12. a break-even point - точка самоокупаемости, точка критического объема производства
13. net loss - чистый убыток
14. advertising - рекламирование
Text. Product, Price, Promotion and Place: The Four P’s of Marketing
The total marketing concept involves four steps, or, as they are often called, the four P’s of marketing - product, price, promotion and place.
Product. The place to begin is with the product itself. A business must determine what kind of product potential customers want. Companies employ very complex market research techniques to find out. Surveys by phone, mail, or personal interview can reveal, exactly, what’s on the consumer’s mind. The product warranty card that you return after a purchase provides marketing information too. Sophisticated research mathematics applied to a sample of consumers can typify the rest of the consumers. If we can find out what a few want, we can assume the others in the group of population will want the same things. Deciding who should be in the sample is the problem. Researchers have very detailed formulas for constructing marketing samples.
Price. Another major part of marketing is price. Companies have to decide on a product price that will cover all costs and also return a profit. Included in costs are such fixed expenses as rent and insurance. Variable expenses must be anticipated too. Those include the costs of material and commissions. These costs are used to compute a break-even point - the point at which income from sales equals fixed and variable expenses. On one side of this point, the company will have a net loss and on the other side, a net profit.
Promotion. Promotion is a key part of marketing because it is the way business get their messages to consumers.
Businesses would like to see steady growth rather than sudden surges in business. One function of promotion is to maintain a steady and growing demand. Promotions through advertising in the media, direct mailings or through personal contact are a few of the ways producers make their products known to consumers. If consumers don’t know about a product, they won’t buy it. Through advertising, businesses tell people what products are available. Advertising even gives them reasons to buy.
Place. The final part of marketing, the fourth «P», is place. For a product to be useful, it has to be in place when and where it is needed. That should seem obvious. To sell products, business must anticipate «when» and «where» consumers will buy them. A hot dog at a baseball game on a sunny afternoon is an example of excellent product placement. A lemonade stand in the winter is not. Hot dogs have less value after the game, and lemonade has more value in the summer.
II. Exercises on the Text:
3. GiveEnglishequivalentsto:
Общее понятие маркетинга включает четыре момента; потенциальные покупатели; исследования по телефону, по почте; на уме покупателя; обследуемая группа покупателей; чего хотят немногие; очень подробные формулы; покрывать все издержки; такие постоянные затраты как рента и страхование; вычислить точку самоокупаемости; ключевая часть маркетинга; в средствах массовой информации; предприятия должны предвидеть.
4. Ask questions for these answers (work in pairs):
1. The total marketing concept involves four steps.
2. They are product, price, promotion and place.
3. Yes, it must.
4. Surveys by phone, mail, or personal interview can reveal it.
5. The product warranty card provides marketing information too.
6. It is price.
7. Variable expenses must be anticipated too.
8. A break-even point is the point at which income from sales equals fixed and variable expenses.
9. Promotion is a key part of marketing.
10. Advertising gives people reasons to buy products.
11. To sell products, businesses must anticipate «when» and «where» consumers will buy them.
5. Translate the following into Russian:
The Major Marketing Functions
| Marketing Activity | Description |
| Gathering information | Business firms collect information about the market to forecast potential sales |
| Buying | Before finished goods can be sold, they must be selected and purchased. |
| Transporting | Goods must be shipped to the place where they are sold. |
| Selling | Goods must be advertised, promoted and sold. |
| Storing | Business firms had more goods than they can sell in a single day. These must be stored until they are sold. |
| Financing | Cash or credit must be found to pay for the goods the business intends to sell. |
| Standardizing and Grading | «Standardizing» is establishing uniform specifications for a product or a service. «Grading» is classifying products by quality and size. |
| Managing risk | People in business risk loss if things fail to go as planned. Steps taken to limit these risks fall into this category. |
III. Grammar Exercises
6. Write out these sentences putting the verb in brackets into the future tense:
1. The study of economics (to help) you to understand economic forces better.
2. Cleaning up the river (to require) a major effort, and considerable expense.
3. A change in the price of one item (to result) in a shift in the demand for a substitute.
4. An increase in production costs (to have) the opposite effect - supply (to decrease).
5. As long as supply and demand remain unchanged, the equilibrium of market price (to remain) constant.
7. Make the sentences (a) interrogative, (b) negative:
1. They will try to economize to get the most from what they have.
2. Economics will also help you to fulfill your responsibilities as a citizen in a democracy.
3. Economists will agree that unemployment is bad.
4. Entrepreneurs will try to run their businesses to earn the greatest profits.
8. Fill in the blanks with the verbs «can», «may», «must», «have to», «to be able (to)»:
1. Liquidity is a measure of the ease with which you ____ convert your savings to cash.
2. Since a society cannot have everything, it ____ decide which goods and services it will have now.
3. Americans ____ to own property for business purposes and use it to produce income.
4. Most producers ____ make more than one product.
5. Such systems ____ characterize isolated tribes or groups, or even entire countries.
6. Unable to compete with the Japanese, the company ____ to go out of business.
7. Any number of persons ____ contract to form a partnership.
8. You ____ earn the income to buy the things you want.
9. The number and value of things we ____ to buy depends upon the size of our income and how wisely we spend it.
10. Most of the time, we ____ to keep track of our expenditures so we ____ to meet our immediate needs.
9. Translate the following sentences paying attention to the different functions of the word «one».
1. In fact one common definition of economics is «the study of how people make a living».
2. The market price is the one at which goods and services will actually be exchanged for money.
3. One of the main reasons people save their money is to earn interest.
4. Advertising provides us with information about prices, recent improvements in certain goods and services, and the availability of new ones.
5. The development of the socio-economic formations rises from the lower stage to the higher one.
10. State the part of speech of the following words:
management, speaker, production, economist, economical, economic, economics, national, technical, techniques, largely, product.
11. Form nouns with the help of the suffixes:
-ment: to manage, to agree, to govern, to employ, to invest, to develop.
-er: to consume, to programme, to produce, to buy, to sell, to plan, to own, to manufacture.
-tion: to produce, to distribute, to consume, to compete, to operate, to explain, to determine.
-or: to distribute, to invest, to operate, to regulate, to educate.
-ist: economy, sociology, psychology, behavior, special.
12. Read the text and retell the contents in Russian:
London’s economy is distinguished by a multiplicity of activities that reflect the structure of the British economy as a whole. Service industries account for almost three-quarters of total employment; they include banking, insurance, the civil service, transportation, education, food and drink, printing and publishing, retailing, and numerous professional and custom services. Tourism also plays a vital part in London’s service industries. Next in importance are manufacturing and engineering and the latter has allied industries; each of these two sectors accounts for approximately 10 percent of total employment. The production of precision instruments, computers, aircraft, automobiles, chemicals, and clothing, as well as the refining of petroleum, are all important. Not unexpectedly, Greater London possesses the country’s greatest concentration of professional, technical, and administrative occupations, as well as the highest average income in Britain.
The central area of London is dominated by service employment and characterized by the localized concentration of various activities: banking and finance in the City, insurance and law in Holborn, government in Westminster, newspaper publishing in Fleet Street, medicine in Harley Street, tailoring in Savile Row, retail outlets in Bond and Oxford streets, and education in Bloomsbury. Industrial activity is important in the so-called Victorian Manufacturing Belt-a crescent-shaped band on the southern bank of the Thames River, extending northwest from the City and Southwark. Here, small-scale specialized production dominates.
Providing the raw materials and access to markets is the extensive Port of London, the major docks of which are located just downstream from London Bridge. London is one of Europe’s largest seaports and handles virtually every type of commodity and cargo. To the west of Central London are newer manufacturing areas such as Park Royal. Toward the periphery of Greater London and in the surrounding outer metropolitan area are more sophisticated and specialized industries, such as those manufacturing aircraft, computers, and electronic equipment. To the west of London, economic development has been stimulated by the presence of Heathrow International Airport, and to the south, by Gatwick International Airport.
(From an Encyclopedia)
Grammar: 1. Participle II.
3. Сравнительныеобороты.
I. Language Practice
1. Practise the intonation in the questions and the answers:
Have you a ø warranty card? Had you a ø warranty card? Have you got a ø warranty card? `How many `classes `have you `got toö day? `Is there an evening `department at the ø faculty? Are you a ø student? `You are a student of the `All-`Russian `Distance `Institute of Finance and ö Economics, aren’t ø you? `Do you ø study or ö work? Do you ø agree? `I’m ø afraid I don’t ö agree. `Do you `really think ø so? `You’re `quite ö right. `You didn’t `study `last year, did ø you?
2. Listen to the speaker; read and memorize the following words and phrases:
1. technique - [tek`ni:k] - техника (исполнения)
2. an organization chart - организационная схема
3. to designate [`dezilneit] - определять
4. executives [il`zekjutivz] - директора
5. execution [eksi`kju:n] - выполнение
6. foreperson - мастер
7. department head - начальник (цеха)
8. with respect to - что касается
9. supply - поставка, снабжение
10. accounting - учет
11. supervision - наблюдение
12. guidance [`laidcns] - руководство
13. records and reports - учетные документы и отчеты
14. wage incentive program - программа финансово-материального стимулирования
Text. Industrial Management
Industrial Management, in business, term used to describe the techniques and expertise of efficient organization, planning, direction, and control of the operations of a business.
In the theory of industrial management, organization has two principal aspects. One relates to the establishment of so-called lines of responsibility, drawn usually in the form of an organization chart that designates the executives of the business, from the president to the foreperson or department head, and specifies the functions for which they are responsible. The other principal aspect relates to the development of a staff of qualified executives.
Planning in industrial management has three principal aspects. One is the establishment of broad basic policies with respect to production; sales; the purchase of equipment, materials, and supplies; and accounting. The second aspect relates to the implementation of these policies by departments. The third relates to the establishment of standards of work in all departments. Direction is concerned primarily with supervision and guidance by the executive in authority; in this connection a distinction is generally made between top management, which is essentially administrative in nature, and operative management, which is concerned with the direct execution of policy. Control involves the use of records and reports to compare performance with the established standards for work.
Industrial management as just defined dates from the latter part of the 19th century. A notable impetus to its evolution was provided by the American engineer Frederick Taylor, who developed techniques for analyzing the operations involved in production and for setting standards for a day’s work. The techniques originally devised by Taylor were adopted by industrialists to other phases of business, including the employment of qualified workers, and wage incentive programs either to replace or to supplement the piecework system that had previously prevailed. Industrial management experts who succeeded Taylor have applied his techniques to a wider range of business problems. Among the leading successors are the Austrian-American management consultant and educator Peter Drucker and the American economist, writer, and diplomat John Kenneth Galbraith.
II. Exercises on the Text:
3. GiveEnglishequivalentsto:
термин, используемый для описания; два главных аспекта; так называемый; которые определяют директоров предприятия; штат квалифицированных исполнителей; установление политики; закупка оборудования; уровни работы во всех отделах; в этой связи; высшее руководство; действующее руководство; управление; использование учетных документов и отчетов; заметный толчок; техника для анализа действий; была применена промышленниками; программы финансово-материального стимулирования; система сдельного труда; среди ведущих преемников; педагог.
4. Ask questions to these answers (work in pairs).
1. Organization has two principal aspects.
2. One relates to the establishment of so-called lines of responsibility.
3. An organization chart designates the executives of the business.
4. Yes, it does.
5. Planning has.
6. The third aspect relates to the establishment of standards of work in all departments.
7. Yes, it is.
8. A distinction is made between top management and operative management.
9. Control involves the use of records and reports.
10. The American engineer Frederick Taylor.
11. It was adopted to the employment of qualified workers, and wage incentive programs.
5. Translate the following into Russian:
Characteristics of Economic Markets
| Perfect Competition | Monopolistic Competition | Oligopoly | Monopoly | |
| Numbers of Firms | Many independent firms. None able to control the market. | Many firms providing similar goods and services. | A few large firms providing similar goods and services. | A single large firm. |
| Control Over Price | None. Market determines price. | Influence limited by the availability of substitutes. | Often influenced by «price leader». | Much control. |
| Product Differentiation | None. Products uniform and equal quality. | Products and services differentiated to meet the needs of specific markets. | Significant for some products like automobiles. Little for standardized products like gasoline. | None. |
| Ease of Entry | Relatively easy to enter or leave the market | Relatively easy to enter or leave the market | Difficult. Often requires large capital investment. | Very difficult. |
III. Grammar Exercises