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Limba engleză

Specializarea: Toate specializările

LIMBA ENGLEZĂ
APLICATĂ ÎN
DOMENIUL
AFACERILOR
ANUL II semestrele
1şi 2

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Cod disciplină: ELE 3006 (semestrul 1); ELE 4006 (semestrul 2)

SPECIALIZAREA TITULAR DE DISCIPLINA TUTORE

Contabilitate şi Informatică Asist. univ. dr. Zagan Zelter Sergiu Asist. univ. Biró Enikó
de Gestiune Eugen
eniko.biro@lingua.ubbcluj.ro
sergiu.zagan@lingua.ubbcluj.ro

Economie şi Afaceri Asist. univ. dr. Armaşu Veronica Dr. Gâz Roxana
Internaţionale Diana
roxanagz@yahoo.fr
Finanţe şi Bănci veronica.armasu@lingua.ubbcluj.ro

Economia Comerţului, Lect. univ. dr. Zagan-Zelter Diana- Dr. Pop Andreea Nora
Turismului şi Serviciilor Christine
andreea_nora_@yahoo.com
Marketing diana.zelter@lingua.ubbcluj.ro

Informatică Economică Lect. univ. dr. Ghiţan Maria Zoica Asist. univ. dr. Armaşu Veronica
Eugenia Diana

zoica.ghitan@lingua.ubbcluj.ro veronica.armasu@lingua.ubbcluj.ro

Management Lect. univ. dr. Ghiţan Maria Zoica Asist. univ. dr. Zagan Zelter Sergiu
Eugenia Eugen

zoica.ghitan@lingua.ubbcluj.ro sergiu.zagan@lingua.ubbcluj.ro

Management linia maghiară Asist. univ. dr. Kovács Réka Asist. univ. drd. Sopon Diana
Anneliese
reka.kovacs@lingua.ubbcluj.ro
diana.sopon@lingua.ubbcluj.ro

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• Condiţionări şi cunoştinţe prealabile
Înscrierea şi frecventarea acestui curs presupune parcurgerea şi promovarea programei de
studiu din anul I de la FSEGA la disciplina limba engleză sau un nivel de limba engleză
cel puţin B2 conform Portofoliului lingvistic european.
• Descrierea cursului
Cursul se adresează studenţilor de anul II de la Facultatea de Ştiinţe Economice.
Organizarea temelor în cadrul cursului
Organizarea temelor din cadrul cursului precum şi bibliografia care trebuie consultată
sunt prezentate în detaliu în paginile introductive ale syllabus-ului.
• Formatul şi tipul activităţilor implicate de curs
Studentul are libertatea de a-şi gestiona singur, fără constrângeri, modalitatea şi timpul de
parcurgere a cursului. În cadrul cursului vor fi abordate următoarele tipuri de activităţi:
proiecte de grup, proiecte individuale, studiu individual, activităţi tutoriale.
• Materiale bibliografice obligatorii
Sursele bibliografice obligatorii pentru acest curs se regăsesc în syllabus-ul aferent
cursului. Dintre acestea, enumerăm:

1. Cambridge Business English Dictionary (2011), Cambridge University


Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max
Hueber Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd
edition). Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for
Practical English Usage, OUP

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Calendar al cursului
S
ă tema termen
pt predare
ă
m
â
n
a
1 Marketing noiembrie
2 Finance and Accounting
3 Import - Export decembrie
4 Starting a Business/The Business Plan martie
5 Bank, Stocks and Shares
6 Insurance
7 Corporate Alliances and Acquisitions mai

• Politica de evaluare şi notare


- tipurile de evaluare ce vor fi utilizate: test de testare a competenţei lingvistice
(listening, reading, vocabulary, English in use, writing)
- criteriile de notare: evaluarea studenţilor se va realiza conform rezultatelor primite
la testul de testare a competenţei lingvistice
- studenţii trebuie să păstreze toate sarcinile realizate pe parcursul cursului până la
primirea notei finale
- forma sub care studenţii vor primi feed-back la sarcinile realizate: prin e-mail,
prin comunicare directă pentru cei ce solicită acest feed-back
• Elemente de deontologie academică
Codul de deontologie academică reglementează următoarele:
Frauda se referă la:
a. copiat (utilizarea de materiale sau informaţii neautorizate), falsificări, şi orice alte
activităţi care pot afecta o corectă evaluare a performanţelor studenţilor
b. ajutorul acordat altora în aceste privinţe
c. încercarea de a se angaja în astfel de fapte
• Studenţi cu dizabilităţi
Există disponibilitatea de a lua legătura cu studenţii afectaţi de dizabilităţi motorii sau
intelectuale pentru a identifica eventuale soluţii în vederea oferirii de şanse egale
acestora. Calea de comunicare prin care putem fi contactaţi pentru acest gen de situaţii: e-
mail sau prin comunicare directă pentru cei ce solicită acest feed-back.
• Strategii de studiu recomandate
Numărul de ore estimativ pentru parcurgerea cursului (suport de curs, activităţi, discuţii,
sarcini etc.) este de 100.

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CONTENTS

Module 1 MARKETING 6
Module 2 FINANCE AND ACCOUNTING 19
Module 3 IMPORT - EXPORT 31
Module 4 STARTING A BUSINESS/THE BUSINESS PLAN 40
Module 5 BANKS, STOCKS AND SHARES 46
Module 6 INSURANCE 57
Module 7 CORPORATE ALLIANCES AND ACQUISITIONS 62

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MODULE 1
MARKETING

Basic Concepts:
Marketing, the marketing mix, product, promotion, advertising
General objectives :
a. to improve students’ command of English
b. to help students develop and practice basic skills to enable them to operate
effectively in real life situations
c. to increase students’ knowledge of business terms

Specific objectives:
a. to provide information and explanations about notions related to
marketing;
b. to improve vocabulary related to the field of marketing
c. to revise grammar knowledge about conditionals

Recommendations:
a. read the texts carefully and try to address the corresponding tasks
b. use the dictionary to improve your vocabulary
c. focus on content and on language use
d. improve your control of grammar and build your vocabulary by
practicing different types of exercises

Expected results:
a. improve students’ command of English
b. build up speaking and writing skills
c. practice writing for specific purposes
d. encourage the independent study and self-instruction

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GROUP DISCUSSION:

Choose one of the definitions above and explain why you consider it the most suitable for
the field of marketing.

The 'marketing mix' is probably the most famous phrase in marketing. The elements are
the marketing 'tactics'. Also known as the 'four Ps', the marketing mix elements are
price, place, product, and promotion.

Some commentators will increase the mix to the 'five Ps', to include people. Others will
increase the mix to 'Seven Ps', to include physical evidence (such as uniforms, facilities,
or livery) and process (i.e. the whole customer experience e.g. a visit to the Disney
World). The term was coined by Neil H. Borden in his article 'The Concept of the
Marketing Mix' in 1965.

The concept is simple. Think about another common mix - a cake mix. All cakes contain
eggs, milk, flour, and sugar. However, you can alter the final cake by altering the
amounts of mix elements contained in it. So for a sweet cake add more sugar! It is the
same with the marketing mix. The offer you make to you customer can be altered by
varying the mix elements. So for a high profile brand increase the focus on promotion
and desensitize the weight given to price.

Promotion

Another one of the 4P's is 'promotion'. This includes all of the tools available to the
marketer for 'marketing communication'. As with Neil H. Borden’s marketing mix,
marketing communications has its own 'promotions mix.' Think of it like a cake mix, the
basic ingredients are always the same. However, if you vary the amounts of one of the
ingredients, the final outcome is different. It is the same with promotions. You can
'integrate' different aspects of the promotions mix to deliver a unique campaign. The
elements of the promotions mix are:

1. Personal Selling 5. Trade Fairs and Exhibitions

2. Sales Promotion 6. Advertising

3. Public Relations 7. Sponsorship

4. Direct Mail

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The elements of the promotions mix are integrated to form a coherent campaign. As with
all forms of communication, the message from the marketer follows the 'communications
process' as illustrated above. For example, a radio advert is made for a car manufacturer.
The car manufacturer (sender) pays for a specific advert which contains a message
specific to a target audience (encoding). It is transmitted during a set of commercials
from a radio station (Message / media). The message is decoded by a car radio (decoding)
and the target consumer interprets the message (receiver). He or she might visit a
dealership or seek further information from a web site (Response). The consumer might
buy a car or express an interest or dislike (feedback). This information will inform future
elements of an integrated promotional campaign. Perhaps a direct mail campaign would
push the consumer to the point of purchase. Noise represents the thousand of marketing
communications that a consumer is exposed to everyday, all competing for attention.

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GROUP DISCUSSION:

Which element of the promotions mix do you consider as being the most important?
Justify your answer.

VOCABULARY PRACTICE

For each definition choose the correct word or phrase (ex. 1-c):

1. Providing money to cultural or sporting activities in exchange for advertising rights

a) promotion b) grant aid c) sponsorship

2. A business which specializes in giving advice and support to companies about


marketing and markets

a) marketing consultancy b) counselling service c) company analysts

3. An economy which allows open and reasonably free exchange between private
companies

a) command economy b) conservative economy c) free market economy

4. A market in which there are too many suppliers producing similar products

a) saturated market b) buyers’ market c) heavy market

5. A market in which there are few suppliers producing goods that a lot of people want to
buy

a) weak market b) sellers’ market c) light market

6. A person who uses their specialist knowledge of a specific market to try to explain
what has happened and predict what will happen

a) market analyst b) forecaster c) market broker

7. A specific promotional activity over a limited period of time

a) campaign b) season c) trend

8. The activity of moving goods from the producer to the consumer

a) selling b) distribution c) orientation

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9. The proportion of the total market which one company controls

a) dominion b) market place c) market share

10. What a company or organization says it intends to do for its customers and the
community

a) corporate mission b) strategic plan c) corporate image

TYPES OF PROMOTION

1. Choose the correct alternative for each sentence. In one case, both/all of the
alternatives are possible.

1. direct mailing / mail order / postal advertising

Sending product or service information by post to specific individuals or companies is


called direct mailing.

2. personal selling / direct selling

A selling technique based on making a personal call to an individual or company is called


3. an in-store promotion / a special offer

A promotion based on advertising in the actual shop is …

4. point-of-sale advertising / on-pack promotion

A promotion method that involves the packaging of a product, such as including a free
sample or coupon is called …

5. sponsorship / perimeter advertising

Advertising around the playing area at sports grounds is called …

6. bargain selling / BOGOF

A promotion method for fast moving consumer goods which involves buying one and
getting one free is called …

7. online advertising / advertising on the web / Internet advertising

Promoting your activities or your company and its products or services on the internet is
called …

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8. cold calling / door-to-door selling

Telephoning direct to homes or businesses to try to interest people in your services or


your products is called …

SPEAKING
1. Discuss the following with a partner:
Negotiate a list including what you consider to be the DOs and DON’Ts of promotional
sales.
2. Discuss on the following topics, agreeing or disagreeing on the truth value of each
statement:
-Advertising does not present a real image of the product, exaggerating its characteristics.
-Advertising raises prices and brings few benefits.
-Advertising sometimes persuades customers to buy products they do not need.

3. Read the following text about direct mail and express your personal opinions about the
issues presented there:

Direct Mail's Deadly Sins

From Apryl Duncan,


Your Guide to Advertising.

How much junk mail do you receive each day? Do you read it? Toss it?

Now put yourself in the shoes of your direct mail recipients. Avoid direct mail deadly mistakes or your
materials will end up in the trash too.

Before you even begin to put your direct mail campaign together, you've got to know who your target
market is. Are they women? Parents? Young? Old? Understand what motivates them. What are their likes
and dislikes?
Write as if you're talking to them. And even use terms these types of people would use.

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But all the fancy graphics and the most beautifully created sentences in the world won't do you a bit of good
if you don't carefully select the people on your mailing list. If you're selling adult diapers, you want to target
senior citizens...not 23-year-olds.
Tighten your mailing list as much as possible to be sure it's tailored to your needs. It's tough to make people
believe they need your product and even harder to convince them they need it now. But if you've researched
your list, you have a higher chance of hitting potential customers instead of the trash can.

You've made your list and checked it twice, so-to-speak. It's the perfect list. Now it's time to write. Define
your objectives before you start writing. Stay focused and hit the points of your objective. If you get off
track, your reader is going to stop reading.

Spend a lot of time on your headline. Just remember how you feel when reading mail that comes to you.
After you read that headline, do you keep reading? The headline can make or break your direct mail
campaign.

Does price really matter? Not unless you know what you're getting for that price. Hook your reader with all
of the product benefits. By the time they get to the end, they should be saying, "I can't live without that!"

And then you let them in on the price. Even if the price is extremely low, you have to tell potential
customers about the product first.

Disclosing this price shouldn't put people into shock. Is your product priced according to the market? If
you're selling a new teddy bear, it should be priced within reason. Not many people will pay $90 for a tiny
teddy bear, right? Truth is, a lot of direct mail goes unanswered because the products are unreasonably
priced.
Success! Your potential customer read all the way through your mailing. Now what?
Did you tell the reader what you want them to do? You can't sell if you don't tell.
Your readers need a call to action. Tell them to send in the card, call you, etc. Then tell them again.

Once your direct mail is ready to go, test several smaller mailings before sending out a huge chunk. Test
each of these mailings by changing a few items when you send them out.

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Have two or more sales letters you test against each other. By testing, you will find out which of those
mailings are bringing in more responses and - hopefully - more orders.

Stick with the clear winners. Remember the saying, "If it ain't broke, don't fix it."

Direct mail is a waste of money for a lot of people. But it doesn't have to be for you. Understanding direct
mail deadly mistakes -- and avoiding them -- will lead you to sales success!

4. Read the following example of a direct mail and try to define the basic features of such a letter:
I S L A N D
LONG DISTANCE

September 8, 200x

Julie Smythe

President

Alternative Retailing 777 Easy Way Los Angeles, CA

YOU CAN CUT YOUR COMPANY'S LONG DISTANCE


PHONE EXPENSES BY 30%!

Dear Ms. Smythe:

It's true! Island Long Distance saves direct mail retailers just like you as much as 30% off
their monthly long distance phone bills.

We offer the same fiber optic telephone lines that your current service now offers, except we
charge a lot less for our high quality service. And, with Island Long Distance, you never have
to worry about lost sales due to a power or systems failure. In the event of an emergency, our
computer will automatically reroute the calls from your 800 system to another location of

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your choosing.

Maybe you're wondering why you've never heard of us. That's because unlike AT&T and
MCI, we don't spend millions of dollars on expensive advertising campaigns. We choose to
pass this savings on to you. In fact, most of our new business is generated the old fashioned
way: our customers recommend us to their colleagues.

But that's not all. Island Long Distance offers:

• Delayed payment options during your off-peak months. As a clothing retailer, we


understand your business has peaks and valleys, and we're prepared to help you
through the valleys. Simply choose one of our convenient payment options that's best
for your needs.

• Guaranteed rates for two years. AT&T, MCI, and Sprint raise their rates 20% every
four months (those clever television commercials sure cost a lot of money). We don't,
and we'll put it in writing.

• Guaranteed satisfaction. If after using our long distance for 90 days you're not
completely satisfied for any reason, we'll switch you back to your old service free.

• A FREE month of long distance to new customers.

But please don't just take Island's word on it. Here's what some of customers think about us:

"Island Long Distance has cut our long distance phone bills by 30%!"

— Ellen Walker, President, Peacock Fashions

"I'll never forget the hurricane that downed our phone lines for one week. And I'll never
forget how quickly Island Long Distance rerouted our calls to our New York branch. They
saved us during our busiest sales season!"

— Alan Fisher, Sales Director, Candy-By-Mail

I've enclosed a brochure that further details our state-of-the-art rerouting system and delayed

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payment options. Please be advised the free month of long distance is available only to
new customers who sign with us by July 1. You must act quickly to take advantage of this
exceptional savings opportunity.

I'd like to meet with you to discuss how Island Long Distance can immediately begin saving
you up to 30% on your monthly long distance expense. I'll be contacting you next week to
schedule an appointment. I look forward to meeting with you soon.

Sincerely,

Samuel Johnson

President

P.S. Don't forget, you must sign with Island Long Distance by July 1, 200x for your free
month of long distance service!

2. Write a similar letter promoting a product or service at our choice.

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GRAMMAR

Conditionals

First, Second and Third Conditionals


There are three main types of conditionals sentences.
a. First conditional (or Type 1 conditional):
If I see Andrew at the meeting, I’ll give him your message.
Present Simple Future Simple
b. Second conditional (or Type 2 conditional):
If my parents were alive, they would be very proud of me now.
Past Simple would + Inf.
c. Third conditional (or Type 3 conditional):
If she had worked harder, she would have passed the exams.

Exercises

I. The following sentences are first, second or third conditional. Put the verbs in brackets
into the appropriate form:
1. We wanted to go out yesterday but the weather was terrible. If it (be) a nice day, we
(go) for a picnic.
2. Why don’t you explain everything to him? If you (not tell) him the truth, I’m sure you
(regret) it one day.
3. Jennifer was here not long ago. If you (come round) earlier, you (see) her.
4. Apparently, the ferry company are planning to close the port in this town. If that
(happen), the town (lose) a great deal of money.
5. I (help) you with it if I (have) more time, but I’m afraid I haven’t got any spare time at
all at the moment.
6. The government is expecting to win the next election, but if it (lose), the Prime
Minister (resign) from politics.
7. I am so glad that you took me to your friend’s party. If we (not go) there, I (never
meet) Adrian.

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8. It’s ridiculous that trains are so expensive. If fares (be) cheaper, I’m sure more people
(use) the train and leave their cars at home.
9. If she (get) that job she applied for, she (be) delighted. And I think she’s got a good
chance of getting it.
10. Fortunately the explosion took place at night when the streets were empty. It (be) a
disaster if it (happen) in the middle of the day.
11. The talks between the two leaders keep breaking down. If they (break down) again, it
is possible that there (be) a war between the two countries.
12. If Alison (know) anything about car mechanics, I’m sure she (help) us fix the car, but
I think she knows even less than we do.
13. They’ve been married for twenty years now but I don’t think she (marry) him if she
(know) what a selfish man he was.
14. Children spend too much time watching television and playing computer games. I’m
sure they (be) happier if they (spend) more time playing outside.
15. Jamie has everything he wants but he’s always moaning. I’m sure that if I (have) so
much money, I (not moan) all the time.

II. Put the verbs in brackets into the appropriate form:


1. Oh dear, I think we’re a bit late. If the concert’s already started, we (not be allowed) to
go in.
2. He wouldn’t be coming here if he (not want) to.
3. If you were planning to leave your husband, I (advise) you against it.
4. He could be earning lots of money now if he really (want) to, but I don’t think that’s
what he wants.
5. You can stay here tonight if you (not have) anywhere else to stay.
6. If I could have phoned you, I (tell) you what was happening.
7. If you (have) any problems, give me a ring.
8. If you (get) here at about 8 o’clock, I’ll be waiting for you
9. We could have got there in time if you (phone) us earlier.
10. If this should happen again, (come) and (tell) me about it immediately.

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11. You can’t expect kindness and support from your family if you (not give) the same to
them.
12. If she’s been working all day, she (be) very tired when she gets in.
13. If the management were to reinstate the strike leader, the strike (be called off).
14. If I (keep) working on this essay, I’ll have finished it by tonight.
15. If I could borrow some money, I (definitely come) on the holiday with you, but I
think it’s unlikely.
16. I might have been able to help you if you (explain) the problem to me.
17. If I could live wherever I wanted to, I think I (choose) to live on a Scottish island.
18. If they had been listening more carefully, they (might understand) what I was saying.
19. If I (be) a year older, I could join the army.
20. If I (get) a pay rise, I’m going to buy a new car.

Bibliography
1. Cambridge Business English Dictionary (2011), Cambridge University
Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max
Hueber Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd
edition). Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for
Practical English Usage, OUP

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MODULE II
FINANCE AND ACCOUNTING

Basic Concepts:
Accounting, accountant, assets, liabilities, auditing, balance sheet, invoice
General objectives:
a. improve students’ command of English
b. help students develop and practice basic skills to enable them to operate
effectively in real life situations
c. increase students’ knowledge of business terms

Specific objectives
a. to provide information and explanations about notions related to
accounting;
b. to improve vocabulary related to the field of finance and accounting
c. to revise grammar knowledge about indirect speech

Recommendations:
a. read the texts carefully and try to address the corresponding tasks
b. use the dictionary to improve your vocabulary
c. focus on content and on language use
d. improve your control of grammar and build your vocabulary by
practicing different types of exercises

Expected results:
a. improve students’ command of English
b. build up speaking and writing skills
c. practice writing for specific purposes
d. encourage the independent study and self-instruction

1
BEFORE YOU READ

1. You decide to set up your own business. What are the main requirements for such a
venture?
2. What type of business organization are you going to set up? What may your options
be?
3. As a small business owner do you need to hire professional accounting services or
can you manage by yourself?
4. Is it enough to have a professional accountant or do you have to know something
about financial operations yourself?
5. In your opinion what particular skills do accountants need?

READING

Read the article about Company Formation. Choose the best sentences from the list
below (A-H) to fill each gap (1-5). There is one sentence that you do not need. There is
an example at the beginning (0-D)

A. The big advantage of forming a public limited company is that advertisements may be
paced in financial newspaper inviting the public to apply for shares: a prospectus, as this
advertisement is called, gives details of the company’s past trading record and estimates
of future earnings, together with other information required by law.

B. On the other hand, bookkeepers are responsible for obtaining the financial data that the
accounting system processes. An accounting system cannot operate without good,
accurate bookkeeping, but a bookkeeper can generally be trained in a year or two.
C. As a consequence, owners in a corporation have limited liability. With limited
liability, the owners are responsible for the debts of the business only to the extent of the
amount they have invested.

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D. Perhaps you want to become a part-owner of a corporation by buying shares on it. You
may want to invest in a partnership by becoming a sleeping partner or you may want to
look into franchise.

E. Most probably you will have to employ a skilled person to keep the exact records of
your business and possibly to give you some professional advice as well.

F. There are more sole proprietorships than any other types of business in the United
States economic system, but it is the giant corporation, especially the multinational one,
that has become to many the symbol of the private American enterprise system.

G. Their personal savings and possessions cannot be taken to pay the corporation’s debts.

H. Usually, all the partners have personal unlimited liability for debts to creditors. A
partner who invests money in a partnership but who does not run the business is called a
sleeping partner.

Company Formation

A person starting a new business must decide which type of organization is best. To some
extent the answer depends on the person, the type of business, the money needed, and the
kind of product or service to be provided. If you are going in a restaurant business, you
may decide on a sole proprietorship or a partnership. (……0……-D)

(……1……)
The money needed to start a business is called capital. If you do not have enough capital
you may borrow some from the bank in the form of a loan or an overdraft. Before the
bank will give a loan you must put up some security (such as your own house) in case
you cannot pay back the money.

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If the business owned by yourself (sole proprietor) runs into trouble, you are liable to pay
all the debts to your creditor, even if you have to sell your private possessions. A sole
proprietor is personally liable to his/her creditors.

Sometimes two or more people own and run a business. This is called a partnership.
People who invest money in a business are called investors or backers. The backers in a
partnership are all partners and owners. (……2……) Sometimes a sleeping partner can
have limited liability; his/her liability is limited to the amount of money he/she invests.

A company or a corporation is a business that is legally regarded as a separate entity, as


“something that exists independently”. That means that, as far as law is concerned, the
corporation has a separate existence from the people who own it. It has a life of its own.
(……3……) Even if the business fails, the owners cannot lose more than they have
invested. (……4……) Limited liability companies are economically very efficient.
Although only about 6 percent of all businesses in the United States are corporations they
earn about 79 percent of the country’s income.

Investment in a limited company is in the form of shares. Everyone who buys shares in
the company is a shareholder. The liability of each share is limited to the amount of one’s
investment. If you have shares in a company, you have stake or holding in the company.
If you hold 20% of the shares, you have a 20% stakes. If a shareholder has more than
50% holding, that person is a majority shareholder and has a majority or controlling
interest in the company.

A public limited company is normally the largest form of business unit in the private
sector; its shares are often quoted on the stock exchange. Most present day public
companies were once private, having at one stage gone public with the help of a bank.
(……5……)
One of the main reasons for small business failure is not managerial incompetence, but
inadequate financial planning. Therefore, in order to ensure your success you have to
learn something about the market you want to enter, the goods and services already

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existing and you have to understand some basic business and accounting principles.
(……6……) This means writing down credits and debits, and adding up columns and
figures – usually bookkeeper’s duty, but also recording cash flow and the value of assets
and liabilities, calculate losses and profits etc. – which is what an accountant does. You
will have to know and understand the meaning of some basic accounting jargon such as
cash receipts, journal, check register, double entry, FIFO, trial balance. You need all this,
as well as financial statements, budgets, cash-flow projections, both to measure the
success of your company and to help you make decisions about allocating your resources
for future projects.
(Adapted from Ready for Business)

COMPREHENSION QUESTIONS

1. What do you understand by sole proprietorship?


2. What do you understand by partnership?
3. Why are limited liability companies economically efficient?
4. What are the main reasons for small business failure?

ENGLISH IN USE
1. Questions 1-10
For each blank (1-10), think of the word that best fits in the context. Use only one word
in each space.

Accounting is at least the second oldest profession in the world. But while earlier
professionals rapidly got to grips ……(1) basic techniques and even introduced
refinements, it is remarkable that generations of tax collectors staggered ……(2) for
thousands of years ……(3) finding a satisfactory general method of keeping a ……(4) of
their affairs. This should serve ……(5) a warning. The problem is common sense but the
answer is not. It is highly contrived and ……(6) some respects still imperfect.
A business may be pictured as a box. The box has contents and ……(7) virtue of owning
the box, the owner has a claim ……(8) the value of the contents. As the business buys

2
and sells goods and services, so the value of the contents of the box will increase or ……
(9), depending on whether the business makes a ……(10) or a loss.

2. Questions 11-20
For each blank (11-20), decide which of the options A, B, C or D is best. Only one
answer is correct and there is always one correct answer.

When the independent auditor begins an audit ……(11), he ……(12) that the internal
control system of the ……(13) is appropriate and ……(14); that the generally accepted
accounting principles have been applied in all accounting processes ……(15) the
financial statements; that these generally accepted accounting principles utilized have
been applied ……(16) between the current and the prior periods; and that there is an
adequate amount of informative financial ……(17) in the financial statements and
footnotes. Evidence gathering and its evaluation enable the auditors to ……(18) or
confirm these assumptions. Thus the auditor’s work involves the analytical process of
gathering sufficient evidential matter on a test or ……(19) basis to enable a competent
professional to express an opinion as to whether a given set of financial statements meets
……(20) standards of financial reporting.

11. A assortment B task C assignment D responsibility


12. A pretends B assumes C assures D insures
13. A entertainment B estate C enterprise D firm
14. A effective B proficient C affective D productive
15. A undertaking B basing on C undergoing D underlying
16. A consequently B considerably C consistently D consecutively
17. A discontent B display C discrepancy D disclosure
18. A deny B release C reject D direct
19. A sampling B dating C stamping D modelling
20. A stated B founded C foundling D established

2
Questions 21-25
In each of the following groups of sentences (21-25), there four underlined parts, A, B, C
and D. For each sentence, find the underlined part, A, B, C or D, that makes the sentence
incorrect. There is always one possible answer.

21. Auditing is (A) an analytical process applied to everyday business situations. (B)
While it is closely related to existing business practices. Without (C) first hand
knowledge of the nature of these practices and their setting, the auditor would rely
exclusively (D) on available financial data.

22. This would jeopardize (A) the two audit efficiency and effectiveness. Therefore (B) a
getting-acquainted phase (which usually includes a visit to a client’s facilities and certain
analytical preliminary tests and inquiries) (C) initiates the typical audit process. Such
“getting-acquainted” preliminaries to the conduct of an audit are (D) standard procedures
today.
23. The auditor’s evaluation of the control systems (A) operating within the enterprise
has a direct influence on (B) the scope of the examination (C) he undergoes and the
nature of the tests he conducts. (D) However, we must remember that eventually both the
system and the data it produces are covered by the audit process.

24. Evidential matter supporting financial statements consists of the underlying


accounting data and all (A) collaborating information available to the auditor. The auditor
tests (B) underlying accounting data (C) by analysis and review, retracing some of the
procedural steps followed in the original accounting process and (D) reconciling the
events with the information reported.

25. The auditor’s evidential material is the result of tests, selected observations, and
statistical sampling where large (A) compilations of data are involved. The auditor must
always (B) balance up the natural desire for more evidential matter to support an opinion
against (C) the costliness and social usefulness of completely reconstructing the (D)
underlying data and processes that produced the financial statements.

2
3. Questions 26-30
Use the word given in CAPITALS at the end of each gapped line (26-30) to derive a
word that fits a space.

But what (26) …… is accounting? It is very difficult to find a pithy SPECIFIC


definition that is all-(27) …… but we can say that accounting is INCLUDE
concerned with the (28) …… of information in PROVIDE
(29) …… terms that will help in decisions concerning resource FINANCE
(30) ……, and the preparation of reports describing the effects ALLOCATE
of past decisions.

2
GRAMMAR
Indirect Speech
In direct speech we give the exact words of the speaker, while in indirect speech we
report using our own words what somebody has said.
We change the pronouns, names according to the meaning of the reported sentence.
-Requests and commands are reported with the infinitive.
“Open the door!” He ordered me to open the door.
“Don’t feed the cat! He told me not to feed the cat.

Reported Statements

When the main clause contains a verb in the present tense the verb of the subordinate
(object clause) remains in the same tense as it was in the Direct Speech.

“I broke the vase yesterday”. He tells me (that) he broke the vase yesterday.
When the verb in the main clause is in the past tense all the tenses in the subordinate
clause move back into the past. (backshift)

Present Simple – Past Simple


Present Continuous - Past Continuous
Present Perfect - Past Perfect
Present Perfect Continuous - Past Perfect Continuous
Past Simple - Past Perfect
Past Continuous - Past Perfect Continuous
Past Perfect - Past Perfect
Past Perfect Continuous - Past Perfect Continuous
Future Simple - Future in the Past
Future Continuous - Future Continuous in the Past

“I don’t like soft rock.” – He said (that) he didn’t like soft rock.
“Peter is reading a book.”- He told me (that) Peter was reading a book.
“I have changed my mind.” – She explained (that) she had changed her mind.
-Modal verbs change too.

2
may - might have to - had to
can - could will - would
must - had to / was, were to shall - should

“I may help you.” - He said (that) he might help me.

-Adverbs and pronouns change too.

here - there tomorrow - the next day/the following


now - then day
today - that day next week - the next week/the following
yesterday - the day before/the previous week
day this - that
last week - the week before/the previous these - those
week

2
“I am here.” - He said (that) he was there.
“It is raining now.” - He related (that) it was raining then.
“We should have gone on a trip, if the weather had been fine.” - My friend told me (that) we
should have gone on a trip if the weather had been fine.

Reported Questions

When we report questions the word order of the subordinate clause follows the topic of the
declarative sentence.

“Where do you live?” - He asks me where I live.


“When are you both leaving?” – He wanted to know when we both were leaving.
“Are you coming?” - He asked me if I was coming.
“Do you eat soup or not?” - He inquired whether I ate soup or not.
Exercises
I. Report the following using the past simple of the verb in brackets.
a) “Put your bags in the car!” he said to me. (tell)
b) “Don’t wait for me!” she said to him. (tell)
c) “Please don’t tell my parents!” she said to us. (ask)
d) “Can you look at my essay?” he said to her. (want)
e) “Could you move up a bit?” she said to them. (ask)
f) “Please don’t play my CDs without asking!” she said to him. (want)

II. Change the statements into reported speech.


a) “I am a policeman.” He said…
b) “We’re not staying in a hostel.” They said…
c) “The boys went home at ten o’clock.” They said…
d) “I’m a vegetarian and I don’t eat meat.” She said …
e) “I’ve lost my purse.” Nicola said…
f) “I can’t read the writing on the board.” The boy said…
g) “We’ll phone on Saturday.” They said…
h) “The eggs are delivered fresh in the morning.” She said…
i) “I didn’t work the early shift on Sunday.” Tom said…

III. Change the direct questions into reported questions.


a) “What’s your name?” She asked me…
b) “Did you see the film on TV last night?” He wanted to know …
c) “Where do you come from?” They asked us …
d) “When are you both leaving?” He wanted to know …
e) “Do you like Cornwall?” The reporter asked Jake …
f) “Did you go to London first?” She asked me …
g) “How old are you?” The reporter asked me …
h) “Can you teach me to surf?” Nicola asked him …
i) “Will you ever visit Cornwall again?” She asked Jake …
(Snapshot Pre-Intermediate)
Bibliography
1. Cambridge Business English Dictionary (2011), Cambridge University Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max Hueber
Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd edition).
Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for Practical
English Usage, OUP
MODULE III
IMPORT – EXPORT

Basic Concepts:
Import, export, trade, tariff, quota, autarky, dumping
Objectives:
a. to improve students’ command of English
b. to help students develop and practice basic skills to enable them to operate
effectively in real life situations
c. to increase students’ knowledge of business terms

Specific objectives
a. to provide information and explanations about notions related to international
trade;
b. to improve vocabulary related to the field of import and export
c. to revise grammar knowledge about the subjunctive mood

Recommendations:
a. read the texts carefully and try to address the corresponding tasks
b. use the dictionary to improve your vocabulary
c. focus on content and on language use
d. improve your control of grammar and build your vocabulary by practicing
different types of exercises

Expected results:
b. improve students’ command of English
c. build up speaking and writing skills
d. practice writing for specific purposes
e. encourage the independent study and self-instruction
BEFORE YOU READ
1. What is commerce?
2. What commercial services do you know?
3. Why is the distribution of goods as important as their production?

READING

What Commerce is about


As a human activity commerce is concerned with the study of trade - i.e. the moving of the goods
from the seller to the buyer – and the aids to trade, of the business units which provide goods and
services.
The goods are almost always produced far away from the place of consumption and their way
from the producer is long and very complicated. Therefore, it is the function of commerce to
offer a link between the stages of this process and the necessary instruments to make it work.

The main functions performed by commerce are as follows:


Trade is the basic commercial activity. It is essentially the exchange of goods and services
between producers and consumers. Trade consists of home/ domestic trade including wholesale
trade and retail trade, and foreign/ overseas trade dealing with import and export trade.
But commerce includes more other functions in addition to trade. Distribution involves getting
goods from the manufacturer to the consumer. Without sophisticated systems for storing goods
and selling them to the consumers, it would be impossible for firms to find customers for their
goods.
Banking and financial services offered by bank and other institutions assist commerce by
providing loans and other services which allow business to function and invest in future
production, and enable consumers to purchase goods and services.
Communication, in both written and electronic form, allows firms to order and sell their goods
efficiently and cheaply. No transaction is possible without communication.
Transport is concerned with the moving of goods by land, sea or air as well as the means
necessary to do it.
Insurance allows risks to be taken without fear of loss. It gives security and stability to
commerce as it enables the business people to survive losses by damage, shipwreck, fire,
burglary etc. Without adequate insurance many enterprises would be too risky to undertake.
Advertising also pays an important part as it enables firms to let prospective customers know
their offer. It includes a wide range of forms from hand-distributed leaflets to highly
sophisticated television commercials.
(Ready for Business)

COMPREHENSION QUESTIONS

1. What is the usual definition of commerce?


2. How would you define trade?
3. What is meant by commercial services?
4. What ways of distribution can you enumerate?
5. Who is a wholesaler and a retailer?
6. What does import trade deal with?
7. What does export trade deal with?

VOCABULARY PRACTICE

1. Give synonyms for: commerce, commercial, foreign trade, home trade, to provide, to enable,
aid, to assist, prospective, customer, link, goods.
2. Match the following word with their corresponding definitions.

1. goods
2. services
3. profit
4. turnover
5. stock
6. producer goods/industrial goods
7. consumer goods
8. commodity
9. consumer outlet
10. trade

a) the moving of goods from the seller to the buyer


b) the amount of money that is made by a business, e.g. when it sells something for more than it
costs
c) articles of trade or commerce; wares, merchandise; products as opposed to services
d) the work provided for others as an occupation or a business
e) items such as food or clothing produced for the final consumer
f) items meant to be used in producing other products
g) the rate at which goods are sold and restocked
h) any specific market where consumers buy goods, such as a shop, a store, a merchant, an
agency, an open-air stall
i) an accumulated supply of goods; to keep a supply of goods
j) a) raw material such as grain, cocoa, coffee, wool, cotton, rubber
b) goods regarded in economics as the basis of production and exchange

3. Fill in the blank choosing from these words: cash-and-carry, chain, discount, demand,
middleman, overheads, security, stock-control, turnover, wholesaler
a) The amount of money taken (without any deduction) or the amount of goods sold is the ……
b) Deciding how many items should be ordered when is a matter of ……
c) A number of shops belonging to one company is a ……
d) Shops possess safes for ……
e) A wholesaler offers his goods at a …… to enable the retailer to produce a profit.
f) A retailer buys his stock from a ……
g) The costs of running a business caused by lighting, heating, rent, wages etc. are its ……
h) The wholesaler is the …… between the manufacturer and the retailer.
i) The everyday name for a warehouse from which the retailer collects the goods himself is
……
j) There are industries where goods have to be made several months in advance of the main
buying for seasonal ……
(Ready for Business)

SPEAKING
1. Give arguments pro/against free trade and protectionism.
Take into consideration as guiding lines the following questions:
Why do most economists oppose protectionism?
Which are the main protectionist methods?
Why do governments impose import restrictions (tariffs, quotas)?
GRAMMAR

Subjunctive and Unreal Past

Present Subjunctive:
Present Subjunctive is used mainly in certain fixed phrases and in formal, impersonal
English. In more informal language we commonly use the Present Simple or “should”

We use the Present Subjunctive:


- in “that”- clauses , after report verbs, adjectives or nouns to express plans, urgency,
intentions or suggestions: The police insisted the car (should) be moved immediately.
The police insist the car is / be moved immediately.
Words often followed by a Present Subjunctive are:
Verbs: insist, suggest, request, order, recommend, propose, think.
Adjectives: advisable, essential, desirable, preferable.
Nouns: decision, insistence, demand, requirement, condition.
- after “if”: If he (should) be found / is found guilty, he’ll be jailed for ten years.
- after “whether”: Whether she (should) agree / agrees or not, we’re going to have to
go ahead.
- after “whatever”: Whatever his reasons be / are, they are insufficient to excuse him.
- the Present Subjunctive is common in particular phrases: Far be it from me…; So be
it…; Be that as it may…; Suffice is to say…; Come what may…; Heaven forbid!;
Long live the Queen.

Past Subjunctive:
We use the Past Subjunctive (“were” in all persons) in formal English. Its meaning is similar
to Unreal Past:

If the minister were here, he would no doubt refute the allegations. (= formal)

- however, it’s more common to use “was” and “were” in their usual ways: I wish he
wasn’t such a bighead. (= informal)
- “were” is common only in the phrase “if I were you” and in the formal conditional
pattern “were” + subject + infinitive: I wouldn’t argue with her if I were you. / Were
the vote go against me, I’d resign.

Unreal Past:
We use Unreal Past or Past Subjunctive to discuss imaginary situations, to express
impossible wishes, and to make proposals and polite requests:

- after “if” when we think it is unlikely or impossible that the condition will be
fulfilled: If she were to eat / ate more often, she might get to like it.
- to replace an “if”-clause when we imagine past, present or future events being
different: Had he agreed, he’d have become the team captain. / Were he to agree,
he’d probably become the next coach.
- after “if only” to express regrets and frustration: If only he were / was more
adventurous. / If only I hadn’t drunk so much coffee! (= but I did)
- after “wish” when we are wishing for the virtually impossible. For more reasonable
wishes, we commonly use “would” or “could”: I wish I weren’t / wasn’t having the
injection tomorrow (= but I am) / I wish I’d listened to you. (= but I didn’t). “Would”
is used when the speaker wants somebody or something else to change: I wish he
would change his mind and marry Jane. / I wish it would stop raining. The use with
“would” is often used to describe an annoying habit: I wish you wouldn’t make such a
mess.
- after “would rather” and “ would sooner” to express preferences: Do you mean you’d
sooner I weren’t / wasn’t here? ; I’d rather you hadn’t spoken so rudely to him.
- after “as if” and “as though” we use Present and Present Perfect forms to suggest
something is likely to be true. Unreal Past suggests it is unlikely or untrue: The man
speaks as if he was / had never heard of the place. He acts as though he owns /
owned the place.
- after imperative “suppose” and “imagine” (Present Tense is also possible): Imagine
he were to tell you / told you / tells you his most personal secrets.; Suppose she were
to have followed / had followed your advice. (= but she didn’t)
- after “it’s time…”: It’s time I wasn’t here.; It’s time we left. / It’s time to leave.
Exercises

I. Put each verb in brackets into an appropriate form:


a. I’d rather you (not watch) television while I’m reading.
b. It’s high time you (start) working seriously.
c. I wish I (spend) more time swimming last summer.
d. Helen is bossy. She acts as if she (own) the place.
e. I wish you (not keep) coming late to class.
f. Suppose a complete stranger (leave) you a lot of money in their will!
g. I wish I (go) to your party after all.
h. The government demanded that the ambassador (be) recalled
i. You are lucky going to Italy. I wish I (go) with you.

II. Correct the error(s) in each sentence:


a. I wish I bought that old house.
b. I’d rather you don’t eat all the bread.
c. It’s time I go.
d. I wish I own a motorbike.
e. I wish we are not leaving in the morning.
f. Sue would rather reading than watching television.
g. Come comes. I’ll be on your side.
h. I hope it would stop raining.
i. I’d prefer if you didn’t wait.
j. I wish I didn’t listen to you before.
Bibliography
1. Cambridge Business English Dictionary (2011), Cambridge University Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max Hueber
Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd edition).
Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for Practical
English Usage, OUP
MODULE IV
STARTING A BUSINESS/THE BUSINESS PLAN

Basic Concepts:
Business, entrepreneurship, sole trader, partnership, private limited company, business plan
Objectives:
a. to improve students’ command of English
b. to help students develop and practice basic skills to enable them to operate
effectively in real life situations
c. to increase students’ knowledge of business terms

Specific objectives
a. to provide information and explanations about types of companies
b. to improve vocabulary related to types of companies and the business plan
c. to acquire knowledge about how to draw up a business plan

Recommendations:
e. read the texts carefully and try to address the corresponding tasks
f. use the dictionary to improve your vocabulary
g. focus on content and on language use
h. improve your control of grammar and build your vocabulary by practicing
different types of exercises

Expected results:
f. improve students’ command of English
g. build up speaking and writing skills
h. practice writing for specific purposes
i. encourage the independent study and self-instruction
BEFORE READING
1. If you had a large sum of money, would you start your own business? Why? If yes, describe
it.
2. How would you describe an entrepreneur? What skills would he/ she require?
3. What should a business plan include? Make a list of the main aspects you would consider in
writing one.

READING

Looking at the Project


Are you up to it?
Before carrying out any detailed work on your proposed business you should consider:
-your personal ambitions and the role of the business venture in their fulfillment
-the aspirations of your colleagues and whether you form a well-balanced team
-the market of your product
-a realistic strategy to exploit that market
You and your management team
In the early stages of business, you and possibly a small number of colleagues will be
responsible for all aspects of the business, whether it be concluding a major sales contract or
ensuring an adequate supply of stationery.
Financiers such as bankers or venture capitalists will not support a business which has
inadequate management. Thus, your business should comprise a committed team with
complementary skills. In addition, a significant financial commitment from entrepreneurs is
required by most investors.
The market
The first thing to be considered is the market in which you are going to operate and it is essential
that you should have the four Ps of marketing fixed in your mind.
Your business strategy
You should set realistic objectives for your business and develop appropriate strategies to
achieve them. These objectives must be compatible with your personal ambitions and values.
Most successful strategies tend to be simple and concentrate on the business’s strengths while
building an adequate defence against its weaknesses.

Preparing a business plan

A business plan is primarily a management tool. It helps you to focus, in a logical and organised
way, on the future growth of your company. The business plan acts as a control device against
which management can measure achievement.

An introduction to the business

The two-page summary is the most important part of the document, it should be a concise
overview of the business and its products and services, including the background of the business,
that is, when it was started and the highlights of its progress, as well as an outline of the key roles
of the management personnel, previous financing arrangements where applicable and the current
ownership of the business.

The business’s objectives and related strategy

These targets would include the level of sales, profitability and how much you will take out of
the business by way of remuneration. You should describe how and where you plan to sell and
distribute your product or service.

You must explain why customers will buy from you and demonstrate to prospective investors
that you understand how your market should be segmented, and that you have the ability to sell
and deliver your product or service effectively to the correct targets.

The pricing strategy and policy for your product or service should be explained, and compared to
your competition. Show how your pricing approach will enable you to: penetrate the market,
maintain and increase market share in a competitive environment and make a profit.

The principal activities, products and history

Before lending you money, a potential source of finance will want to know all about your
product or service and the history of your business.
The markets, customers and competition

The financier should be convinced that there is a demand in the market for the particular goods
or services of your business, that you know your products and the niche that it fills in the market
place and that you have confidence in the product and service.

You should also provide an analysis of existing and potential customers, the market size and
trend, and any competition.

Research and development

You should describe the stage of development of the product, costs incurred to date, and the
extent to which further finance is required to complete development, test and establish the
product in the market-place.

The management

You should explain how your business’s management team is organised and describe each
member’s primary role, demonstrating how the managers’ role complements each other.
Investors are looking for a team with a balance of marketing, financial management and
production skills, as well as experience of the product or service you are developing.

Major resource requirements

You should go into greater detail on the finance required, the reasons for it and the time-scale
over which the funding is required.

Financial information

The business plan should include the following financial information: projected profit and loss
statement, cash flow forecasts, projected balance sheets, break-even analysis (where the income
from your sales is equal to your expenditure on purchases and other overheads).

Principal risks

The business plan should go on to describe the inherent risks to which your business is
vulnerable and how you intend to monitor and control them. Your financial projections should
include the sensitivity analyses mentioned above, highlighting how your profit and cash flow
forecasts will be affected by for example: deviations from forecast sales, any change in the cost
of sales, any possible changes in the pricing policy, fluctuations in interest rates etc.
The long-term plans of the business

This is an opportunity to set objectives for your business in the medium to long term, based on
your forecasts and projections in the short term.

Detailed information

Finally you will need to include in appendices all the detailed information on your business plan
for example: the detailed budgeting schedules, assumptions, details of management, product
literature etc.

Setting up the business

These are the various matters which will need consideration before your trading entity can make
the first product, sell the first item or supply the first service: bank accounts must be opened,
trading premises must be found, trading terms must be set, relevant authorities must be informed,
employees recruited (if necessary), applications for VAT registration must be made, letterheads,
invoices and stationery must be printed, nameplates obtained, insurance cover must be obtained.

(Adapted from Getting Started)

SPEAKING

1. Discuss about the advantages and disadvantages of being a sole trader, about the advantages
and disadvantages of the partnership and about the differences between partnership and joint
stock companies.

2. Work in pairs and decide what sort of business you would like to start. Give details
concerning: the type of company, the product or service, the market, personnel, marketing
strategies, premises, machinery, etc.

WRITING

Draft the plan of your business.

Bibliography
1. Cambridge Business English Dictionary (2011), Cambridge University Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max Hueber
Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd edition).
Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for Practical
English Usage, OUP
MODULE V

BANKS, STOCKS AND SHARES

Basic Concepts:
Banks, stocks, shares, credit, stock market, dealer
General objectives:
a. to improve students’ command of English
b. to help students develop and practice basic skills to enable them to operate
effectively in real life situations
c. to increase students’ knowledge of business terms

Specific objectives
a. to provide information and explanations about banks and the stock exchange
b. to improve vocabulary related to banking
c. to revise grammar knowledge about relative clauses

Recommendations:
i. read the texts carefully and try to address the corresponding tasks
j. use the dictionary to improve your vocabulary
k. focus on content and on language use
l. improve your control of grammar and build your vocabulary by practicing
different types of exercises

Expected results:
j. improve students’ command of English
k. build up speaking and writing skills
l. practice writing for specific purposes
m. encourage the independent study and self-instruction

BEFORE YOU READ


1. Which are the most representative banks in Romania?
2. What kind of services do they offer?
3. What kind of banking facilities do you use?
4. What changes have there been in personal banking recently?
5. Has the introduction of electronic banking had a significant impact on banking activities?
If yes, why?
6. What further changes do you foresee in the future?

READING

BRD Romania – A Bank for the Future


BRD (The Romanian Bank for Development) is the second largest bank on the Romanian
market. Its history goes back to 1923 when the National Society for Industrial Credit was
founded. The objective of this public institution was to finance the Romanian industry.

According to the nationalization law from June 1947 it became The Credit Bank for Investment.
In 1957 The Credit Bank changed its name into The Bank for Investment and it had at the time a
monopoly position in the field of medium and long term financing in the industrial sector.

The birth of BRD as a commercial bank occurred in 1990. The basis of its activity was provided
by the taking over of the assets and liabilities of The Bank for Investment, but it also started
opening agencies and subsidiaries all over the country which stimulated the orientation towards
attracting deposits from companies and individuals but also towards granting investment credits
for trading firms.

BRD was chosen by the Romanian government to become the first private commercial bank. The
acquisition of the majority stock by the group Societe Generale was finalized in March 1999.
Very soon, BRD became a leader on the market of new products such as bank cards and
consumer credits.
Miss S.N. has been working for BRD for 10 years in the credit department. She says:
“Practically, I’ve been growing up with the bank. At the beginning, when I got hired there, the
bank provided credits especially for small, medium-size and state-owned companies. In time,
retail banking has developed with credits for farmers, for building houses and purchasing cars.
Lately, we have also offered consumer credits, which means that a borrower can get the credit
for any personal needs and he is not required to attach any justification documents. Our bank
also has other forms of financing such as factoring, forfeiting, leasing and overdraft.

My job at the bank is to analyze credit files and to decide whether the company is worth
crediting or not. Such a file contains documents about the company, a financial analysis of the
balance sheet and the last trial sheet, as well as a commercial analysis of the market and
competition. The bank may also ask for information about the assets of the company, the
evolution of its shares on the stock market or the situation of other loans that the company might
have to return meanwhile. If everything is O.K. then the company gets the credit.

Besides credits for companies and individuals, BRD offers a large range of banking services
such as: opening accounts, making deposits and other saving instruments, giving loans,
transferring funds, external payment, electronic banking. BRD has a well-developed ATM
network all over the country and it issues both credit cards and debit cards. The bank is also
involved in trainings and seminars for students and graduates in economics. “

COMPREHENSION QUESTIONS
1. What position does BRD hold on the Romanian market?
2. What kind of bank is BRD?
3. Who owns the majority stock of the bank?
4. What types of banking services does BRD offer?
5. What sorts of documents does a credit file contain?
6. What is a consumer credit?
7. If you had a large sum of money and wanted to deposit it in a bank, would you choose
BRD? Why yes/ not?
VOCABULARY PRACTICE
1. Match the following words with the corresponding definitions below:
a) corporate banking 1.type of loan security used for buildings and
land
b) retail banking 2. arrangement between a bank and a supplier by
which the bank buys the right to collect the debts
from approved customers
c) credit card 3. banking products and services for
companies
d) debit card 4. the purchase by the bank of medium and
short-term bills of exchange accepted by the
drawee in international transactions
e) mortgage 5. type of card that allows the owner to be
debited by the bank with a certain sum
according to his income

f) factoring 6. a method of using an asset without


necessarily purchasing it
g) forfeiting 7 banking products and services for individuals
h) leasing 8. type of card that allows the owner to
withdraw only as much money as he/she has in
the account
SPEAKING
1. Discuss the following with a partner:
Do people usually buy or rent their houses in our country?
Where do most people get the money to buy their houses?
When people borrow money for a house or flat, what is the usual repayment period? Are interest
rates fixed or variable?

BEFORE YOU READ


1. If you had a large sum of money, would invest it in shares? Why yes / not?
2. If yes, would you use the services of a broker?
3. How would you select him / her?
4. Do you think you can use the Internet on this purpose?

READING

The DIY Approach


Putting your money where your mouth is pretty well sums up direct investment in stocks and
shares. You have to pick the right stocks. You have to track down possible avenues of research
and vital information affecting these shares. You have to decide on timing – whether this is for
buying, holding or selling shares.

Thanks to the Internet, direct dealing in stocks and shares is now much easier for the smaller
investor. Check out the websites of brokerages offering an interactive internet facility. This is
particularly important for investors living in different time zones. Some brokerage services
include the scope for clients to tap into personal portfolio valuations, access individual share
prices and valuations and the latest market research.

Before rushing in to any deal ask yourself some essential questions. Is the source of research
reliable? What other areas of company research could substantiate what you have already? Have
you factored in everything that could affect the investment – economic trends, market issues,
currency risk and so on?
When it comes to actually dealing, investors need to hire a stockbroker. Essentially, there are two
levels of service. For those that are not happy with confronting some of the questions listed in the
first paragraph of this article, a stockbroker’s advisory service will be of most interest. This
option provides the chance to talk through any direct investment before it is made.

Given that your decisions may well rest upon such advisory sessions, it is essential to check the
stockbroker’s credentials. Key questions will include: how long has the broker’s company been
in business? Who are the partners, and what is the company’s own financial position? How long
has the broker been with the company? What is the quality of research available to the broker?

Of equal importance is the fact that the relationship between broker and client is an intimate one.
Do you feel comfortable with the broker? Does he talk sense? Does his view of the world of
investments dovetail with your own? Find out exactly what the fees are per hour before signing
up, and check out how much you’ll pay per transaction.

The other option is to hire a brokerage house on an execution-only basis. Broadly, this is a
service which carries out all the deals as instructed by the investor. And that is it - \no research,
no tips, no pre-dealing chat, and no advice. Shop around between stockbrokers for this service as
the extent of services and charges vary hugely.

When signing up with a broker, on whatever level of service, make sure he or she is aware of
your status and appropriate documentation is used so that tax is not deducted from dividends.

And before putting pen to the dotted line, it is vital that you check which regulatory body is
supervising the brokerage house. The cautious investor would run a double check and contact the
regulatory authorities to check the company is on the authorised list.
Unfortunately, there is a large underworld of dodgy share sales people. How to spot such
fraudsters is not always easy. Beware of postal offers suggesting that you have been especially
selected for a chance to buy shares. Never ever respond to an invitation to part with money that
begins with, or sounds “too good to be true”. If it is, why would they be sharing it with you? Be
vigilant on the internet as this is a whole new playground for fraudsters.

The UK’s Securities & Investment Board offers advice and information to enquirers on the bona
fides of share dealing companies and although it may be a bore to log off and check, better that
than a rip off.
(Hannah Beecham)

COMPREHENSION QUESTIONS

1. In which way does the internet make share-dealing transactions much easier for
the smaller investor?
2. What kind of questions should an investor ask himself before making such a
deal?
3. Why is it necessary to check first the stockbroker’s credentials?
4. Why is so important the relationship between the client and the broker?
5. What is a brokerage house?
6. How can one spot possible fraudsters in the field?
VOCABULARY PRACTICE

1. Find words in the text that mean the following:


a) to detect (paragraph 1)
b) to verify (paragraph 2)
c) capaciousness (paragraph 2)
d) to undertake (paragraph 2)
e) to consider (paragraph 3)
f) to coincide (paragraph 6)
g) questionable (paragraph 10)
h) cheating (paragraph 11)
GRAMMAR
Relative Clauses

“Broadly, this [the brokerage house] is a service which carries out all the deals as instructed by
the investor.” (1)
“BRD, which is the second largest bank on the Romanian market, became a commercial bank in
1990.” (2)
The clauses in italics have the function of describing the noun before; they perform, as to say, the
function of an adjective. Such clauses are called Relative Clauses because they “relate” to the
noun by means of a relative pronoun, in this case which. Relative Clauses, like adjectives, can
describe persons, things and events.
In sentence (1) the Relative Clause “which carries out all the deals as instructed by the
investor” provides essential information about the noun and the main clause doesn’t make proper
sense without it. Such a relative clause is called Defining (Restrictive) Relative clause.
In sentence (2) the relative clause “which is the second largest bank on the Romanian
market” provides additional information about the subject and thus it can be omitted. This is why
it written between commas. Such a Relative Clause is called: Non-Defining (Non-Restrictive)
Relative Clause.
Relative Clauses are introduced through relative pronouns such as: who (for people),
which (for things), that (for both), whom, whose, where, when, why (accompanied or not by
prepositions – for relative clauses of place, time and reason) etc. “That” is never used in non-
defining relative clauses.

Exercises
I. Rewrite the following as one sentence using relative clauses introduced by when, where or
why:
1. The people I work with are the reason. This is why I would never change my job.
2. This is the right moment. You have to sell your shares.
3. Wall Street is the place. Most stock transactions are made here.
4. That day of May changed my life forever. I found out then that I had inherited $ 1 million
dollars.
5. 1998 is the year. I took a loan from the bank and I guaranteed with my house.

II. Choose the most suitable words underlined.


1. What was the name of the person that/ which bought your old car?
2. All the doors were open, that/ which seemed rather odd.
3. I will stay here till six, by that/which time Jane should have phoned.
4. Whatever/ Whichever you do, don’t press this red button.
5. This is the school which I used to go/ I used to go to.
6. Driving carelessly/ As he was driving carelessly, the police arrested David.
7. It seems odd that/ what you should be here on holiday too.
8. This is Sophia, who/ whom is taking over my job when I leave.
9. On the Sunday, that/ which was my birthday, we went out for a meal.
10. The success of a shared holiday depends on who/ whom you share it with.

III. Put one suitable word in each space.


1. Midway through the second half City scored their forth goal, at which point United gave up
completely.
2. There is one person to …… I owe more than I can say.
3. It was the kind of accident for …… nobody was really to blame.
4. …… leaves last should turn off the lights.
5. Mary was late yesterday, …… was unusual for her.
6. At 6.00, …… was an hour before the plane was due, thick fog descended.
7. I don’t know …… told you that, but they were wrong.
8. The first time I saw you was …… you answered the door.
9. Mrs Brown was the first owner …… dog won the first prizes in the same show.
10. I’ve just spoken to Sally, …… sends you her love.
IV. Rewrite each sentence so that it contains the word in capitals and so that the meaning stays
the same.
1. I like Brenda, she’s my kind of person. THAT
Brenda is the kind of person that I like.
2. The whole summer was sunny and warm, for a change. WHICH
……
3. Jean was the first person I asked for advice. WHOSE
……
4. Not a single house in the street had escaped undamaged. WHICH
……
5. Then I realised that I had left my wallet at home. WHEN
……
6. I don’t really approve of his proposal. WHAT
……
7. It is an event I would rather forget. WHICH
……
8. The police never caught the culprit. WHO
……
9. I have read all her books but one. WHICH
……
10. The finder of treasure is entitled to part of its value. WHOEVER

(Michael Vince: Advanced Language Practice)


Bibliography
1. Cambridge Business English Dictionary (2011), Cambridge University Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max Hueber
Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd edition).
Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for Practical
English Usage, OUP
MODULE VI
INSURANCE
Basic Concepts:
Insurance, premium, broker, life assurance
General objectives:
a. to improve students’ command of English
b. to help students develop and practice basic skills to enable them to operate
effectively in real life situations
c. to increase students’ knowledge of business terms
Specific objectives
a. to provide information and explanations about insurance and types of insurance
b. to improve vocabulary related to insurance

Recommendations:
m. read the texts carefully and try to address the corresponding tasks
n. use the dictionary to improve your vocabulary
o. focus on content and on language use
p. improve your control of grammar and build your vocabulary by practicing
different types of exercises

Expected results:
n. improve students’ command of English
o. build up speaking and writing skills
p. practice writing for specific purposes
q. encourage the independent study and self-instruction
BEFORE YOU READ
1. How many types of insurance do you know?
2. What does life insurance (assurance) mean?
3. Have you ever thought of making a life assurance for yourself/

READING

The Facts of Life

When it comes to life insurance, there is a question to answer first: does it make sense to mix
what are two different things – investment and insurance? If it is insurance you are after, go for
term insurance. It lasts for a specified term – for example, 10, 20 or 30 years. If you die during
the term, there is a pre-determined pay-out. If you survive, you get nothing back. There is no
investment element.

This insurance is primarily for people who have dependants – spouse, children or anyone else
such as ageing parents who will be worse off as a result of your death. The level of cover you
buy will depend on what existing life insurance you already have (for instance through your job)
and your dependant’s needs.

Think of your spouse. Would he or she need a lump sum, perhaps to pay off a mortgage or an
income? If the latter, insure for the lump sum which would produce the right level of income on
a reasonably assumed investment yield. Consider, too, whether you want a policy that pays out
before your death if you suffer a critical death. Be wary of an adviser who fails to question you
closely on all these matters.

If it is investment you really want, are there any tax advantages to investing through a UK-based
life policy as opposed to, say, unit trusts? Do get advice. Ask about supposed tax advantages.
How do they weigh against possible disadvantages? One is inflexibility in terms of varying a
regular premium, the timing of cashing in the investment and where you can actually invest your
money. Another is the extra costs of investing through life insurance, including the cost of life
insurance you may not really need. Grill your adviser on all these matters.
Assess carefully the reality of other advantages. Life funds may offer cheap switching between
different funds. But in practice, are you likely to be an active investor transferring your money
from one market to another? Some policies allow you to increase the life cover and decrease the
amount invested as your circumstances change – you get married, have children. Make sure an
adviser has taken account of all your needs. Find out about the pros and cons of buying a cluster
of small policies rather than one big policy. You may want the flexibility to cash in some policies
early while keeping the others going. What are the investment track records of the different life
companies?
What funds are available for investing your money? Answer to all these questions before getting
your life insurance.
(Adapted from Anthony Balley)

COMPREHENSION QUESTIONS
1. What kind of life insurance is the author of the article talking about?
2. What elements do you have to take into account when choosing a type of life insurance?
3. What risks are there if you don’t take all necessary precautions?

VOCABULARY PRACTICE
1. Match the following collocations with the corresponding definition:
1. accident insurance; 2. disablement insurance; 3. employer’s liability insurance; 4. fire
insurance; 5. holiday and travel insurance; 6. household insurance; 7. loss-of-profit
insurance; 8. motor insurance; 9. old-age insurance; 10.private health insurance; 11. property
insurance; 12. public liability insurance; 13. sickness insurance; 14. third party insurance
a) covers risks during vacations, including loss of luggage, losses due to delays
while travelling, theft or loss of money, traveller’s cheques, credit cards
b) covers the risks involved by compensation payable to employees for suffering
injury or disease during their work
c) covers the insured party’s risks of suffering loss in consequence of being disabled
d) covers an owner’s risk of having to pay compensation to a member of the public
who has been injured or has suffered loss while on the premises of his company
e) covers risks linked with the insured party’s liability to pay compensation to other
parties to whom he / she has caused some injury or loss
f) covers expenses of the injured while being sick and therefore unable to earn a
living
g) covers expenses of insured party due to accident
h) covers risks linked with the destruction of property and loss caused to the insured
due to flames, lightning
i) covers risks linked with structure of a house, sometimes with the things in the
house
j) covers the risk of an owner of losing profit because of circumstances beyond his
control
k) covers the risks of being unable to make a living on account of the advanced age
l) covers costs of damage to and due to the insured party’s motor vehicle
m) covers the insured party’s expenses for private medical treatment
n) covers all risks linked with the insured party’s property

Bibliography
1. Cambridge Business English Dictionary (2011), Cambridge University Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max Hueber
Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd edition).
Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for Practical
English Usage, OUP
MODULE VII
CORPORATE ALLIANCES AND ACQUISITIONS

Basic Concepts:
Joint venture, merger, takeover
General objectives:
a. to improve students’ command of English
b. to help students develop and practice basic skills to enable them to operate
effectively in real life situations
c. to increase students’ knowledge of business terms

Specific objectives
a. to provide information and explanations about types of alliances and acquisitions
b. to improve vocabulary related to mergers and acquisitions
c. to acquire knowledge about writing a report

Recommendations:
q. read the texts carefully and try to address the corresponding tasks
r. use the dictionary to improve your vocabulary
s. focus on content and on language use
t. improve your control of grammar and build your vocabulary by practicing
different types of exercises
Expected results:
r. improve students’ command of English
s. build up speaking and writing skills
t. practice writing for specific purposes
u. encourage the independent study and self-instruction
BEFORE YOU READ
1. In groups, discuss the advantages and disadvantages of the combinations mentioned
above for both companies involved in the process.
2. Do you know any particular case of merger, joint venture or takeover? If you do, give all
the details that you remember and try to discover the reasons which led to that alliance or
acquisition.

READING

All Fall Down


Angry words and bruised egos are all too common in business. Even so, they rarely cost $21
billion, the value wiped from the shares in Glaxo Wellcome and SmithKline Beecham (SB)
when the two British drug firms cancelled their proposed merger on February 23rd, 1998. The
cost of the collapse is startling: it eclipses the total value of many other recent headline-grabbing
bids. That the merger will not go ahead is even more surprising. When it was announced, the
deal seemed the acme of the mergers that have swept through America and Europe in the past
three years. This poses an awkward question for a bull market that has in part been fuelled by
such deals. If one of the most praised mergers collapses, what does it say about the rest?

The plan that Glaxo and SB announced a month ago seemed like a dream come true. Just when
SB had been considering throwing in its lot with dull old American Home Products, the British
firm suddenly discovered that the local boy had fancied it all along. Analysts argued that Glaxo
was a stronger match. They also praised the way in which the two had apparently solved all most
difficult questions, such as which firm’s shareholders would own what percentage of the new
company and who would be the boss. Now SB is protesting that Glaxo tried to change the terms
at the last minute. The larger firm did not want to appoint only the chairman; it wanted Glaxo
folk to dominate the board.

Glaxo and SB had seemed to typify recent deals in several ways. First, its very size of well over
100 billion pounds was emblematic. Next, the Glaxo-SmithKline deal was typical in that it
linked firms from the same industry. They thought that in combination their corporate
headquarters would be leaner and their laboratories stronger.
Again, this deal was typical of mergers that unite firms at different points in the production
chain. Drug firms hate admitting that they do anything as unmedical as “market” their medicines,
but SB liked Glaxo partly because of its energetic sales force.

Glaxo-SmithKline is no less revealing in its undoing. For at first sight it seems to confirm the
view that mergers are inspired more by the egos of managers than a desire to create value. Report
after report has shown that mergers on average fail to benefit shareholders, especially
shareholders in companies that are buying rather than being bought. The reasons vary. But the
most common problem, according to economists who have studied mergers in America and
Britain, has been that the aims of owners and managers are misaligned. Managers want to build
empires; shareholders, numerous and unorganised, have often been powerless to stop them.

Intriguingly, even the apparently disastrous collapse of Glaxo-SmithKline hints that managers
might be behaving more like shareholders. Although the deal was feted by analysts, the record of
drugs mergers is no better than that of mergers in general. The new Glaxo-SmithKline depended
for its success on the collaboration of scientists and managers from both companies. At a
dreadful cost to their reputations, SB’s managers appear to have concluded that this is
impossible. Moreover, they have done so today rather than in a few years’ time, when the cost to
shareholders might have been far higher. The biggest mergers of the 1980s went wrong after they
happened. The biggest corporate marriage of the 1990s has fallen apart without even making it to
the altar. That’s progress.
(Shortened and adapted from The Economist)
COMPREHENSION QUESTIONS
1. Why did Glaxo Wellcome and SmithKline Beecham want to merge?
2. Why did their intention of merging fail?
3. What are the general causes for the failure of mergers in the opinion of analysts?
4. What is your personal opinion about it?
5. Why is the merger compared to a wedding in the last paragraph of the article?

VOCABULARY PRACTICE
1. Find words in the text that mean the following:
a) hurt, offended (paragraph 1)
b) amazing (paragraph 1)
c) climax, peak (paragraph 1)
d) offer (paragraph 1)
e) rising stock market (paragraph 1)
f) section (paragraph 2)
g) healthily thin (used figuratively) (paragraph 3)
h) to be celebrated, to be feasted (paragraph 6)

SKILLS FOCUS
WRITING

A Report
1. Read the following report written by a member of the Personnel Department for his boss
concerning a change to flexible working hours for office personnel and match the following
headlines with the parts of the report:
a) The “body” of the report
b) The date
c) The name of the person who writes the report
d) The introduction
e) The subject of the report
f) The receiver of the report
g) The conclusion of the report and personal recommendations
h) Addressing formula
i) Ending formula

FROM: Ann Johnson, Head of Personnel Assistant (1)


TO: George Wilson, Head of Personnel (2)
SUBJECT: Reaction to the change to flexible working hours (3)
DATE: May 14th, 2003 (4)
Mr. Wilson, (5)

Here you have my preliminary report on the initial reactions of the staff regarding the
possibility of implementing flexible working hours for office personnel. (6)
Some of the staff agreed that a flexible schedule would have a positive effect on their
activity, such as the secretaries, the Accounts Department, the sales reps, and most of the
members of the General Administration Office. There is, however, a large part of the staff who
voted against such a procedure. The people from Data Processing have to work in team, so
flexible hours would be a strong impediment. The staff from the canteen and security
complained about having to work longer hours. The strongest negative reaction came from the
Office Manager who emphasised the fact that flexible working hours would certainly lead to
cheating and abusing the system and would imply lack of supervision and more expenses. (7)
My recommendation is that a three-month trial period should be implemented, during
which an information session will be held at least every two weeks in order to better monitor
productivity and progress. (8)
Ann Johnson (9)

The report resembles the memo a lot. It is also an internal informal company document, but it
may be longer than the memo and it usually contains more details. It is generally an informative
document, presenting the results of a research, a project or a meeting depending on the situation.
It should be clear, concise and coherent; this is why it is advisable to write first a draft in which
to state very clearly the subject and the purpose of your report and to summarize your findings as
well as your recommendations. Don’t forget to use linking devices and to check the spelling, the
punctuation and the style at the end.

2. Imagine that you work in the Research and Development Department of the famous
McDonald’s company. Your boss, the Head of this department, asked you to make a research
project concerning a possible collaboration between your company and a Romanian construction
company in order to open a new McDonald’s subsidiary in your native town. You have to take
into account the area, the economical situation of the construction company as well as the costs
of the investment and the desirable profit.
Write a report to your boss presenting the results of your research.

Bibliography
1. Cambridge Business English Dictionary (2011), Cambridge University Press
2. Cullen, V. & Lehniger, D. (2000) B for Business. München: Max Hueber
Verlag
3. Dubicka, I. & O’Keeffe, M. (2011) Market Leader Advanced (3rd edition).
Edinburgh: Pearson Longman
4. Hollinger, A. (2009) Test Your Business English Vocabulary. Bucureşti:
Editura Universitară
5. Mascull, B. (2010), Business Vocabulary in Use Advanced. Cambridge
University Press
6. Swan, M., Baker D. (2012), Grammar Scan. Diagnostic Tests for Practical
English Usage, OUP
GLOSSSARY
MODULE 1
advertise verb
advertisement noun
auction verb
be in the market for something
bid noun, verb
billboard noun
brand noun
buy noun, verb
cold calling noun
commercial noun
consumerism noun
customer noun
customize noun
discount noun
distributor noun
endorse verb
flier verb
freebie noun
label noun
leaflet noun
market noun
promote verb
public relations
publicity noun
shopping noun
wrap verb

MODULE 2
accountancy noun
accountant noun
account noun
accounts payable plural noun
accounts receivable plural noun
asset noun
audit verb, noun
auditor noun
balance noun
balance sheet noun
bookkeeper noun
budget noun
capital noun
cash flow, cashflow noun
certified public accountant noun
cost noun
creative accounting noun
credit noun
deficit noun
fee noun
finance verb
invoice noun
liabilities plural noun
purchasing power noun
subsidise verb
tax noun
turnover noun

MODULE 3
barter noun
benchmark noun
bill of lading noun
cargo noun
Incoterm noun
letter of credit noun
trade noun
voucher noun

MODULE 4
articles of association noun
business plan noun
partnership noun

private limited company noun


public limited company noun
sole trader noun
SWOT analysis

MODULE 5
amortisation noun
ATM noun
bank noun
bankruptcy noun
bond noun
borrow (RECEIVE) verb
broker noun
checkbook noun
collateral noun
credit card noun
debit card noun
deposit noun
dividend noun
electronic banking noun
equity noun
exchange rate noun
flotation noun
internet banking noun
leveraged buyout noun
mortgage noun
merchant bank noun
overdraft noun
stock exchange noun
venture capital noun

MODULE 6
actuary noun
annuity noun
assure verb
assurance noun
claim noun
cover note noun
health insurance noun
indemnity noun
insure verb
insurance noun
life insurance noun
policy noun
premium noun
third-party insurance
underwriter noun