Unit 4-Advertising

Promotion is the aspect of marketing concerned with increasing sales. Promotion

attempts to increase demand for a product and thereby increase sales. Three main
promotion activities are: advertising, personal selling, and sales promotion. Sales
promotion involves several activities. They are two types: information(a pamphlet or
booklet, demonstration) and stimulation (the distribution of free samples, premiums
and coupons)Sales promotions also involve displays of the products)
Personal selling involves a salesperson trying to convince customers directly to buy
a product.Advertising is a non-personal presentation of goods, services or ideas
aimed at a mass audience. It`s particularly suited for products that are widely
distributed, such as convenience goods. There are several methods of advertising
and several media. The method selected depends upon the product, the distribution
of the market, and the type of information. For example television advertising
reaches a large audience. It is a new and unique way of talking to consumers. It has
the advantage of appealing to the emotions of the audience through the sense of
sight and sound. Television advertisements are expensive to produce and must be
repeated thousands of times in order to justify the cost of production. Newspaper
advertisements, on other hand, can appear on a particular day in a particular
geographic area.A newspaper advertisement can contain a lot of written
detail.Advertisers everywhere know that personal recommendation carries great
weight.Normally word-of-mouth-promotion is free, but impossible to
arrange.Outdoor advertising is other type of advertising.In fact it is most effective
when coupled with other media. But as outdoor advertising is a glance medium,
messages must be brief to fit in a 2-3 second time frame.
In general advertising works best when the demand for a product is increasing.
Using advertising a company can emphasize the differences between its product and
that of the competition The purpose of the advertising is to communicate
information that convinces a customer to buy a specific product.
There are some factors which make your advertising campaign successful. First off
all it`s targeting. You must know particular limited group or area for which you
produce goods or services. Advertising campaign must be cost effective and of
course generate sales.
Unit 5-Employment
Most large companies have special personnel department, which are responsible for
employer-employee relations. Every personnel department has a method for
choosing the best candidate from among the applicants for the position. Many
companies is tasting prospective employees and conform the interview with them.
At first applicant should write CV. Resume should contain the most important
information for the position, which you are seeking and so you should write one or
two top skills or abilities and living the rest for the interview. CV must be easy to
read, concise but dont ramble. And most important in applying for a job is
interview. I think that the key factor of successful interview is preparation. First of
all applicant shell find out about the job. He could ring up the Press Officer or the
Marketing Department. Other main factor is make good impression an interview. A
growing number of firms consider that employee is face of the company. The
interviewers dont like applicants who dont look smart. That way if you dont know
the dress code of the company when you want to apply for you shell steak formal
style.Also three quarters of people fell anxious about job interviews, but you should
remember that this anxiety can help to lose the position before getting it.\\
Unit 6Trade
Most countries realize the advantages of world trade. Countries have developed their
economies, increased production of goods and met market demands through
increased world trade. International trade develops because certain countries are able
to produce some goods more efficiently than other countries. They exchange goods
to satisfy their needs and wants. Efficient production may be the result of several
factors A certain climate in a particular country may allow that country to grow
agricultural products in abundance. Countries with a large pool of unskilled laborers
are able to produce products which are labor-intensive more cheaply than countries
with highly paid skilled labor forces. Another factor is geographical location.
Countries like Singapore and Panama engage in banking and trading because they
are located on world trade routes. The process of globalization leads to development
of free trade. It becomes possible due to deregulation and liberalisation. Restriction
on import are getting less strict, for example custom procedures are simplified,
customs tariffs are getting lower, no quotas are established. The policy of open
borders is quite typical for industrial nations now. But free trade is not always a
good thing and is not always possible. Even developed countries have to protect
domestic producers, especially in strategic industrie. So they have to subsidize such
industrie or put up some barriers in overseas trade to prevent them from failure.
The most important point in the international trade is methods of payment. The
irrevocable letter of credit is one of the most common method of payment in
international trade. Other methods of payment are payment by draft or bank transfer.
The buyer applies to the bank for the letter of credit in favour off seller. In his
application for the buyer must show the total value of the contact and encloses list
specifying the goods to be sold under the contract. The person in who`s favour the
LC is granted and who gets the money is called beneficiary. The shipping terms in
international trade are specified in Incoterms. This document is recognized by most
countries. The most common are CIF and FOB. The bank affects payment to the
seller only against bill of lading and other necessary shipping documents.
Unit 13- Cultures
Culture is the way we do things around here The here in question may be a
country, a region, a company, a university. Clearly we each live in a set of cultures
and subcultures that interlock in complex ways. One of the most dangerous things is
to generalise about them. Stereotypes are of course to be handled with caution. The
stereotypes may represent the middle of a range of differing behaviours, it may be at
one extreme or it may just not true. To grasp at first glance the difference is too hard,
only gets involved in one of the cultures will make it seem more apparent. Cultural
awareness play general role in business relations. If businessman work in
multinational company he must have image about others cultures. For example it`s
important to know start meeting with exchanging business card or giving presents,
need to shake hands or may be kissing. There are some areas where there are
variations in behaviour across different cultures, such as: religion- does it play a role
in business life? Many developed countries dont permite sex and race
discrimination .Different kinds of cultures affect business. There are different
attitudes towards work, and towards resolving problems and working in teams. You
should have e very open attitude to how people approach work.
Unit 9- Money
Money is always looking for places where it will be most profitable and a earn the
greatest return on investment . As an individual you can put your money on deposit
in a bank you will get interest .Your money is lent out to people, business and
governments who need it to finance their own projects and the bank will make its
money on the difference between what it pays out in interest on deposits and what it
gets in interest from its loans. If you want to live more dangerously you could buy
some bonds and you will get your interest payments . The dividends will be more
than what you would get from bonds , and the shares themselves will increase in
value , giving you a capital again if you sell them. But if the company goes
bankrupt , you will lose your money . Most investors are not private individuals but
institutions like banks , insurance companies , mutual funds and pension funds who
may be investing the money of private individuals indirectly . The markets they
invest in include the money and currency markets , stock markets for shares ,
commodities markets for anything from gold to park bellies and property.As a store
of value, money acts as a way to maintain the value of accumulated wealth until it is
needed to purchase good or services .Money must be acceptable , divisible , durable
, portable , stable in value , and difficult to counterfeit . All money has these
characteristics:1)Acceptability is probably the most important characteristic of
money . Money mush be readily acceptable as payment for goods and services and
for the settlement of debts .2) Divisibility . Money must be easily divisible into
small units of value in order to facilitate exchange .3)Portability . It must be possible
to carry money easily for it to function as a medium of exchange . 4)Durability .
Money must be durable . Because of continuous use , money must be able to retain
its original qualities over a long period of time and through much handling.
5) Stability . Money much be stable and maintain its declared face value . 6)Difficult
to counterfeit . Money must be difficult to counterfeit , or duplicate illegally.
People will lose confidence in and stop using a currency if it can be counterfeited
easily .Every country takes some steps to make counterfeiting difficult .Some
countries use highly colored money ;others use specially watermarked paper that is
difficult to duplicate . For paper money can uses special paper containing silk
threads or metallic filament .
Unit 11- Change
OC is about this whole process, from defining the change through to making it
happen. Main questions are why do we need? Who is or should be involved? What
needs to change?How are we going to change? There are many popular methods of
organizational changing. Downsizing the most frequently met. Downs-g is reduction
of the size of the company by making stuff redundant. Another trend is reengineering, the idea that an organisation should not change incrementally, but
should start again from scratch. This process is named business process reengineering or BPR.OC is one of the most important fields in management today.
The key points are that only people can initiate change and that change can only
happen through people. People are at the heart of organization and of the change.
But any time people resist change. Resistance to change is the most natural of
human reactions and is based on uncertainty and it`s based on fear-fear of loosing
your job, fear of perhaps not being able to cope with a new situation. All of those are
very natural reactions and the way to manage resistance is not to completely ignore
it but actually to manage it as if it were natural

Unit 7- Innovation
From the business of view innovation is a matter of profit. Why do so many
products fail? Usually for many reasons. Companies often are so charmed by their
new product ideas that they fail to do their research. Sometimes the pricing or the
distribution channels are wrong. Sometimes the advertising doesn`t communicate.
Market research is the key. Without the necessary information you can not identify
market needs and wants, product features, pricing, decision makers, etc. Before you
launch new product you must analyse such questions as: do you have the personnel
and manufacturing capacity to cope with the success? Do you know all market needs
and wants? Finally, you need the good promotional program to support the
introduction: advertising, trade shows, promotional literature, samples. Research,
timing and planning can all help increase the probability of success. There are one
closely related lesson, that being first is not very important. Being first is not often
very important. You will have success if you can make a great deal of money out of
good new ideas. In todays business world innovators are often swept away by large
corporations because they dont have exceptional skill. The success of large
corporations is based on their depth of technical expertise, their marketing skills.
These characteristics and timing enable them to develop the innovative concept far
more effectively than the innovators themselves. For example, Berkey produced the
first handheld electronic calculators. But today the calculators we use are made by
Casio. Our video recorder comes from Matsushita but its innovator was Ampex. But
also we can see company, that are founded by true innovators. For example, Disney,
Ford, Sony company.
Unit 1-Globalisation.
2Globalization is the tendency for the world economy to work as one unit, led by
large international companies doing business all over the world. We can see
advantages and disadvantages. The great advantage of globalization is that it increases
competition. Companies have to be careful and have to be order their affairs so that
they compete in a global market .But this allow is outweighed by large number of
disadvantages. The first one is influence of corporation on the government. The
Corporation is able to say to the government unless it lowers its taxes on them. The
other problem is one of unemployment in the Western world. We are just about to see
a major change in the global economy because of the addition of China and India to
the global labour market. There are great advantages in this but there are a lot of
problems because China and India are going to provide a skilled population.
Globalisation Include the term multinational its used for a company which has
subsidiaries are sales facilities throughout the world. There are two reasons for the
development of multinationals. Firstly, when markets had become saturated, they
realized that they could only increase profits by setting up subsidiaries, trade barriers
against a companys productions. The multinational is big and rich. The main
objective of the multinational is to organize its activities around the world.1This has
made it possible for a firm to manage a globally spread production system. As a result
of the technological innovations is emergence of global markets for consumer
products. One of the way for a local company to become a global enterprise is
increase the number of countries of operation. To be a global company its necessary
to view the world as a single unit and treats all the countries the same. To have a onesize-fits-all strategy on a worldwide scale. This means using the same production
methods, the same advertising, making and selling the same items, having the same
corporate policies. Today, franchising is one of the most dynamic systems for the
organization of a business. From 1995 to 1999, the first 22 franchising enterprises
appeared on the Russian market. These included a series of famous Western
franchising systems that began to develop - Baskin & Robbins, Kodak, Subway,
Xerox and many more.
Unit 3 -Travel
Almost all people are fond of travelling. People may travel either for pleasure or on
business. There are various methods of travelling. For me there is nothing like travel
by air; it is more comfortable, more convenient and, of course, far quicker than any
other method. There is none of the dust and dirt of a railway or car journey, none of
the trouble of changing from train to steamer and then to another train. There are a lot
of problems, that business travelers met in the airport and on board. Probably the
main problem is seating requests.Some people want an aisle, some people want a
window, some people want to sit next to their colleague. One of the other things we
get is downgrading. Sometimes all airlines have to oversell flights and have to
downgrade passengers to a lower class - for example from First to Business Class or
Business to Economy. There are also problems with baggage. Passengers' baggage
may have been lost or damaged on flights. The abusive passenger is becoming a
world-wide problem. Also many cases of misbehavior are down to passengers
suffering from jet lag. Jet lag is the tired and confused feeling you can get after
flying a very long distance. One of the answers to the question How to attract
customers? is to solve all the problems connected with the flight and to make the trip
as comfortable as possible. To make the traveling easier in the future, however, trips
will involve much less human contact. It will begin with airline and hotel reservations
being made by voice recognition. Your secretary will then check you in and select you
a seat using a digital interactive television.
Unit 8- Organization
In business there are many legal forms of organization. The form of organization
means the type of ownership. Three main types of ownership are the sole
proprietorship, a partnership, and the corporation. A sole proprietorship is a business
owned and operated by one person. The single person can start a business by simply
purchasing the necessary goods and equipment and opening up shop. This person
makes all decisions, takes all the risks and keeps all the profits of the business. The
owner must pay personal income taxes on his profits. The sole proprietor has the
opportunity to be successful but he also runs the risk of financial ruin.
A partnership consists of two or more people who share the ownership of a business.
In this form both owners make decision. They pay only personal income taxes on
their share of profits. A partnership usually has more capital than a sole
proprietorship. The corporation is very different from both others forms of
organization. Forming a corporation is not easy. There are many legal procedures to
follow. The ownership of the corporation is divided into shares of stock. The stocks
owners note for a board of directors who hire a president. The board of directors also
decides what to do with corporation`s profits. The profits are taxed once as corporate
profits and then the individual stock holders pay personal income taxes on their
dividends. After all we see that the main differences between the types of ownership
are in their ability to raise capital, the size and continuity of the enterprise, the
disposition of the profits, etc. The current buzzword in working world is flexibility.
This has a number of related meanings. In case of flexible working personnel
practices hot-desking and only need to come into the office occasionally. Another
type of flexibility has existed for some time in the form of flextime or flextime
where people can choose when they work within certain limits. The third type of
flexibility is where employees are recruited on short contracts to work on specific
project.
Unit 16 Quality
Quality is the elimination of variation , or to put it another way , conformity to
specification . Things should turn out as they were designed and intended to be.
Product /service quality is the totality of features and characteristics of a product or
service such as appearance , reliability , durability , serviceability .A key to
successful quality is first to set a strategy , and then to communicate this strategy
effectively as a them to employees and customers. The quality of products or
services provided by business in an important concern to both the organization and
its customers . The concept of quality concerns how well and for how long a
product or service meets the requirements of the customer. The quality of a product
or service is the result of two separate activities :1) Product /service design , and 2)
the operations system that makes the product or provides the service . At the same
time the customers confidence in the level of quality should be attentively
considered , cost of quality problems is also an important factor . Poor quality
Specialists on Japanese quality suggest as much as 85% of the quality problems are
management problems . But at the same time within an organization we find not
only management , employees , material , facilities , and equipment all affect quality
. But management rather than employees , have the authority and tools to correct
faults . The company should aim for the highest quality level possible, because a
lack of quality can be more expensive than achieving high quality . Quality theorists
have shown that prevention is usually much cheaper than failures . Every extra
dollar spend on prevention might save $10 spent on inspection and failure costs .
Further more . even if the current quality level appears perfect , the company
should still continuously look for product improvement , and aim to be the best in
the industry . Companies should always engage in benchmarking , when a firm sees
which company performed in a particular task best and model their performance on
this best practice . Quality control : The Japanese invented quality circles:
voluntary groups of 6 to 12 people , who are usually given training in problemsolving , analysis , and reporting , identify sources , find solutions to eliminate them
, and propose these to management . Quality circles have been less successful in the
more individualistic cultures of America and Europe . Another idea developed in
Japan is the system of just-in-time production or lean manufacturing , where parts
are only made and supplied when they are needed , so that the need of financing and
storing of inventories of parts are eliminated .

Unit 2- Brands
Brand a name given to a product or group of products by a company to easy
recognition. A brand can be a nam, a term or a symbol. The brand name means not
only the trade mark but also, as rule, the firm and its product and services. This name
also includes the goodwill which is additional value of goods and services.
It is used to differentiate a product from competitors products. The consumers trust
those products and services which guarantee them good quality and design, wide
range of choice and good reputation of products. In the process of promotion different
kind of advertising provide brand awareness, show its core values and create brand
image. There are different types of brands. There are the stand alone brands or
individual brands, for example Ariel, Haagen Daaz ice-cream or Marlboro cigarettes.
They require separate marketing support. There's also the corporate branding, or
family brands such as Heinz or Virgin, Marks and Spencer, Levis. Brand stretching
is a process when a company starts to use an existing brand name on a different type
of product, hoping that people will buy it because they recognize the name.
Some brands easily stretch into other kinds of goods and services. Brand stretch best
when they have an emotional response. One of the most successful brand-stretchers is
Walt Disney, which has added merchandise shops, books, videos, games and theme
parks to its original filmmaking. The move from making childrens cartoons to other
products using the same figures appears a natural development. Now the problem of
counterfeiting and fashion piracy is getting worse all over the world.
Counterfeiter is a person who copies goods in order to trick people.At the modern
fashion goods market there often happen fashion piracy cases: illegal coping of
products and designs of famous firms in order to get profit. The better known the
brand name, the more people want to rip it off. The fake goods not only reduce the
companys own sales but damage its brand image by linking it to poor quality
mechandise. Very many people buy cheap goods with a disign of a famouse brands
without realising that its a fake.
Unit 14-Leadership
In our history there are many examples of leaders. Many of them are mans. One of
the famous leaders is Bill Gates. Was born in 1955. In USA in Seattle. He is founder
of Microsoft. Left Harvard University without a degree, now believed to be worth
over $ 100 billion. But the fact that the number of man-leaders more than the
number of woman-leaders dont mean that they more better. Some organizations are
their leaders. Bill Gates is Microsoft. Anita Roddick embodies Body shape.
Enterpreneurs and founders of their organizations they are perceived to have
visionary leadership qualities. They are leaders not only of their companies but of
public opinion. Leadership is ability to influence employees to work toward the
achievement of organizational goals. There are three basic style of leader ship:
autocratic, democratic, free rein.
Autocratic leaders make all the decisions and then tell employees what must be done
and how to do it. These leader generally use their authority. An advantage of
autocratic LSH is that it allows managers to make decisions quickly. It`s major
disadvantage is it`s disregard for the ideas of employees. The autocratic style can be
very effective when employees are unskilled, untrained, or unmotivated. Democratic
leaders allow their employees to get involved in decisions. Democratic LSH does
slow the decision-making process. Free rein leaders let their employees work
without much interference. One of the main question of this topic is Are leaders born
or made? I think it`s probably a bit of both. All human are born with certain qualities
and certain genetic traits. Some people develop this qualities some not. This is major
factor why somebody will be leader or not.
Unit 12 Strategy
Strategy is one of the most important means for achieving of stated aims. In business
its very important to be able to risk, that is to know when to buy shares, and when
to dispose of them. A good entrepreneur should be able to merge small companies
not being afraid to expand his business. Besides he should be able to concentrate and
to drive business rationally. A person who wont make attempts of mergers will be
likely to stay without profits. Large-scale projects require serious actions, costs and
efforts. People would only make decisive steps when someone reassures them that
they are safe . There are four types of strategy :First of all its merger is an occasion
when 2 or more companies , organizations join together to form a larger company .
The second types it is taking over is the act of getting control of a company by
buying more than half of its shares . The next one is Join Venture . JV- is a business
activity in which 2 or more companies have invested together . And fourth type is
alliance its an agreement between 2 or more organizations to work together , it
means combining two or more companies . I want to say some words about the
developing of strategy for a large company. The management should think about
the assets of the company and whats unique about those assets, what markets they
know about and what market are growing and which of those markets can make the
best use of their assets. Then they consider all these things and then they develop the
strategy, which consists of three simple steps:The first step of the company is
simply to operate better. To create better profit , and better cash generation better
long term value for the shareholders .The second step is to look at the assets they
have and see which ones they should keep and which ones they should dispose
of.And then the third step is to stick together all their businesses, so that they are
able to use each others assets to make a great whole .The strategies of large
companies are trends towards more focus on people, towards more teamwork. The
strategy should be clear and define a unique goal. The example of such strategy is
Coca-Colas. they are going to focus on their product, on international markets, and
they are going to focus on distribution and promotion.
Unit 15- Competition.
There is competition wherever two or more companies supply the same product or
service to the same group of customers. Weaker organizations are driven out of the
market often as a result take-overs. This may lead to a situation when a few large
organizations dominate the market and fix the market to their advantage. That is why
the creation of cartels is illegal in most countries. However monopolies still exist.
Traditionally a monopoly is an organization that has no immediate competitors and
has a major national assets under the government control. There are other terms to
describe competition: duopoly (the possession of delivery of a product or service by
only two suppliers) and oligopoly (the possession of the delivery of a product or
service by a limited number of suppliers). Governments usually restrain these
companies from fixing prices. The greatest competition comes between the current
players in a particular market. In the second case companies have to compete with
players from different markets. Companies welcome different strategies which help
them gain a competitive advantage. So some of them become cost-leaders. There a
firm sets out to become the low-cost producer in its industry. The firm has a broad
scope and serves many industry segments, and may even operate in related
industries. The firms breadth is often important to its cost advantage. Cost advantage
depends on the structure of the industry and on factors such as technology, access to
raw materials. The others become differentiators whose main target is consumers
looking for particular product attributes. The firm chooses a segment or a group of
segments in the market and tailor their strategy to serving them to the exclusion of
others. Differentiation can be based on some factors such as product itself, the
delivery system, the marketing approach and others. The third kind of strategy is
focus. This strategy is quite different from the others because it based on narrow
competitive scope within an industry. The focusers concentrate on one particular
segment and try to find competitive advantage by satisfying the needs of buyers in
that segment better than anyone else. These are the available choices that a
commercial organization has if it wants to compete effectively and not get stuck in
the middle. Competition on costs is complicated by the need to maintain quality,
but fortunately, there are strategies that can be adopted to cut costs without
diminishing quality. They are the following: reduce waste, reduce staff costs, lower
quality, reduce margins and make a deliberate loss. In the first case a company could
locate manufacturing facilities closer to suppliers to reduce transportation costs. The
second strategy may imply either downsizing or applying new technology. The third
strategy may seem a bit of a joke, but it has come into vogue in the car industry. The
last strategy may seem strange, but there can be short-term reasons for doing so. The
first is to sell the core product at a loss and then sell supplementary products training
at profit. The second is to offer the basic model at a loss but then use sales
techniques to persuade the customer to upgrade to a more expensive, profitgenerating models.
Unit 10 Ethics.
Should a company have a code of ethics?I think from my point of view it`s useful on
two counts. Firstly it makes a commitment to certain good behaviour and so it`s a
way of communicating the importance of good behaviour to all of it`s employees
and partners. Secondly if a company has a code of ethics and spends time
communicating it it does actually contribute to it`s ethical behaviour. I think
following up that code is difficult. People tend to have different ethical standards
and defining the term ethics can be a problem. But I think generally to express
what your ethics are is a positive thing to do. A code of ethics exclude unethical
behaviour on the work such as sexual harassment, bribes, whistle blowing. And
promote to reflect sosietys standards.
The first definition of bribe is money that is paid secretaly and dishonestly to obtain
someone`s help.There are many types of bribe: kickback(money--``---),sweetener(something used to make an offer, suggestion),backshees,,
backhander and greesing of pulms.
The process when someone who has power or authority uses it in a dishonest or
illegal way to get money or an advantage has name corruption. In 1993 was founded
Transparency International. Is a private group which fight corruption and bases its
information on seven international surveys of business people, political analysts, and
public. The most corrupt countries is the countries of the Third World. The 3 World
would be less corrupt if developed states stopped offering bribes.