying several heavy bags. Your
flight was fine and you had a DVD to watch.

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C. Entertaining visitor.
1. Bruno and Carlo are entertaining Anna at a local restaurant. Listen to the conversation
and answer the questions below.

1. Have the hosts been ot the restaurant before?

2. Why is Anna hungry?
3. What do we discover about Bruno‟s wife?
4. Who is driving?
5. What do they plan to do later?

2. Match the two halves to make sentences from the dialogues. Listen again if necessary.

1. This looks a. are we having, Carlo?

2. I hope b. to drink?
3. I‟m absolutely c. followed by the pasta.
4. I‟m afraid they don‟t have d. recommend?
5. How many courses e. catch the waiter‟s attention.
6. What do you f. menus in English here.
7. It comes with asparagus g. you like it.
8. I‟ll have the soup h. starving
9. What would you like i. a really nice place.
10. Let‟s see if we can j. and small potatoes roasted in the oven.

D. Keeping a conversation going.

1. Anna, Bruno, and Carlo are finishing their meal. Tick the topics they talk about.
he restautant friends
holidays sport
family cultural differences
mutual accquaintances their jobs

2. The answers to the questions below are too short. Make them longer by adding extra
information and a question, as in the example.

1. A: So, do you live near here?

B; Yes, I do.
( only 2 km) Our house is only two kilometres from here.
( you / live?) What about you? Do you live near here.
2. A: And how old is your daughter?
B: She‟s six.
( recent started school)
( you / children?)
3. A: What kind of dog do you have?
B: An Alastian.
( fun but needslots of exercise)
( you / pets?)
4. A: So, how long have you been with the company?
B: Six years.
( joined after university)
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 ( you / be with your company long?)
5. A: Have you been to Moscow?
B: Yes, I have.
( three years ago / on business)
( you?)
6. A: And do you do any sports?
B: I play squash
( once a week with friends)
( you / sports?)
7. A: It‟s so hot today. Is it normally like this in the summer here?
B: No, it‟s not.
( very hot for us / usually 25 degrees)
( weather / where you live?)

3. Commenting on what people say is a good way to keep a conversation going. Match
B’s comments to what A says. Sometimes more than one answer is possible.
A. B.
1. I just got married last year actually. a. That must be very stressful.
2. My husband is a meteorologist. b. Really? That‟s an interesting job!
3. Last year I won a prize for one of the c. Oh, congratulations!
products I designed. d. You must be very proud of her.
4. The project deadline is next week and e. That must have been very exciting.
and we‟re not going to make it. f. You must have felt very pleased.
5. My daughter has just got a place at one of g. Oh, I‟m sorry to hear that. I imagine that
the best universities in the country. was a difficult time for you.
6. Before I got this job I was unemployed for
two years.
7. I went to Peru on holiday last year.

4. Work with a partner to make small talk at a restaurant. Use the information in your
file to ask questions and keep the conversation going.

File A: You are having dinner in a restaurant with an important business partner. (You are
the host). Ask your partner questions to keep the conversation going.
Here are some things your partner mentioned earlier:
● He/ She has recently bought a new house.
● His / Her partner has a new job.
● He / She wants to go to Italy on holiday this year.
Begin by saying something about the food.

File B: You are having dinner in a restaurant with an important business partner. ( You are
the guest). Ask your partner questions to keep the conversation going.
Here are some things your partner mentioned earlier:
● He/ She plays badminton in her free time..
● He/ She has an adopted son.
● His / Her mother is visiting at the moment.
Begin by asking your partner a question about the restaurant.

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Unit Two: MARKETING
2.1. PRODUCT POLICY
A. Starting up:

1.“The four Ps” form the basis of the marketing mix. If you want to market a product
successfully, you need to get this mix right. Fill the gaps in these sentences, using t he words from
the list.

distribution price posters end-users design

hire purchase promotion image product place
mail order need rival labels satisfy outlets

a. What is marketing mix? If consists of “the four Ps”: providing the customer with the right
__________ at the right _________, presented in the most attractive way (________ )
and available in the easiest way ( _________ ).
b. What is “a product” ? A good product is not just an assembled set of components: it is
something customers buy to ___________ a ___________ they feel they have. The
___________ and the ____________ of the product are as important as its specification.
c. What is “price” ? The product must be priced so that it competes effectively with
__________ products in the same market.
d. What is “promotion”? The product is presented to customers through advertising (TV
commercials, __________, etc), packaging (design, ___________, etc.), publicity, P.R.
and personal selling.
e. What is “place” ? Your product must be available to customers through the most cost-
effective channels of ___________. A consumer product must be offered to _________ in
suitable retail ___________ or available on ____________ or by __________.

2. Listen to four consumers talking about different products. Decide which of the four Ps each
speaker is discussing.

3. Think of some products you have bought recently. Why did you buy them? Which of t he
four Ps influenced your decision to buy?

4. Give three examples of brands to which you are loyal. Why are you loyal to them?

5. Discuss with your partners to think of the reasons for consumers' brand loyalty.

B. Vocabulary: Brand Management

1. Match these word partnerships to their meanings:
B 1. loyalty a) the name given to a product by the company that makes
it
R 2. image b) using an existing name on another type of product
A 3. stretching c) the ideas and beliefs people have about a brand
N 4. awareness d) the tendency to always buy a particular brand
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 D 5. name e) how familiar people are with a brand

P
R 6. launch f) the set of products made by a company
O 7. lifecycle g) the use of a well-known person to advertise products
D 8. range h) when products are used in films or TV programmes
U 9. placement i) the introduction of a product to the market
C 10. endorsement j) the length of time people continue to buy a product
T

2. Complete these sentences with word partnerships from exercise 1:

BRAND
1. The creation of Virgin Cola, Virgin Air, Virgin Rail and Virgin Bride is an example of
________________.
2. Consumers who always buy Levi‟s when they need a new pair of jeans are showing
______________.
3. Not enough people recognise our logo; we need to spend a lot more on raising
______________ .
PRODUCT
4. David Beckham advertising Vodaphone is an example of _______________
5. A ____________ consists of introduction, growth, maturity and decline.
6. The use of BMW cars and Nokia phones in James Bond films are examples of
______________ .

C. Listening:
1. Why do people buy brands? Why do you think some people dislike brands?

2.Listen to two speakers talking about brands. What reasons does each person give for liking
or disliking brands?

D. Reading :
1. Read the following text, and write a brief heading for each paragraph:

PRODUCTS AND BRANDS

1. ...................................................
Marketing theorists tend to give the word product a very broad meaning, using it to
refer to anything capable of satisfying a need or want. Thus services, activities, people
(film stars, singers), places (holiday resorts), organizations (hospitals, colleges), and
ideas, as well as physical objects offered for sale by retailers, can be considered as
products. Sales of physical products can usually increase by benefits such as customer
advice, delivery, credit facilities, a warranty, after-sales service, and so on.

2. ...................................................
Some manufacturers use their name (the family name) for all products, e.g. Philips,
Colgate, Yamaha. Others, including Unilever and Procter & Gamble, market various
products under different brand names, with the result that many customers are unfamiliar
with the name of the manufacturing company. The major producers of soap powders, for

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example , are famous for their multi-brand strategy which allows them to compete in
various market segments to fill shelf space in shops, thereby leaving less room for
competitors. It also gives them greater chance of getting some of the custom of brand-
switchers.

3. ....................................................
Most manufacturers produce a large number of products, often divided into product
lines. Most product line consist of several products, often distinguished by brand names,
e.g. a range of soap powder, or of toothpastes. Together, a company's items, brands and
products constitute its product mix. Because different products are always at different
stages of their life cycles with increasing, stable or declining sales, and because markets,
opportunities and resources are in constant developing, companies are always looking
into the future, and re-evaluating their product mix.

4. .......................................................
Companies whose objectives include high market share and market growth
generally have long product lines. Companies whose objectives is high profitability will
have shorter lines, including only profitable items. Yet most product lines have a tendency
to lengthen over time because companies add additional items to cover further market
segments. Additions to product lines can be the result of either line-stretching or line-
filling. Line-stretching means lengthen a product line by moving either up-market or down-
market, i.e. making items of higher or lower quality. Yet such moves may cause image
problems: moving to the lower end of a market weaken a company's image for quality,
while a company at the bottom of a range may not convince customers that it can produce
quality products. Line-filling - adding further items to the existing product line might be
done in order to compete in competitors' niches, or simply to utilize excess production
capacity.

1. Find words or expressions in the text which mean the following:

Par.1 : a. the possibility of paying for a product over an extended period
b. a promise by a manufacturer or a seller to repair defective goods during a certain period.
Par.2 :c. customers who buy various competing products rather than being loyal to a particular
brand.
Par. 4 : d. the sales of a company expressed as percentage of total sales in a given market.
e. the extent to which an activity provides financial gain.
f. a small, specialized but profitable segment of a market.

2. Comprehension:
a. Why do big soap powder producers have a multi-brand strategy?
b. Why do companies' product mixes regularly change?
c. What factors influence the length of companies' product lines?
d. What are the potential dangers of line-stretching ?
e. Why might companies undertake line-filling?

2.2. MARKET RESEARCH

A. Vocabulary :
1. Find words and expressions in italics in the text below which mean the same as:
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 1. slice 6. results
2. identified to be of interest 7. typical
3. reply 8. feelings and opinions
4. chance selection 9. see
5. poll 10. who are similar in some way

Companies or organisations which want to find out how the

public perceive their products or services perform market research.
This research often takes the form of a survey, designed to investigate
the attitudes of the public. People are asked to respond to a carefully
formulated questionnaire. Researchers may use a completely random
sample of people, or a selection of people with shared characteristics.
For example, women accompanied by one or two small children or
people over sixty-five, who are representative of the segment of the
market that has been targeted. The findings of this research will then be
the object of a great deal of analysis and interpretation.

2. Match the marketing research methods in the box to the descriptions below:
Street survey questionnaire Blind testing
Focus group Dustbin survey

1. A researcher regularly visits someone‟s home and looks at the labels of all the products
that a household has bought or used recently.
…………………………….
2. A researcher encourages a group of consumers to discuss their feelings and attitudes
towards different products. The discussion is secretly observed and often filmed.
………………………..
3. A researcher interviews passers-by and asks them a list of carefully chosen questions.
……….
4. Selected volunteers are given different objects to examine or samples of food or drink to
test and compare. The identity or brand of the products is kept a secret.
…………………………..

B. Listening:
1. The marketing team at Euphony, a telecoms company, wants to research the market for
mobile phones made specifically for children. Listen to the following discussion between three
members of the team and make a note of the six data collection methods they mention.

Data collection methods:

1. postal survey
2. ______________________
3. ______________________
4. ______________________
5. ______________________
6. ______________________

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 What advantages and disadvantages do the different methods have? Which is the cheapest?
Which is the most expensive? Listen again if necessary.

2. Haike, one of the members of Euphony’s marketing team, is calling Greg at Inside the
Market, a market research firm in the UK. Listen to the conversation and complete Greg’s
notes.

Heike – Euphony
● needs survey for _________________________
● _______________________ survey is best
● _____ ______________________ target group
● qualitative and __________________ data:
- price and _______________ the phone should have
- number of people interested, what willing to pay
● basic demographic information:
- __________________ and _________________
● call Haike back on __________________

C. Speaking:
Work with a partner to decide on a market research plan for your company.

Group 1 :
Your company is going to launch a new model of mobile phone targeted at young people.
You would prefer a street interview for your market research, but you need to discuss this with
your partner(s) first. Work together to decide on the best data collection method to use.
Then prepare a list of survey questions and give the survey to another group in your class.

Group 2:
Your company is going to launch a new model of laptop targeted at businessmen . You
would prefer a focus group for your market research, but you need to discuss this with your
partner(s) first. Work together to decide on the best data collection method to use.
Then prepare a list of survey questions and give the survey to another group in your class.

2.3 LANGUAGE SKILL: MEETING

A. Warm-up
1. Meetings are not the same all over the world. Answer the following questions for your company
or your country.
1. Is punctuality important? Do meetings have to begin exactly on time?
2. Is it important to reach an agreement quickly (time is money), or are getting to know
people and reaching a consensus more important than speed?
3. Who has the power to make decisions – an individual (usually the most senior person at
the meeting), or a group?
4. Are meetings sometimes too long? How much time do you spend in meetings, and how
could this be reduced?

2. Vocabulary: Check your understanding of words and phrases for organizing and controlling
meetings by matching them with their definitions (a-f).
i. any other business
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 ii. apologies for absence
iii. compromise
iv. consensus
v. to digress
vi. minutes

a. to move off the subject and start talking about something else
b. a written report distributed to participants after a meeting
c. often the last item in a meeting, when participants discuss issues not on the agenda
d. a way of reaching agreement in which each side concedes or gives up something it wants
e. the situation in which most or all of the people at a meeting agree about something
f. often the first item in a meeting, concerning people who can not be present

B. Listening
1. Freestyle is a sports equipment company. It has developed a new product, a pair of
swimming goggles which adapt to each person’s face and eyesight. The Marketing Department
held a meeting to discuss the launch of the product. Listen to the meeting. Then answer these
questions.
1. What are the two aims of the meeting?
2. Why does Katharina want to launch the goggles early in the year?
3. Which months for the launch do the participants discuss?
4. Which types of shops does Julia want to target?

2. Listen again. Tick the expressions which Inge, the chairperson, uses.
1. Can we start please?
2. The purpose of this meeting is to decide the date of the launch.
3. Katharina, what do you think?
4. OK, let‟s hear a few more views.
5. Nadia, how do you feel about this?
6. You‟re right, Katharina. Let‟s get back to the point.
7. OK everyone, I think on balance we agree….
8. I want us to talk about sales outlets now.

3. Listen to the meeting again and complete these extracts.

Katharina : I‟m in ………….. of February or March. There‟s a gap in the market for our
products. Why wait any longer?
Inge: … Kenneth, what‟s your opinion?
Kenneth: Mmm, I ……………. ………… about February. It‟s a bit early in the year. I
…………… we ……………… in May or June. People go on holiday then.
Nadia: …The price should be high. I‟d say, at least £50.
Katharina: ……………… ……………….. a minute. I thought we were talking about the
launch date, not about promotion or price.
Inge: …Which outlets do you think we should target?
Julia: ………….. ……………… we should start with the specialist stores. That‟s
where most swimmers buy their goggles.
Inge: What …………… ………… …………… by specialist stores, Julia?

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 Useful language

CHAIRPERSON
Beginning the meeting Asking for comments
Can we start please? What do you think?
Right, let‟s begin. How do you feel about this?

Stating the aim Changing the subject

The main aim of the meeting is to…. Let‟s move on now to ….
The purpose of this meeting is to …. The next item on the agenda is ….

Clarifying Summarising
What do you mean by…..? OK, let‟s summarise.
Sorry, I don‟t quite understand. Right, let‟s recap…

Useful Language

PARTICIPANTS
Giving opinions Agreeing Interrupting
I think … I think you‟re right. Hold on (a moment).
As far as I know …. I (totally) agree. Can I say something?

Making suggestions Disagreeing

Perhaps we should … I don‟t know about that
We could …. I‟m afraid I don‟t agree.

C. Speaking
Role-play. Work in groups of four people. Read your role card A, B, C, D.
Freestyle has developed a new tennis racket called Worldbeater. It is light but gives players
increased power and control. It will be launched in the US. The Marketing Department holds a
meeting to discuss a strategy.

Hold the meeting. At the end, the chairperson should summarise your decisions.

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Rolecard A
Chairperson
You will lead the meeting. Ask for participants‟opinions, encourage discussion
and help them reach agreement. You must decide the following points concerning
the marketing of Worldbeater.
1. Its selling price 3. Special offers for first purchase
2. Its target consumer 4. Advertising / promotion

Rolecard B
Participant
You have the following opinions concerning Worldbeater.
- selling price : $240 approximately
- target consumer: professional players and serious clubplayers
- Special offer for first purchase : 30 free tennis ball
- advertising / promotion : special magazines such as Professional Tennis

Role-card C
Participant
You have the following opinions concerning Worldbeater.
- selling price : $150
- target consumer: all tennis players
- Special offer for first purchase : free tennis at a local club
- advertising / promotion : advertisements in national/ local newspapers and
television commercials.

Role-card D
Participant
You have the following opinions concerning Worldbeater.
- selling price : $200
- target consumer: all tennis players, all age groups
- Special offer for first purchase : a 20% discount off any Freestyle product
- advertising / promotion : endorsement contracts with famous players or film
stars.

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UNIT 3: NEGOTIATION
3.1 PROCEDURES OF NEGOTIATION
A. Warm-up:
1. In what circumstances do you have to negotiate in your everyday life or negotiate at
work?
2. What do customer and supplier often negotiate?
3. What skills and qualities do you think a good negotiator has?
4. Do you think people should tell the complete truth when negotiating?

B. Types of Negotiation:
If people negotiate with each other, they talk in order to reach an agreement which is not
their mutual advantage (good for them both). For example:
- customer-supplier negotiations
- merger or takeover negotiations
- wage negotiations
- trade negotiations
Negotiations also take place to settle disputes (decide arguments) such as:
- contract disputes - labour disputes - trade disputes
 Match the headlines to the types of negotiations mentioned above:

C. Negotiating scenario:
At the beginning of a negotiation, follow these steps:

1> Arrange these phrases Jose uses at the beginning of the negotiation in the correct order:
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 a. As you all probably know, Mr. Watanabe and I met at Aerospace Trade Fair in
Frankfurt last year and we had a very interesting discussion about the possibility of
our two companies working together.
b. I believe you‟re flying back on Friday evening, so that gives us three days. I think
two days should be enough to cover all the points. On the third day, Friday, if we
have an agreement, I‟ll ask our lawyers to finalize conditions for the contract with
you.
c. Mr. Watanabe, good to see you again. How are you? Let me introduce my colleague:
Sandra Lisboa, our chief purchasing officer.
d. Shall we go to the conference room and make a start?
e. Well, we‟ve looked at the potential market for our new plane, and looks as if we will
need 100 engines over the next three years.
f. Would you like some coffee or tea, or would you prefer juice? How was the flight?

2> Discussion: Discuss these questions with other members of your group:
a. Is socializing an important pre-negotiation strategy in your country? What does
this socializing typically consist of?

b. What elements help you in judging whether you wish to negotiate with a
particular person or group of people (e.g. physical appearance, level of responsibility)? Or
do you consider such factors to be irrelevant?

A. Reading
1. You are going to read about negotiating. Before you read, check your understanding of the
words and phrases(1-10) below by matching them with their definitions (a-j)

1. compromise a. a description of a possible event in the future.

2. concession b. a useful piece of information or advice.
3. counter-proposal c. an agreement that settles an argument when people reduce
their demands in order to agree.
4. deal point d. an exchange involving giving up one thing to get something else
5. to leave something hanging e. an individual item or element in a negotiation.
6. parameters f. an offer responding to somebody else‟s offer
7. scenario g. fixed limits within which something can or must happen or be
done
8. to set something aside h. to delay making (or to forget to make) a decision about
something
9. tip i. to temporarily ignore or not think about a particular fact
10. trade-off j. something which is accepted or given up by one side in
order to end a disagreement.

2. Read the text by Eric J. Adams, which gives advice about negotiating. Which of the negotiating
tips do you think is the most difficult to put into practice?

18
 The Art of Bu siness: Lea rn to Love Negotia ting
Business Tips
A few tips.
Be prepared. Before you negotiate, know exactly what you want and be ready
to articulate your position; a negotiating meeting is no place to figure out the terms
that are acceptable to you. You won’t get every deal point, but at last you’ll know in
advance what your parameters are. In fact, it helps to break down your concerns into
three categories: nice to have, like to have, and must have. Walk through several
“what if” scenarios beforehand. Anticipate counter-proposals and compromises and
think about how you will react to each.
Be inquisitive. Don’t be shy about asking questions. Skilful questions can
transform a negotiation from an adversarial conflict into a partnership. By asking
questions, you’ll also get your client to reveal more. Start with open-ended questions
and move narrower, more direct questions. Once you have asked a question, be quiet
and listen carefully.
Avoid significant early concessions. At the very least, remain neutral to the
customer’s initial demands until trade-off opportunities emerge or your gentle
attempts at persuasion don’t work.
Be prepared for disagreement. There will be disagreement and disappointment
during any negotiation. But how you disagree will affect the outcome and ultimately
affect your relationship with the client. When you disagree, look for the common
ground or set the point aside until later. At the end of your discussions, you may find
you have four or five points of disagreement. You can then exchange deal-point
concessions until all points of contention are dealt with.
Expect the unexpected. Always have a good idea in advance of how you’ll
respond if things do not work out as you plan.
Finalize all agreements. Don’t leave details hanging. It is often amazing how
two people sitting in the same room can have different perspectives concerning what
was agreed upon. To ensure that everyone is clear, summarize the agreement verbally
or shortly afterward in a letter of agreement.

3. Put the following elements of a typical negotiation into a logical order.

a. Listen carefully to what the other side says.
b. Make trade-offs: you concede something they want for something you want.
c. Decide what you want and determine your minimum requirements – what you must get if
there is to be an agreement.
d. Think about acceptable compromises in relation to expected counter-proposals, and try to
imagine the counter-proposals the other side will make.
e. Summarize, verbally or in writing, what has been agreed.

2. Which of these things are done before the actual negotiation begins?

19
3.2 NEGOTIATING STYLES
A. Warm-up:
1. A lot of people regard negotiation as a win-lose contest in which there must
always be a winner and a loser. How possible is it for a negotiation to be win-win?
2. Read the suggestions in The guide to tough trading:
a) Is the philosophy a win-lose or a win-win one?
b) Who is each piece of advice for: the buyer, the seller, or both?
c) Are there any rules you would change, or others you would add?

The guide to tough trading

a. No price is fixed, everything b. Never accept anyone's first offer
is negotiable.
c. Be tough, but pleasant. d. Do not be afraid to shock with your first
order.
e. Don't just haggle about the price, f. It's always easier to get
negotiate the whole deal . extra goods than a lower price.
g. Never say how much you h. When selling, pretend not to have
can spend. total authority.
i. Don't be the first to make a j. Never just complain, always try
concession. to get something in return.

B. Reading:
Read the article and then fill each gap below with one word:

CO-OPERATION AND COMPETITION IN NEGOTIATION

Negotiations are complex because
one is dealing with both facts and people.
It is clear that negotiators must above all
have a good understanding of the subject.
They must also be aware of the general
policy of the company or institution in
relation to the issues and they must be
familiar with the organizational structure
and the decision-making process.
However, awareness of these facts
may not necessarily suffice to reach a
successful outcome. Personal, human
factors must be taken into account. The
approach and strategy adopted in
negotiating are influenced by attitude as well as by a cool, clear logical analysis of the facts
and one‟s interests. The personal needs of the actors in negotiating must therefore be
considered. These can include a need for friendship, goodwill, credibility, recognition of
status and authority, a desire to be appreciated by one‟s own side and to be promoted and,
finally, an occasional need to get home reasonably early on a Friday evening. It is a well -
20
known fact that meetings scheduled on a Friday evening are shorter than those held at other
times. Timing can pressure people into reaching a decision and personal factors can become
part of the bargaining process.
Researchers who have studied the negotiating process recommend separating the
people from the problem. An analysis of negotiating language shows that, for example,
indirect and impersonal forms are used. This necessity to be hard on the facts and soft on
the people can result in the sometimes complex, almost ritualistic style of negotiating
language.
Language varies according to the negotiating style. In negotiating you can use either
co-operative style or a competitive one. In the co-operative style the basic principle is that
both parties can gain something from the negotiation without harming the interests of the
other. Or in other words that both parties will benefit more in the long run in friendship and
co-operation even if they make some concessions. This type of negotiation is likely to take
place in-house between colleagues and departments, or between companies where there is a
longstanding relationship and common goals are being pursued.
Unfortunately co-operative style negotiations without a trace of competition are rare.
In most negotiating situations there is something to be gained or lost. There can be a danger
in adopting a co-operative mode, as unscrupulous people may take advantage of co-
operative people.
The opposite mode to co-operative negotiating is competitive negotiating. Negotiators
see each other as opponents. Knowledge of the other party‟s needs is used to develop
strategies to exploit weaknesses rather than to seek a solution satisfactory to both sides.
This type of negotiating may be appropriate in the case of one-off contracts where the aim
is to get the best result possible without considering future relationships or the risk of a
breakdown in negotiations. Needless to say, the language in this type of discussion may
become hostile and threatening even if it remains formal.
In reality most negotiations are a complex blend of co-operative and competitive
mode. Negotiating successfully implies dealing appropriately with the four main
components of any negotiation: facts, people, competition, cooperation.
Skilled negotiators are sensitive to the linguistic signals, as well as the non-verbal
ones of facial expressions, gesture and behaviour, which show the type of negotiating mode
they are in.
Language reflects tactics and therefore a study of the language used in negotiating
brings a greater awareness of the negotiating process.

(Adapted from Negotiate in French and English by Pamela Sheppard and Benedicte Lapeyre)

1. Good negotiators must know their ………………. well and they must know their
company‟s ………………. But they must also consider ……………… factors because they
are dealing with …………….
2. Negotiators are affected by the participant‟s ………………., as well as logic.
3. Research has shown that it can help to separate the …………….. from the …………….
This can be done by using special negotiating ………………
4. In a …………….. style of negotiation, the participants try not to harm each other‟s
……….... In order to maintain a good long-term …………. they both make
…….............

21
5. In a …………… style of negotiation, the parties are ……………. This style may be
suitable for a …………….. contract. The language here can become …………… and
……………
6. Most negotiations are a …………… of the two styles. A good negotiator must be aware
of the ……………. and …………….. signals which show the style being used.
7. The four main factors involved in a negotiation are ……………..., …………………..,
……………. and ………………….

3.3 LANGUAGE SKILL: NEGOTIATING

A. Language of Negotiation:
1. Probing: One way of furthering negotiation is probing (asking the right questions and
listening carefully to the answers). Here are some probing questions:
a. What is the situation on production at your plant at the moment?
b. What sort of quantities are you looking for?
c. What are we looking at in the way of discount?
d. What did you have in mind regarding specifications?
e. What were you thinking of in terms of delivery dates?
f. How important to you is the currency for payment?
Match the replies (1-6) to the probing questions (a-f):
1) Perhaps 100 units per year over five years.
2) We can offer ten per cent if the quantities are right.
3) We‟d like to see a ten per cent improvement in performance.
4) We‟d prefer US dollars.
5) We‟ll need the first 30 units in six months.
6) We‟re operating at full capacity.
Practice:
Practise by probing in a negotiation. First check you understand the terms below:
Price : $65 per piece
Credit period : 30 days
Delivery time : 8 weeks
Minimum order: 500 pieces
Discount : 5%
Warranty period: one year

Work with a partner. Take it in turns to be the customer and supplier:

Customer: What price do you have in mind?
Supplier: It's $65 per piece.
Customer: That's rather high.
Supplier: It compares favourably with our competitors.

These phrases will help the supplier to justify his or her position:
I'm afraid it's customary.
it's company policy.
we always insist on this.
2. Proposal and counter-proposal:

22
 Through a series of proposals or offers from one side and counter-proposals or
counter-offers from the other side, the two sides work towards an agreement which
will benefit them both. Here are some ways of making compromise:
If you offer more flexible payment conditions, will be able to + infinitive
As long as engine performance improve by ten per cent, can agree to + infinitive
On condition that you deliver 20 engines by May, then we could consider + V-ing
Supposing that you provide good technical support, may offer + noun
Provided that you supply documentation in Portuguese, might offer to+ infinitive
Providing that this contract works out OK,

1> Use expressions above to complete phrases below, using the correct form of the words
in brackets:
a) If you offer more flexible payment conditions / might / consider / pay / higher price.
b) As long as engine performance improve by ten per cent / may / offer / price/ $550,000 per unit
c) On condition that you deliver 20 engines by May / will/ able / consider / more flexible
/price.
d) Supposing that you provide good technical support / might / agree / work / you / future
e) Provided that you supply documentation in Portuguese / could / consider / send „
personnel /you /training.

2> Practise by making more compromises. Here are some cues:

The supplier wants the customer to:
- make their payment in dollars
- pay in cash
- pay a 20% deposit immediately
- pay the balance within 30 days
- accept a penalty clause for cancellation
- place regular monthly order of at least 750 pieces
- recommend them to other potential clients

Supplier: We'd like you to make your payment in dollars.

Customer: If we pay in dollar, will you give us a discount for bulk purchase?
Supplier: Yes, we could accept that. / No, I'm afraid that's not possible.

3. Reaching agreement:
It‟s important to check the points of an agreement to avoid misunderstandings. You could
say:
- Let me just go / run over the main points. (repeat and summarize)
- On A, we agreed that ……..
- As far as B is concerned (in relation to B), we agreed ………..
- We still have the question of C to settle….
- And there‟s still the outstanding issue of D.
- We‟ll send you a written proposal.
- We‟ll draw up a contract based on these points.
- I think that covers everything.
Arrange the phrases Jose uses to close negotiations in the correct order:
1. Let me just run over the main points. On engine quantities,
2. I think that covers everything.
23
 3. If you agree to the proposal, we‟ll draw up a contract based on those points.
4. payment to settle, and there is also still the outstanding issue of documentation.
5. we agreed that you would improve the power of the engine by ten per cent.
6. we agreed that you would supply us with 120 units over four years. As far as
performance is concerned,
7. We still have the question of the currency for
8. We‟ll send you a written proposal on these last two issues.
B. Listening:
1. You will hear three parts of a negotiation between Michelle, the manager of a bookstore
chain, and a website designer. Listen to each part and complete the chart.

What the
Negotiating point What Michelle wants What they agree
designer wants
Schedule for
setting up the Two months
website

Payment terms Fixed amount $6,000

Two covers per

Website design
page

2. Listen again to the first two parts of the conversation. After each part, complete the missing
words.

24
3. Listen again to the third part of the negotiation. Note down all the expressions for agreeing and
disagreeing. Decide whether they express a) strong b) polite or c) hesitant agreement or
disagreement.

C. Speaking: Practise negotiating. Learner A look at File A. Learner B look at File B

FILE A
You are a builder and are looking for a supplier of windows for some offices you are
building. This is what you want. When you have finished, fill in what you get.
You want You get
Delivery in two weeks
Warranty 2 years
Price $5,000
Discount 10%
Credit period 60 days

FILE B
You are a supplier of window. This is what you want. When you have finished, fill in
what you get.

You want You get

Delivery in six weeks
Warranty 6 months
Price $10,000
Discount 0%
Credit period 30 days
25
UNIT FOUR: MONEY
I. Starting up:
A. Answer these questions individually. Then compare your answers with a partner.

1. How much cash do you have with you at the 4. If you go for a meal with someone you
moment? Do you: don‟t know well, do you:
a. know exactly? a. offer to pay the whole bill?
b. know approximately? b. suggest dividing the bill into equal
c. not know at all? parts?
2. Do you normally check: c. offer to pay the whole bill but
a. your change expect them to pay next time?
b. your bank statements and credit card d. try to avoid paying anything?
QUIZ

bills? 5. If you lend your friend a small amount

c. your receipt when shopping? of money and they forget to pay it
d. prices in several shops before you buy back, do you:
something? a. say nothing?
3. Do you: b. remind them that they owe you
a. give money to beggars? money?
b. give money to charities? c. arrange to go for a drink with them
c. give away used items, such as clothing? and say you‟ve forgotten your
wallet or purse?

B. What do your answers to the questions in exercise A say about your attitude to money?
What do they say about your culture.

II. Vocabulary: Financial terms

A. Match the definitions 1 to 6 with the financial terms a to f.
1. Money owed by one person or organization to another a. gross margin
person or organization. b. recession
2. a period of time when business activity decreases because c. shares
the economy is doing badly. d. debt
3. difference between the selling price of a product and the cost e. stock market
of producing it. f. investment
4. a place where the company shares are bought and sold.
5. money which people or organization put into a business to
make a profit.
6. equal parts into which the capital or ownership of a company
is divided.

B. Match the sentences halves.

1. Earnings per share are a. a part of the profits of a company paid to the owners
of shares.
2. A forecast is b. a company‟s profits divided by the number of its
shares.
3. Bankruptcy is c. a description of what is likely to happen in the
future.
4. A dividend is d. money in which businesses receive from selling
26
 goods or services.
5. Pre-tax profits are e. when a person or organization is unable to pay their
debts.
6. Revenues are f. the money a business makes before payment to the
government

C. Complete this report with the terms from Exercises A and B.

In our home markets it has been another excellent year. 1……………… are up by £23 million,
and the 2……………… for the next quarter is equally good. Profits from abroad are down
because of a 3……………… in Japan. However, our performance overall has been good, and
the 4……………… have increased to 26.4p and the 5……………… will be increased to 4.3p
per share, which will please our shareholders.
We plan to issue new 6……………… in order to finance expansion in Asia. We also plan to
increase our 7……………… in plant and equipment before entering the Chinese market. We
are particularly pleased with our performance in France and Germany where 8………………
have increased. As a result of using a new distributor, our costs fell giving us a 9………………
of 40 percent on our main product line. We will use any extra cash to reduce the level of our
10
……………….
Our performance in Italy should improve significantly following the 11……………… of our
biggest competitor. However, we should not become too satisfied with our share price as
economic conditions remain uncertain and the 1……………… will continue to reflect this.
Share prices will not rise in the short term.

III. Listening: The Profit and Loss Account (P&L)

A. Study the incomplete P&L below. Complete the document with the following headings.

Research and development costs Cost of materials Gross profit

Interest receivable Turnover Dividend

B. Now listen to a presentation of the actual results and complete the missing figures for gaps
a-h.

Consolidated Profit and Loss

For the year ended Dec 31 in $m

Forecast Actual
1
Money in ___________ ___________ (sales revenue) 700 704

Other earnings
Gains on fixed assets and operations 250 244
2
___________ on investments 175 162

Money out __________ Cost of making goods

3 a
___________ and all manufacturing expenses (100) _____
b
Money in minus cost of Salaries and personal costs (200) _____
4 c
making goods__________ ___________ 825 _____
27
Other money out______ Other costs and expenses
Indirect costs and overheads (25) (22)
5 d
___________ (50) _____
Loss on fixed assets (25) (25)
Loss on foreign operations (100) (88)
e
Marketing and distribution costs (100) _____
Gross profit minus other
money out______________ f
Trading / operation profit 525 _____
Money left when
shareholders have been Profit for shareholders (6___________) 95 g
_____
h
paid___________________ Retained profit 430 _____

C. Listen again and answer the following questions

1. Why was gross profit higher than expected?
2. Where did the company decide to have parts made?
3. Which budgets went over the forecast limits?
4. What is expected to happen to the marketing budget in future?
5. How much will shareholders receive per share?
6. What prediction does the speaker make about retained profit?

IV. Reading: Reporting financial success

A. Before you read the articles, decide which of these statements are true.
1. Both Wal-Mart and Target Stores are based in the UK.
2. Wal-Mart is the world‟s largest retailer.
3. Target is not a competitor of Wal-Mart.
B. Work in pairs. Student A read Article 1 below and Student B read Article 2. Complete the
parts of the chart which relate to your article.

28
 Wal-Mart Target Wal-Mart Target
4th quarter 4th quarter Full year Full year
Total profit

% increase in profits / earnings

Earning per share

Sales revenues

C. Exchange information with a partner and complete the chart.

D. Read both texts and answer the questions. Which company:
1. feels confident about the future?
2. has developed a more fashionable image?
3. had particularly good results overseas in the last 12 months?
4. is not planning to increase prices?
5. did better than the American stock market forecast?
6. feels its success is due to the variety of its goods?
E. Match the words to make word partnerships from the text.
1. consumer a. division
2. tax b. pressure
3. international c. refunds
4. quarterly d. spending
5. price e. earnings
F. Read the articles again and check your answers. Match the word partnerships in exercise E
to their definitions.
1. the money people spend on goods and services
29
 2. money given back at the end of the financial year
3. company profit for a three-month period
4. part of a company which deals with or is located overseas
5. decreasing or freezing the price of goods and services in order to gain an advantage
over competitors.
V. Language Skill: Giving presentations
I. Opening a presentation
1. Listen to the opening sentences of the three presentations and complete the table. Which
presentations are formal and which less formal?

Presentation 1 Presentation 2 Presentation 3

Presenter‟s name
Presenter‟s position / function
Topic of presentation
Who is the presenter for?

2. Listen to the openings again and complete the sentences.

Presentation 1
a. ………………………… , let me thank you all for being here today.
b. Let me ………………… myself. My name is…
c. I‟m here today to ………………… our new semi-automatic shelving system.
d. My talk is ……………… relevant to those of you who …………… for the different parts
we supply.
Presentation 2
a. I‟m happy that so many of you could ……………………… today at such
short…………………………
b. As you can see on the ………………………, our ……………………… today is project
documentation.
c. This is extremely …………………………….for all of us who are directly
…………………………….. in international project management, right?
Presentation 3
d. I‟m …………………………….. that you all have very tight ……………………………..,
so I appreciate you taking the time to come here to day.
e. As you ……………………know, my name is … I‟m the new …………… manager here at
Weston Ltd.
f. Today‟s topic will be very important for you as …………………………….. since
…………………… your help to evaluate and select candidates for training.
3. Put the sentences from above in the correct category (a-d)
a. Saying what the topic is: ………..
b. Welcoming the audience: ………..
c. Saying who you are: ………..
d. Saying why the topic is relevant for the audience: ………..
Now put a-d in the order you would use to start a presentation. ……….. ………..
……….. ………..

30
II. Structuring a presentation
1. The project manager of a construction company is giving a presentation to his colleague.
Put the sentences in the right order. Then listen and check.

 a. This morning I‟d like to update you on the current status of work at the construction
site. The information I give you today should help you with planning your next steps.
 b. For those of you who don‟t know me, my name is Gordon Selfridge. Let me just write
that down for you. OK. I‟m the project manager in charge of the Bak Tower building
 project in Dubai.
 c. I‟ve divided my presentation into three parts.
 d. Hello, every one.
 e. Then I‟ll move on to the problems we‟re facing with our local suppliers.
f. First of all, let me thank you for coming here today. I‟m aware that you‟re all busy
 preparing for the annual meeting this week, so I really appreciate you taking the time to
be here.
 g. I‟ll start off by showing you some photos of the building site and discussing the
progress we‟ve made since January.
 h. My talk should take about 30 minutes. Please feel free to interrupt me at any time with
questions.
i. I‟ll end with some ideas for reducing labor costs that we‟ve been looking into.
j. Oh, and don‟t worry about taking notes. I‟ll be handing out copies of the PowerPoint
slides.

2. Complete the sentences with the prepositions in the box.

about at for into of on to with

a. Thank you ………… coming all this way.
b. I‟ve divided my presentation ………… three parts.
c. First of all, I‟ll give you an overview ………… our financial situation.
d. First, we‟ll be looking ………… the company‟s sales in the last two quarters.
e. In the first part of my presentation I‟ll focus ………… the current project status.
f. Point one deals ………… APG‟s new regulations for Internet use.
g. Secondly, I‟ll talk ………… our investment in office technology.
h. After that I‟ll move on ………… the next point.

III. Referring to visual aids

1. What are these visuals called in English? Match the numbers to the descriptions.
a. bar chart c. technical drawing e. map g. pie chart
b. table d. flow chart f. graph h. organizational chart

Which of these visuals would you use to describe:

a. your company‟s market share?
b. the steps to be followed from order placement to delivery of a product?
c. your company new organizational structure?

31
2. Listen to excerpts from these presentations and say what visuals are used.
Presentation 1: ____________ Presentation 1: ____________ Presentation 1:
___________
Now listen again and complete the sentences.
Presentation 1
1. The next _________ shows the _________ by age in our company.
2. You can see that the biggest _________ (…) indicates the _________ of employees in
the age group 30 to 50.
Presentation 2
3. Let‟s now _________ at the sales figures over the past five years.
4. The key in the bottom _________ corner shows you which colour _________ which
area.
5. OK, so I‟d like to first _________ your attention t the sales figures for France – that‟s
the blue line here.
Presentation 3

32
 6. Now I‟d like you to _________ at this next _________ which shows how the cost of
living developed in Europe between 2003 and 2007.
7. If you look at the _________ on the _________, you will see that the highest increase
was in 2001 with a rise of 2 _________.
3. Match the two parts to make sentences used to talk about visuals.
1. On the next page a. from this picture, the design is absolutely new.
2. My next slide shows b. you can see the specifications for the TP model.
3. As you can see c. customers have complained about the service.
4. Let me just show you some d. how much the market has changed.
5. To illustrate this e. I‟ll show you our latest poster.
6. Let‟s now have a look f. attention to the figures in the left-hand column.
7. Here we can see how many g. at the figures on the next page.
8. I have a slide h. which shows the market development in 2005.
9. I‟d like to draw your i. interesting details.
10. In the upper right hand corner j. how you will see a photo of the new XTK model.
IV. Closing a presentation
1. Look at these sentences and put them in the correct category in the table.
1. I‟ll just run through the three different options…
2. We‟s suggest…
3. Now I‟ll be happy to answer any questions you may have.
4. We‟d therefore recommend that we…
5. Before I stop, let me go through my main points again.
6. Well, this brings me to the end of my presentation.
CONCLUSION OF A PRESENTATION
Signalling the end of the presentation
__________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
Summarizing the main points
__________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
Recommending and suggesting something
__________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
Inviting questions
__________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
2. Add the following phrases to the table above.
a. Thank you all for listening. f. Are there any questions?
b. In my opinion, we should… g. I‟d like to run through my main points again…
c. We just have time for a few questions. h. As a final point, I‟d like to …
d. To sum up then, we… i. I‟m now nearing the end of my talk…
e. OK, I think that‟s everything I wanted j. Just to summarize the main points of my talk…
to say… k. What I‟d like to suggest is …

33
 UNIT 5 : BUSINESS CORRESPONDENCE
I. STRUCTURE AND LANGUAGE OF A BUSINESS LETTER
A. Structuring the Body of letter:
This part usually consists of three main paragraphs :
♦ The opening or introduction paragraph: Generally speaking, in this paragraph you will thank
your correspondent for the reader’s letter (if replying to an enquiry), introduce yourself and your company
if necessary, state the subject of the letter, and set out the purpose of the letter.
Here are some examples:
- Thank you for your letter of 19 August which I received yesterday.
- We are writing to you concerning your order No.CU 154 which you placed four weeks ago.
♦ The middle paragraph: This is the main part of your letter and will concern the points that need
to be made, answers you wish to give, or questions you want to ask. It is in the middle paragraphs of a
letter that planning is most important, to make sure that your points are made clearly, fully and in a logical
sequence.
♦ The closing paragraph: You should thank the person for writing if your letter is a reply and if
you have not done so at the beginning. Encourage further enquiries or correspondence, and mention that
you look forward to hearing from your correspondent soon.
Here are some examples:
- Once again thank you for writing to us, and please contact us if you would like any further
information……
- We are sure that you have made the right choice in choosing this particular line as it is
proving to be a leading seller. If there is further information you want, we shall be happy
to supply it, and look forward to hearing from you.

B.Useful Language
There are usually fixed phrases for standard sections ( opening sentence, closing sentence,…) as
well as the different things you can do in a business letter (give news, give information, apologize, etc.).
1. Can you think of any phrases to use for the following actions?
1. Starting a letter (referring to previous meetings or correspondence)
2. Explaining the reason for writing
3. Giving bad news
4. Giving good news
5. Giving information
6. Apologizing
7. Ending a letter
 2. Now classify the following standard phrases. Which of the actions (1-7) above could they be
used for?
a. Do not hesitate to contact us again if you need further assistance.
b. Further to our meeting last Friday ….
c. Further to your enquiry, we are pleased to enclose ….
d. I regret to inform you that …….
e. I am just writing to confirm ….
f. I wish to advise you that according to the terms of our agreement …
g. If you have any further questions, please contact us.
h. We are pleased to announce ….
i. We are writing to give you further information about ….
j. We are writing to inform you that ….
k. We deeply regret any inconvenience caused by …
l. We look forward to hearing from you.
m. With reference to your enquiry of 13 May, I am enclosing details of ….
n. Thank you for your letter of June 14.

II. LETTERS OF A TYPICAL BUSINESS TRANSACTION

A. Letter of Enquiry and Reply

1. Robinsons Furnishing Ltd., who manufactures furniture and household fittings, has recently received
two enquiries about their products. Unfortunately some of the letters are missing.
a) Classify the letters into the following types:
Enquiry Reply to an enquiry Request for quotation Letter accompanying quotation

b) Which letters are missing/ What do you think they contain?

A A. Suleiman and Sons B Jackson Brothers
Import-Export Agents High Street
Cairo Oxford

3 April 2015
Dear Sirs 26 April 2015
We have been authorised by a multinational firm
which owns a chain of hotels to negotiate the Dear Sirs
purchase of furniture and fittings for a new hotel
to be opened in Alexandria in the autumn of this We thank you for your letter of 5 April concerning
year. our enquiry about the purchase of your products.
We have looked carefully at your catalogue and your
Your name has been given to us by the British terms of payment. We would like to know if you
Chamber of Commerce in Cairo who informs us would be prepared to allow a discount of 8% on the
that you may be able to supply us with the following stock trial order:
following items: beds, tables, chairs, wardrobes. 20 wardrobes catalogue 23/70
We would hope to place a substantial order if 10 dining table " 24/61
your prices are competitive. 40 chairs " 27/22
10 writing tables " 22/81
We would be grateful if you would send us your Would you also let us know whether you will be able
catalogue and price list by return. We should to complete this order by the end of June?
also like to know the approximate period of
delay before any order would be despatched. Yours Faithfully
We look forward to hearing from you.
Marie Weston
Yours Faithfully

A. Suleiman
D Robinsons' Furnishings Ltd
Beck Lane
C Jackson Brothers London SW 18
High Street
Oxford 15 April 2015
Dear Sirs
5 April 2015 We thank you for your letter of 5 April and
Dear Sirs appreciate your interest in our products.
We have been informed by Messr McDougall,
who has been doing business with you for a Please find enclosed our catalogue and price list, as
number of years, that you may be able to supply well as details of our trade discounts and special
us with a whole range of furniture and fittings terms for large or regular orders. Our prices are
for our department store. CIF.

We would be pleased to receive your catalogue
and pricelist. We are also interested in your
terms of payment and in the discounts offered
for bulk orders. Would you also include details
about delivery times?
We look forward to hearing from you.
Since your enquiry does not specify the kind of
goods you require, we are not able to give you
details about the present availability of the goods.
However, we can assure that on receipt of
confirmation, we normally require no more than
two weeks before despatch to destinations in this
country.

Yours Faithfully We hope that you will find your terms satisfactory
and we look forward to receiving your order.
Marie Weston
Yours Faithfully

M. Archer
 F Robinsons' Furnishing Ltd.
E A. Suleiman and Sons Becklane
Import and Export Agent London SW18
Cairo
15 May 2015
21 April 2015 Dear Sirs
Dear Sirs
We thank you for your letter of 26 April and have
We thank you for your letter of 12 April and for your pleasure in submitting the enclosed quotation.
catalog price list and terms of payment.
Unfortunately we regret that we can not allow a
We would be grateful if you would quote for the discount of 8% as requested. Manufacturing costs
supply of the following items: and freight charges have risen considerately in
150 double beds catalogue 05/72 recent months and our profit margin does not
180 wardrobes " 06/53 enable us to meet your full request. However, we
150 writing tables " 22/81 would be pleased to offer you a special discount of
120 upright chairs " 27/22 4% for this first order as well as our usual 2.5%
discount if payment can be made within one month
We note your terms of payment as indicated in the from date of invoice. Delivery is guaranteed within
price list and your discount for orders over 1000 but three weeks of receiving your order.
hope that you will be able to grant us a discount of
10% in respect of the size of this order. We hope that these terms will meet with your
approval and that we will receive confirmation of
Please note that delivery is required by 17 September your order in the very near future.
without fail.
We look forward to the pleasure of serving you.
We would appreciate an early reply.

Yours Faithfully Yours Faithfully

A. Suleiman M. Archer

2. Study letter A and C. Work with a partner to figure out what the functions of a letter of enquiry are.

3. Here are the functions which appear in a Reply to an enquiry. Rearrange them in the right order.
1. Focus attention on important information
2. Acknowledge the letter.
3. Close the letter and add the appropriate ending.
4. State what action you are taking.
5. Answer any specific questions the enquirer asked, for example about prices and delivery.
6. Invite the enquirer to ask for further information.
4. What should you write to represent these functions?
 B. Letter Placing an Order
* Things to remember when ordering by letter
(1) Include full details of description, quantities and quote catalogue number, if any.
(2) State your requirements as to delivery place and date, discount, method of payment.
(3) Confirm the terms of payment agreed in preliminary negotiations
Study the following letter

Dear Mr. Suzuki

Order for the Scroll 2005 word processor

We thank you for your letter of 17 January in which you enclosed your catalogue and price
list, together with the booklet on the Scroll 2005 word processor.
We have contacted Mr. Nixon, as you suggested, and his demonstration of the Scroll 2005
convinced us that this model will meet our requirements. Your offer of a 20% trade
discount, with a further discount for bulk order, is quite satisfactory.
We are therefore placing an order for 600 Scroll 2005 word processors. We enclose our
official Order Form No. YT945.
We discussed terms of payment with Mr. Nixon and would like to confirm that payment is
to be made by Documentary Credit in your favour CIF Southampton. You will be informed,
through your own book, of the type and number of documents that you must prepare.
Delivery by 30 April is essential, and we reserve the right to cancel the order and/or return
the shipment at your risk and expense at any time after that date.
We look forward to receiving shipment and doing business with you in future.

Yours Sincerely
David Jackson

Focus on Functions: What would you say in an order letter?

1. Acknowledge previous correspondence
2. State your reactions to the prices, discounts, samples, etc.
3. Place the order
4. Confirm terms of payment OR suggest terms of payment
5. Set deadline for delivery (if appropriate)
6. Close the letter and add a formal ending

1. Match the sentences in David Jackson’s letter with the functions listed above

2. Match the sentences below with the list of functions:

a. Delivery before 5 May is a firm condition of the order.
b. We thank you for your letter of 3 April quoting prices and delivery terms for..
c. We are satisfied that the quoted terms are acceptable.
d. As agreed, payment is to be made by Documentary Credit.
e. We therefore enclose our official order form No. 41 for …..
f. We have examined the samples and are satisfied with their quality.
g. Our usual method of payment is by ……... and we trust that this will be
acceptable to you.
h. We thank you for the samples / price list / catalogue which you sent us.
i. As agreed you will draw on us at 30 days, documents against acceptance, with the
documents being sent to our bank at …..
j. Once we have received your advice, we will send a banker’s draft to …
k. We would like to say that 25% trade discount is quite satisfactory.
l. …. and we will certainly take advantage of the cash discount you offered for
prompt settlement.
m. Please remember that only airfreight will ensure prompt delivery.
n. Could you please ship by scheduled freighter to avoid any unnecessary delays?
o. It is essential that the goods are delivered before that beginning of November.
p. Delivery before February is a firm condition of this order.
q. Please confirm that you can complete the work before the end of March.