BUSINESS ENGLISH advanced

1. Socialising
The following text is about cultural diversity. Read it through once and decide which of the three statements (A, B or C) given below the extract offers the most accurate summary. 1. The Impact of Culture on Business Take a look at the new breed of international managers, educated according to the most modern management philosophies. They all know that in the SBU, TQM should reign, with products delivered JIT, where CFTs distribute products while subject to MBO. (SBU = strategic business unit, TQM = total quality management, JIT = just-in-time, CFT = customer first team, MBO = management by objectives.) But just how universal are these management solutions? Are these truths about what effective management really is, truths that can be applied anywhere, under any circumstances? Even with experienced international companies, many well-intended universal applications of management theory have turned out badly. For example, pay-for-performance has in many instances been a failure on the African continent because there are particular, though unspoken, rules about the sequence and timing of reward and promotions. Similarly, management by objectives schemes have generally failed within subsidiaries of multinationals in southern Europe, because managers have not wanted to conform to the abstract nature of preconceived policy guidelines. Even the notion of human-resource management is difficult to translate to other cultures, coming as it does from a typically Anglo-Saxon doctrine. It borrows from economics the idea that human beings are resources like physical and monetary resources. It tends to assume almost unlimited capacities for individual development. In countries without these beliefs, this concept is hard to grasp and unpopular once it is understood. International managers have it tough. They must operate on a number of different premises at any one time. These premises arise from their culture of origin, the culture in which they are working, and the culture of the organization which employs them. In every culture in the world such phenomena as authority, bureaucracy, creativity, good fellowship, verification and accountability are experienced in different ways. That we use the same words to describe them tends to make us unaware that our cultural biases and our accustomed conduct may not be appropriate, or shared. SBU = strategic business unit = unitate comercial, economic strategic TQM = total quality management = managementul total al calitii JIT = just-in-time = livrare exact la momentul potrivit CFT = customer first team =

MBO = management by objectives = managementul pe obiective pay-for-performance = plat pentru munca depus human-resource management = managementul resurselor umane at any one time = n fiecare moment premises = premise, locaii grasp = a pricepe, a nelege (n text) accountability = rspundere bias = tendin, orientare A. There are certain popular universal truths about management which can successfully be applied in various cultural contexts.

B. Cultures are so varied and so different throughout the world that management has to take account of differences rather than simply assume similarities. C. Effective management of human resources is the key to everyone achieving their full potential. Language Checklist Cultural diversity and socializing Welcoming visitors Welcome to My names Arriving Hello. My names from Ive an appointment to see Sorry Im a little late / early. My plane was delayed

Introducing someone This is He/shes my Personal Assistant. Can I introduce you to He/shes our (Project Manager). Id like to introduce you to

Meeting someone and small talk Pleased to meet you. Its a pleasure. How was your trip? Did you have a good flight / trip / journey? How are things in (London)? How long are you staying in (New York)? I hope you like it. Is your hotel comfortable/ Is this your first visit to (the Big Apple)?

Offering assistance Can I get you anything? Do you need anything? Would you like a drink? If you need to use a phone or fax, please say. Can we do anything for you? Do you need a hotel / a taxi / any travel information / etc.?

Asking for assistance There is one thing I need Could you get me Could you book me a car / taxi / hotel / ? Could you help me arrange a flight to? Can you recommend a good restaurant? Id like to book a room for tomorrow night. Can you recommend a hotel?

Skills Checklist

Cultural diversity and socializing Before meeting business partners and fellow professionals from other countries, you could find out about their country: The actual political situation Cultural and regional differences Religion(s) The role of women in business and in society as a whole Transport and telecommunications systems The economy The main companies The main exports and imports The market for the industrial sector which interests you Competitors

You might also want to find out: Which topics are safe for small talk Which topics are best avoided

If you are going to visit another country, find out about: The conversations regarding socializing Attitudes towards foreigners Attitudes towards gifts The extent to which public, business and private lives are mixed or kept separate Conventions regarding food and drink.

You might also like to find out about: The weather at the relevant time of the year Public holidays The conventions regarding working hours Leisure interests Tourism Dress Body language Language.

Practice 1

Make a dialogue based on the following flow chart. If you need help, look at the Language Checklist

Visitor

Receptionist

Introduce yourself

Say you have an appointment with Sandra Bates. Welcome visitor. Explain that SB will be along shortly. Decline ask if you can use a phone. Say yes / Offer fax as well. Decline you only need the phone. Show visitor to the phone. Thank him/her. (a few minutes later) Offer a drink / refreshments.

Thank assistant. Reply offer any other help. Ask how far it is to station. Two miles ten minutes by taxi. Offer to book one. Accept offer suggest a time. Promise to do that say that SB is free now. Offer to take him/her to SBs office.

About small talk

If you ask a question you should comment on the answer or ask a supplementary question.

Exercise 1 First words

Often the first words are the most difficult. Below are some suggestions for breaking the ice. Which of the sentences could be said by a visitor, and which by the person receiving the visitor? a. b. c. d. e. f. g. h. i. j. k. l. Sorry, Im a little early. I hope it is not inconvenient. Is the weather the same in your country? Sorry to keep you waiting. I was rather tied up just now. Im pleased to be here, after a trip like that! Is this your first visit? What do you think of the city? People are very helpful here. On my way to meet you Isnt it cold today? You found us without too much difficulty, then? Its good of you to spare the time. Its kind of you to come all this way. I like your offices. Have you been here long? Did you have a good trip?

m. Would you like a cup of coffee?

Exercise 2 Ending the small talk

If the small talk continues too long, you may want to change the subject to business matters. Here are some ways of doing it.

A. With someone you know well: Lets get down to business. Or lets get started. B. With someone you dont know well: Perhaps we could talk about the subject of our meeting. Or Perhaps we could talk about the reason Im here.

Which expressions would you use in the following situations? a. b. c. d. e. On a sales visit to a potential customer. At a weekly planning meeting with colleagues. At your first meeting with the new group auditors. At a meeting to obtain finance from a bank. Before making a speech at an office party.

2. Telephoning
Reading

2. Telephoning across culture Many people are not very confident about using the telephone in English. However, good preparation can make telephoning much easier and more effective. Then, once the call begins, speak slowly and clearly and use simple language. Check that you understand what has been said. Repeat the most important information, look for confirmation. Ask for repetition if you think it is necessary. Remember too that different cultures have different ways of using language. Some speak in a very literal way so it is always quite clear what they mean. Others are more indirect, using hints, suggestions and understatement (for example not very good results = absolutely disastrous) to put over their message. North America, Scandinavia, Germany and France are explicit countries, while the British have a reputation for not making clear exactly what they mean. One reason for this seems to be that the British use language in a more abstract way than most Americans and continental Europeans. In Britain there are also conventions of politeness and a tendency to avoid showing ones true feelings. For example if a Dutchman says an idea is interesting he means that it is interesting. If an Englishman says that an idea is interesting you have to deduce from the way he says it whether he means it is a good idea or a bad idea. Meanwhile, for a similar reason Japanese, Russian and Arabs subtle countries sometimes seem vague and devious to the British. If they say an idea is interesting it may be out of politeness. The opposite of this is that plain speakers can seem rude and dominating to subtle speakers, as Americans can sound to the British or the British to the Japanese. The British have the tendency to engage in small talk at the beginning and end of a telephone conversation. Questions about the weather, health, business in general and what one has been doing recently are all part of telephoning, laying a foundation for the true purpose of the call. At the end of the call there may well be various pleasantries, Nice talking to you, Say hello to the family (if you have met them) and Looking forward to seeing you again soon. A sharp, brief style of talking on the phone may appear unfriendly to a British partner. Not all nationalities are as keen on small talk as the British! Being aware of these differences can help in understanding people with different cultural traditions. The difficulty on the telephone is that you cannot see the body language to help you.

Choose the closest definition of the following words from the text.

1. literal a. direct and clear b. full of literary style complicated 2. understatement a. kind words speech 3. deduce a. reduce b. work out 4. vague a. unclear b. unfriendly 5. devious a. rude b. dishonest c. clever c. insincere c. disagree b. less strong way of talking c. clever c. abstract and

6. pleasantries a. question b. request

Language Checklist

c. polite remarks

Telephoning (1) Introducing yourself Good morning, Aristo. Hello, this is from Hello, my names calling from

Saying who you want Id like to speak to please. Could I have the Department, please? Is there, please? Saying someone is not available Im sorry he/shes not available Sorry, he/shes away / not in / in a meeting / in Milan. Leaving and taking messages Could you give him/her a message? Can I leave him/her a message? Please tell him/her Please ask him/her to ring me on Can I take a message? If you give me your number Ill ask him/her to call you later. Offering to help in other ways Can anyone else help you? Can I help you perhaps? Would you like to speak to his assistant? Shall I ask him to call you back? Asking for repetition Sorry, I didnt catch (your name / your number / your company name ) Sorry, could you repeat your (name, number, etc.).

Sorry, I didnt hear that. Sorry, I didnt understand that. Could you spell (that / your name), please. Acknowledging repetition Okay, Ive got that now. (Mr. Kyoto) I understand. I see, thank you. Skill Checklist
Telephoning: Preparation for a call

Reading background information Desk preparation Have the following available: Relevant documentation / notes Correspondence received Computer files on screen Pen and paper Diary

Check time available How much time do you need? How much time do you have?

Objectives Who do you want to speak to? In case of non/availability, have an alternative strategy: Call back / be called back when? Leave a message Speak to someone else Write or fax information

Do you want to: Find out information? Give information?

Introduction Do you need to refer to: A previous call? A letter, order, invoice or fax? Someone else (who?) An event (what? When?)

Prediction What do you expect the other person to say / ask you? how will you respond?

Exercise 1 Making a call

A few common expressions are enough for most telephone conversations. Practice these telephone expressions by completing the following dialogue using the words listed below.

Switchboard Conglomerate Group; can I help you? You Could I ------ ------- Mr. Pardee, please?

Switchboard Putting you ------ . Secretary You Secretary You Secretary You Secretary Hello, Mr. Pardees ------ . -------- I help you? ------, can you hear me? Its a ------ line. Could you --IS THAT BETTER? Whos --------, please? (your name) from (your company). Oh, hello. How nice to hear from you again. We havent seen you for ages. How are you? Fine thanks. Could you ------- me -------- to Mr. Pardee, please? -------- the line a moment. Ill see if hes in. Im sorry, Im afraid hes not in the ------- at the ------ . Could you give me your ----------, and Ill ask him to ------- you ---------- ? Im ----- 347 8621. Thats London. Would you like to leave any -------- for him? No thanks. Just tell him I --------- . Certainly. Nice to hear from you again. Ill expect him to ------- me this afternoon, then. Thanks. Youre welcome. Goodbye. ---- up, please?

You Secretary You Secretary You Secretary

On Secretary Rang

speak to through hold

back message office moment

bad

put

number can

call hello

ring

speak speaking through

Note: If you do not hear or understand the other person, say: Im sorry? or Im sorry, I dont understand. It is not polite to say: Please repeat!

3. Presentations

3. Planning and preparation

Language Checklist
Structure (1) The introduction to a presentation

Greeting Good morning / afternoon ladies and gentlemen. (Ladies and) Gentlemen

Subject I plan to say a few words about Im going to talk about

The subject of my talk is The theme of my presentation is Id like to give you an overview of

Structure Ive divided my talk into (three) parts. My talk will be in (three) part. Im going to divide First Second Third In the first part Then in the second part Finally

Timing My talk will take about ten minutes. The presentation will take about two hours but therell be a twenty-minute break in the middle. Well stop for lunch at 12 oclock.

Policy on questions / discussion Please interrupt if you have any question. After my talk therell be time for a discussion and any questions.

Skills Checklist Effective presentations planning and preparation

Audience Expectations Technical knowledge Size Questions and / or discussion

Speakers competence Knowledge Presentation technique

Content What to include Length / depth (technical details) Number of key ideas

Structure Sequence

beginning, middle, end Repetition, summarizing

Delivery Style Formal / informal Enthusiasm / confidence Voice Variety / speed Pauses Body language Eye contact Gesture / movement Posture

Visual aids Type / design / clarity Relevance

Practice Tape recorder

Script or notes

Room Size / seating Equipment (does it work?) Sound quality

Language Simple / clear Spelling Sentence length Structure signals

Practice 1 Look at the following situations.

A medical congress in Tokyo with papers on new techniques in open heart surgery.

The Purchasing and Product Manager of a Taiwanese company interested in buying some production equipment from your company.

An internal meeting of administrative staff to discuss a new accounting procedure.

A staff meeting to discuss a charity event for earthquake victims.

Imagine you have to give a brief presentation in two of the above situations. Make brief notes on the following: a. Will your talk be formal or informal?

b. What are the audiences expectations in terms of technical detail, expertise, etc.? c. What is the audiences probable level of specialist knowledge? Are they experts or non-experts? d. How long will your talk be: five minutes, twenty minutes, half an hour, or longer?

e.

What is your policy on questions? Will the audience interrupt or will they ask questions afterwards? Will there be any discussion? How will you help the audience to remember what you tell them?

f.

Practice 2

In any presentation the beginning is crucial. Certainly some things are essential in an introduction and others are useful. Here is a list of what could be included in an introduction. Mark them according to how necessary they are using the following scale:

Essential 1 2

Useful 3 4

Not necessary 5

Subject / title of talk.

Introduction to oneself, job title, etc. Reference to questions and / or discussion. Reference to the programme for the day. Reference to how long you are going to speak for. Reference to the visual aids you plan to use. The scope of your talk: what is and is not included. An outline of the structure of your talk. A summary of the conclusions.

Reading

Read the text below and find:

a. eight advantages of using visual aids b. three warnings about using visual aids

4. Image, impact and making an impression

Dinckel and Parnham (1985) say that The great danger (in using visual aids) is that presenters place the major emphasis on visual aids and relegate themselves to the minor role of narrator or technician. You are central to the presentation. The visual aid needs you, your interpretation, your explanation, your conviction and your justification. Visual aids can make information more memorable and they help the speaker. However, they must literally support what the speaker says and not simply replace the spoken information. It is also not enough to just read the text from a visual aid.

There are many advantages to the correct use of visual aids. They can show information which is not easily expressed in words or they can highlight information. They cause the audience to employ another sense to receive information, they bring variety and therefore increase the audiences attention. They save time and they clarify complex information.

Relegate = a retrograda, a degrada

Language Checklist
Using visuals

Types of visual support Visual: film / video / picture / diagram / chart / pie chart / plan / map Table graph x axis / horizontal axis y axis / vertical axis left hand / right hand axis Line graph solid line dotted line broken line

Equipment (slide) projector

slides (B.E.) diapositives (Am.E.) overhead projector (OHP) transparency (B.E.) slide (Am.E.) flip chart whiteboard metaplan board

Introducing a visual Id like to show you Have a look at this This (graph) shows / represents Here we can see Lets look at this Here you see the trend in

Comparisons This compares x with y Lets compare the Here you see a comparison between

Pie chart = diagram circular (rotund, plcint) Flow chart = schema procesului tehnologic / organigram Diagram = diagram Bar graph = diagram cu bare Table graph = grafic stil tabel Line graph = grafic cu linii overhead projector = proiector transparency / slide = slide-uri (slide) projector = dia-proiector slides / diapositives = diapozitive flip chart = panou cu foi de hrtie detaabile whiteboard = panou alb din material sintetic

Describing the speed of change

A dramatic A marked A significant A slight increase / fall To increase / fall

dramatically markedly significantly slightly

Describing trends

To go up To increase To rise To climb To improve To recover an increase a rise a climb an improvement a recovery

To go down To decrease To fall To decline a decrease a fall a decline

To deteriorate a deterioration To get worse a downturn

To get better an upturn To level out a leveling out To stabilize To stay the same To reach a peak

a peak

To reach a low point To hit bottom a trough

To reach a maximum To peak To undulate To fluctuate

an undulation a fluctuation

Skills Checklist

Using visual supports

Visual must be: well prepared well chosen clear

Available media Use media which suit the room and audience size. Overhead projector (OHP)

- Transparencies / OHTs / slides (Am.E.) Slide projector

- Slides / diapositives (Am.E.) Video / computer graphics / flip chart / whiteboard

Use of visual aids Combination of OHP and flip chart with pens often good. First visual should give the title of talk. Second show structure of talk main headings. Keep text to minimum never just read text from visuals. Do not use too many visuals guide is one per minute. Use pauses give audience time to comprehend picture. Never show a visual until you want to talk about it. Remove visual once finished talking about it.

Switch off equipment not in use.

Use of colour For slides, white writing on blue / green is good. Use different colours if colour improves clarity of message (e.g. pie charts.). Use appropriate colour combination: yellow and pink are weak colours on white backgrounds.

Use of room and machinery Check equipment in advance. Check organization of room, equipment, seating, microphones, etc. Use a pointer on the screen (not your hand). Have a good supply of pens. Check order of your slides / OHTs, etc.

You in relation to your audience Decide appropriate level of formality, dress accordingly. Keep eye contact at least 80% of the time. Use available space. Move around, unless restricted by a podium. Use gesture.

Practice 3

Draw a line graph for use in a presentation. Choose any situation or subject, real or imagined. If possible draw the picture on an overhead transparency. Then present the graph as you would in a presentation. Your description should last no more than one minute. If possible, construct a graph that makes comparisons possible. Use solid, dotted or broken lines (or colours) to make the picture clear.

DATAFILE: The Telephone

This datafile gives you many of the terms and phrases commonly used in making telephone calls.

The directory Look up their number in the directory. (UK). Ill look up the number in the telephone book. (US). The number is ex-directory. (UK). The number is unlisted. (US). Ill ring Directory Enquiries. (UK). Ill ring information. (US). The receiver Can I help you? Putting you through.

Im afraid hes not available at the moment. (UK). Im afraid hes tided up at the moment. Youre welcome. Goodbye. The line Hes on the other line. Would you like to hold the line? The line is engaged. (UK). The line is busy. (US). The operator (in the public telephone system) Dial 100 for the operator. (UK). Dial 0 (zero) for the operator. (US). Id like to make a reverse charge call. (UK). Id like to make a collect call. (US). Id like to make a transfer charge call. (UK). The dial Dial 123 for the correct time. (UK). Listen for the dialling tone. All lines to the country you have dialled are engaged. Please try later. (UK). The codebook Im on a long distance (or international) call. The STD code is (UK). The area code is (US). A message pad

Can I tell him who called? Can I give her a message? Let me take down your number.

Remember

If you do not understand, say Sorry, I didnt quite catch that.

Practice 1

Use the following flow chart to make a complete telephone conversation. If you need to, refer to the Language Checklist.

Caller

Receptionist

Good morning, Gorliz and Zimmerman. Introduce yourself.

Ask to speak to Mr. Conrad Bird. Mr. Bird is not in. Ask when you can contact him. Explain that he is away offer to take a message. You want Mr. Bird to call you. Repeat your name.

Give your number. Confirm the information. End call. End call.

Practice 2

In the following conversation, a Singaporean exporter plans to send goods from Singapore to Greece. He wants to have a meeting with a Greek shipping company, Intership. Suggest suitable phrases for each step in the conversation, then practice the dialogue with a colleague.

Caller (Computech)

Called Person (Intership)

Intership, good morning. Greeting. Introduce yourself. Check name. Confirm / correct. Offer to help.

Ask for appointment with Mr. Dionis. Ask what its about. Explain that you want to discuss transport of goods from Singapore to Athens. Acknowledge ask when would be a good time. Suggest next week. Reject Mr. Dionis is away. Suggest beginning of next month. Agree. Suggest Monday 3rd. Reject On Monday Mr. Dionis is busy all day. Suggest Tuesday. Agree. Suggest 10.00 a.m. Agree ask for fax to confirm. Offer to book hotel. Agree to fax hotel booking is not necessary. Signal end of call. End call / thanks / refer to fax, etc.

End call.

4. Meetings

1.

Preparation for the meeting

Language Checklist

Chairing and leading discussion

Opening the meeting Thank you for coming (Its ten oclock). Lets start Weve received apologies from Any comments on our previous meeting?

Introducing the agenda Youve all seen the agenda On the agenda, youll see there are three items. There is one main item to discuss

Stating objectives

Were here today to hear about plans for Our objective is to discuss different ideas What we want to do today is to reach a decision

Introducing discussion The background to the problem is This issue is about The point we have to understand is Calling on a speaker Id like to ask Mary to tell us about Can we hear from Mr. Passas on this? I know that youve prepared a statement on your Departments views

Controlling the meeting Sorry Hans, can we let Magda finish? Er, Henry, we cant talk about that.

Summarising So, what youre saying is Can I summarise that? You mean So, the main point is

Moving the discussion on Can we go to think about Lets move on to the next point.

Closing the meeting I think weve covered everything. So, weve decided I think we can close the meeting now. Thats it. The next meeting will be

Skills Checklist

Preparation for meetings

Chair Decide objectives. What type of meeting (formal or informal, short or long, regular or a one off, internal / external information giving / discussion / decision making)? Is a social element required? Prepare an agenda. Decide time / place / participants / who must attend and who can be notified of decisions. Study subjects for discussion. Anticipate different opinions.

Speak to participants.

Secretary Obtain agenda and list of participants. Inform participants and check: Room, equipment, paper, materials. Refreshments, meals, accommodation, travel.

Participants Study subjects on agenda, work out preliminary options. If necessary, find out team or department views. Prepare own contribution, ideas, visual supports, etc.

The role of the Chair Start and end on time. Introduce objectives, agenda. Introduce speakers. Define time limits for contributions. Control discussion, hear all views. Summarise discussion at key points. Ensure that key decisions are written down by the secretary. Ensure that conclusions and decisions are clear and understood.

Define actions to be taken and individual responsibilities.

Practice 1 Suggest phrases which could be used by a chairperson in the following situations in a meeting. a. To welcome the participants to a meeting.

b. To state the objectives of the meeting. c. To introduce the agenda. d. To introduce the first speaker. e. To prevent an interruption. f. To thank a speaker for his/her contribution.

g. To introduce another speaker. h. To keep discussion to the relevant issues. i. j. To summarise discussion. To ask if anyone has anything to add.

k. To suggest moving to the next topic on the agenda. l. To summarise certain actions that must be done following the meeting (for example, do research, write a report, meet again, write a letter, etc.).

m. To close the meeting.

Practice 2

1. In groups, work out a brief agenda, with an appropriate order, for a meeting of the marketing department of Axis Finance Ltd., a medium-size financial services company. Your agenda should include the points listed here: Any other business New products Minutes of previous meeting Marketing plans for next year Date of next meeting Review of marketing performance in the current year Personnel changes Chairs opening address Apologies for absence.

2. In pairs, prepare a brief opening statement by the chair to introduce the meeting above:

Think about what the opening statement from the chair needs to say Use your agenda as a guide Refer to the Language Checklist Practise in pairs

8. Participating in meetings

Language Checklist
Discussion in meetings

Stating opinion It seems to me I tend to think In my view We think / feel / believe Theres no alternative to Its obvious that Clearly / obviously

Asking for opinion Id like to hear from Could we hear from ? Whats your view? What do you think about ? Do you have any strong views on ?

Any comments?

Interrupting Excuse me, may I ask for clarification on this? If I may interrupt, could you say ? Sorry to interrupt, but Do you think so? My impression is What? Thats impossible. We / I think

Handling interruptions Yes, go ahead. Sorry, please let me finish If I may finish this point Can I come to that later? Thats not really relevant at this stage Can we leave that to another discussion?

Skills Checklist

Participating in meetings

Types of meeting Decision making meeting

Information giving meeting Spontaneous / emergency meeting Routine meeting Internal meeting Customer / client / supplier - first meeting / established relationship

Structure of decision making meetings Study / discuss / analyse the situation Define the problem Set an objective State imperatives and desirables Generate alternatives Establish evaluation criteria Evaluate alternatives Choose among alternatives

The DESC stage of meeting D E S C Describe situation Express feelings Suggest solutions Conclude with decision

Goal of decision making meetings

Objective: to get a consensus in a time-efficient and cost effective manner

Importance of communication Two-way process Participants must be aware of others needs Full communication and understanding is essential Four elements in communication: awareness understanding empathy perception

Reaching a consensus Discussion leads to consensus Consensus is recognised and verbalised by leader Decisions checked and confirmed

Practice 3

Use the skeleton outline below to recreate the entire dialogue with a partner. Choose alternative interruptions and ways of handling interruptions.

The fall in sales is mainly due to the recession affecting world markets. Interrupt: ask for clarification.

Polite response. (general fall of 5 % / most product areas / especially oil processing sector / also due to sale of Anglo, UK subsidiary) Interrupt: ask why Anglo was sold. Reject interruption: No time / discussed before.

Try to move on to future prospects. (the outlook is just good now) Interrupt: disagree. Respond: you disagree. Forecast are much better. Interrupt: you want to talk about new markets. Promise to discuss this later. But first Interrupt: suggest a break. Reject the idea.

Reading

1. Read the following extract and answer these questions. a. b. c. What kind of meeting is the text about? What structure does the text describe? What key points is made about communication?

2.

Read the text again. Do you agree with:

a. b. c. d.

The first sentence? Give reasons for your answer. Haynes suggestions for the steps involved in decision making? The view that communication must be a two-way process? What the writer says about consensus in the final paragraph?

The reason for having a meeting is to make a decision. Information may be given in a presentation followed by questions or discussion, but it is to get a consensus that the meeting has been arranged in the first place. Achieving this in the most time- and cost- effective manner possible is a goal that everyone attending (the meeting) must share. Marion Haynes (1988) maintains that decision-making meetings need to follow a specific structure. The rational decision process includes the following steps: Study / discuss / analyse the situation Define the problem Set an objective State imperatives and desirables Generate alternatives Establish evaluation criteria Evaluate alternatives

Choose among alternatives.

One other aspect of decision making is the necessity for participants in the meeting to be aware of one anothers needs and perceptions. If these are not effectively communicated, if there is an insufficient degree of understanding of one anothers requirements, then an acceptable conclusion is unlikely to be reached. There are four essential elements in decision-making: awareness, understanding, empathy and perception. It is only when we accept that communications are a two-way process that any form of communication, including decision making, will become genuinely successful and effective. Decision-making is not always an identifiable activity. Frequently the discussion can evolve into a consensus which can be recognised and verbalised by the leader without the need to put things to the vote.

Management

What do you think makes a good manager? Which four of the following qualities do you think are the most important? A being decisive: able to make quick decisions B being efficient: doing things quickly, not leaving tasks unfinished, having a tidy desk, and so on C being friendly and sociable D being able to communicate with people E being logical, rational and analytical F being able to motivate and inspire and lead people G being authoritative: able to give orders H being competent: knowing ones job perfectly, as well as the work of ones subordinates I being persuasive: able to convince people to do things J having good ideas

Reading

This text summarizes some of Peter Druckers views on management. As you read about his description of the work of a manger, decide whether the five different functions he mentions require the four qualities you selected in your discussion, or others you did not choose.

Peter Drucker, the well-known American business professor and consultant, suggests that the work of a manager can be divided into planning (setting objectives), organizing, integrating (motivating and communicating), measuring, and developing people. First of all, managers (especially senior managers such as company chairmen and women and directors) set objectives, and decide how their organization can achieve them. This involves developing strategies, plans and precise tactics, and allocating resources of people and money. Secondly, managers organize. They analyse and classify the activities of the organization and the relations among them. They divide the work into manageable activities and then into individual jobs. They select people to manage these units and perform the jobs. Thirdly, managers practice the social skills of motivation and communication. They also have to communicate objectives to the people responsible for attaining them. They have to make the people who are responsible for performing individual jobs form teams. They make decisions about pay and promotion. As well as organizing and supervising the work of their subordinates, they have to work with people in other areas and functions. Fourthly, managers have to measure the performance of their staff, to see whether the objectives set for the organization as a whole and for each individual member of it are being achieved. Lastly, managers develop people both their subordinates and themselves. Obviously, objectives occasionally have to be modified or changed. It is generally the job of a companys top managers to consider the needs of the future, and to take responsibility for innovation, without which any organization can only expect a limited life. Top managers also have to manage a businesss relations with customers, suppliers, distributors, bankers, investors, neighbouring communities, public authorities, and so on, as well as deal with any major crises which arise. Top managers are appointed and supervised and advised (and dismissed) by a companys board of directors.

Although the tasks of a manager can be analyzed and classified in this fashion, management is not entirely scientific. It is human skill. Business professors obviously believe that intuition and instinct are not enough; there are management skills that have to be learnt. Drucker, for example, wrote over 20 years ago that Altogether this entire book is based on the proposition that the days of the intuitive manager are numbered, meaning that they were coming to an end. But some people are clearly good at management, and others are not. Some people will be unable to put management techniques into practice. Others will have lots of technique, but few good ideas. Outstanding managers are rather rare.

Vocabulary

a. Complete the following sentences with these words.

Achieved Resources

board of directors setting

communicate innovations

manageable

performance

supervise

1 Managers have to decide how best to allocate the human, physical and capital .. available to them. 2 Managers logically have to make sure that the jobs and tasks given to their subordinates are .. . 3 There is no point in . objectives if you dont them to your staff. 4 Managers have to . their subordinates, and to measure, and try to improve, their . 5 Managers have to check whether objectives and targets are being . . 6 A top manager whose performance is unsatisfactory can be dismissed by the companys . . 7 Top managers are responsible for the . that will allow a company to adapt to a changing world.

b. The text contains a number of common verb-noun partnerships (e.g. achieve objectives, deal with crises, and so on).

Match up these verb and nouns to make common collocations.

Allocate Communicate Develop Make Measure Motivate Perform Set Supervise

decisions information jobs objectives people performance resources strategies subordinates

14. Types of Managers

We have been using the term manager to mean anyone who is responsible for subordinates and other organizational resources. There are many different types of managers, with diverse tasks and responsibilities. Managers can be classified in two ways: by their level in the organization so-called first-line, middle, and top managers and by the range of organizational activities for which they are responsible so-called functional and general managers.

Management Levels

First-Line Managers. The lowest level in an organization at which individuals are responsible for the work of others is called first-line or first-level management. First-line managers direct operating employees only; they do not supervise other managers. Examples of first-line managers are the foreman (maistru) or production supervisor (ef de producie) in a manufacturing plant, the technical supervisor (ef de echip) in a research department, and the clerical supervisor (ef de birou) in a large office. First-level mangers are often called supervisors.

Middle Managers. The term middle management can include to more than one level in an organization. Middle managers direct the activities of lower-level managers and sometimes also those of operating employees. Middle managers principal responsibilities are to direct the activities that implement their organizations policies and to balance the demands of their superiors with the capacities of their subordinates.

Top Managers. Composed of a comparatively small group of executives, top management is responsible for the overall management of the organization. It establishes operating policies and guides the organizations interactions with its environment. Typical titles of top managers are chief executive officer, president and senior vice-president. Actual titles vary from one organization to another and are not always a reliable guide to membership in the highest management classification.

Functional and General Managers

The other major classification of managers depends on the scope of the activities they manage.

Functional Managers. The functional manager is responsible for only one organizational activity, such as production, marketing, sales, or finance. The people and activities headed (a conduce) by a functional manager are engaged in a common set of activities.

General Managers. The general manager, on the other hand, oversees (a supraveghea) a complex unit, such as a company, a subsidiary, or an independent operating division. He or she is responsible for all the activities of that unit, such as its production, marketing, sales, and finance.

A small company may have only one general manager its president or executive vice-president but a large organization may have several, each at the head of a relatively independent division. In a large food company, for example, there might be a grocery-production division, a refrigerated-products division, and a frozen-food-products division, with a different general manager responsible for each. Like the chief executive of a small company, each of these divisional heads would be responsible for all the activities of the unit.

chief executive officer = director executiv senior vice-president = vice-preedinte senior (mai important dect cel Junior) president = preedinte executive vice-president vice-preedinte executiv chief executive = director sau administator al unei firme

15. The Management Process

Planning

Plans give the organization its objectives and set up the best procedures for reaching them. In addition, plans become the guides by which the organization obtains and commits (a angaja) the resources required to reach its objectives, members of the organization carry on activities consistent with (concordant cu) the chosen objectives and procedures, and progress toward the objectives is monitored and measured, so that corrective action can be taken if progress is unsatisfactory. The first step in planning is the selection of goals for the organization. Then objectives are established for the subunits of the organization its divisions, departments, and so on. Once the objectives are determined, programs are established for achieving them in a systematic manner. Of course, in selecting objectives and developing programs, the manager considers their feasibility and whether will be acceptable to the organizations managers and employees.

Plans made by top management for the organization as a whole may cover periods as long as five or ten years. In a large organization, such as a multinational energy corporation, those plans may involve commitments (angajamente) of billions of dollars. Planning at the lower levels, by middle or first-line managers, covers much shorter periods. Such plans may be for the next days work, for example, or for a two-hour meeting to take place in a week.

Organizing

Once managers have established objectives and developed plans or programs to reach them, they must design and staff an organization able to carry out those programs successfully. Different objectives will require different kinds of organizations. For example, an organization that aims to develop computer software will have to be far different from one that wants to manufacture blue jeans. Producing a standardized product like blue jeans requires efficient assembly-line techniques, whereas writing computer programs requires teams of professionals systems analysts, software engineers, and operators. Although they must interact effectively, such people cannot be organized on an assembly-line basis. It is clear, then, that managers must have the ability to determine what type of organization will be needed to accomplish a given set of objectives. And they must have the ability to develop (and later to lead) that type of organization.

Leading After plans have been made, the structure of the organization has been determined, and the staff has been recruited and trained, the next step is to arrange for movement toward the organizations defined objectives. This function can be called by various names: leading, directing, motivating, actuating (impulsionare, stimulare), and others. But whatever the name used to identify it, this function involves getting the members of the organization to perform in ways that will help it achieve its established objectives. Whereas planning and organizing deal with the more abstract aspects of the management process, the activity of leading is very concrete; it involves working directly with people.

Controlling Finally, the manager must ensure that the actions of the organizations members do in fact move the organization toward its stated goals. This is the controlling function of management, and it involves four main elements:

Establishing standards of performance.

Measuring current performance and comparing it against the established standards. Detecting deviations from standard goals in order to make corrections before a sequence (succesiune, ir) of activities is completed. Taking action to correct performance that does not meet those standards. Through the controlling function, the manager can keep the organization on its chosen track, keeping it from straying (a se deprata, a se abate) from its specified goals.

16. Management Level and Skills

Managers at every level plan, organize, lead, and control. But they differ in the amount of time devoted to each of these activities. Some of these differences depend on the kind of organization in which the manager works, some on the type of job the manager holds. Managers of small private clinics, for example, spend their time quite differently from the way the heads of large research hospitals spend theirs: Managers of clinics spend comparatively more time practicing medicine, and less time actually managing, than do directors of large hospitals. The technical supervisor of research physicists at AT&T Bell Labs will have a job that in some respects is quite different from that of a production supervisor on a General Motors assembly line. Yet both are first-line managers. And yet there will also be important similarities in the jobs of all these managers. Other differences in the ways managers spend their time depend upon their levels in the organizational hierarchy. Robert L. Kats, a teacher and business executive, has identified three basic kinds of skills: technical, human, and conceptual. Every manager needs all three. Technical skill is the ability to use the procedures, techniques, and knowledge of a specialized field. Surgeons, engineers, musicians, and accountants all have technical skills in their respective fields. Human skill is the ability to work with, understand, and motivate other people, as individuals or in groups. Conceptual skill is the ability to coordinate and integrate all of an organizations interests and activities. It involves the managers ability to see the organization as a whole, to understand how its parts depend on one another, and to anticipate how a change in any of its parts will affect the whole.

Kats suggests that although all three of these skills are essential to a manager, their relative importance depends mainly on the managers rank in the organization. Technical skill is most important in the lower levels. Human skill, by contrast, is important for managers at every level: because they must get their work done primarily through others, their ability to tap (a capta, a aborda) the technical skills of their subordinates is more important than their own technical skills. Finally, the importance of conceptual skill increases as one rises through the ranks of a management system based on hierarchical principles of authority and responsibility. It depends mainly on the managers rank in the organization.

7. Companies and Organizations

Vocabulary

Match up the words on the left with the definitions on the right

1 autonomous 2 decentralization 3 function 4 hierarchy 5 line authority

A a system of authority with different levels, one above the other B a specific activity in a company, e.g. production, marketing, finance C independent, able to take decisions without consulting a higher authority D people working under someone else in a hierarchy E dividing an organization into decision-making units that are not centrally controlled F the power to give instructions to people at the level below in the chain of command G to be responsible to someone and to take instructions from him or her

6 report to

7 subordinates

Reading

Read the text below, about different ways of organizing companies, and then label the diagrams, according to which of these they illustrate: Line structure / functional structure / matrix structure / staff structure

A.

B..

C..

D..

Most organizations have hierarchical or pyramidal structure, with one person or a group of people at the top, and an increasing number of people below them at each successive level. This is a clear line or chain of command running down the pyramid. All the people in the organization know what decisions they are able to make, who their superior (or boss) is (to whom they report), and who their immediate subordinates are (to whom they can give instructions). Some people in an organization have colleagues who help them: for example, there might be an Assistant to the Marketing Manager. This is known as a staff position: its holder has no line authority, and is not integrated into the chain of command, unlike, for example, the Assistant Marketing Manager, who is number two in the marketing department. Yet, the activities of most companies are too complicated to be organized in a single hierarchy. Shortly before the First World War, the French industrialist Henry Fayol organized his coalmining business according to the functions that it had to carry out. He is generally credited with inventing functional organization. Today, most large manufacturing organizations have a functional structure, including (among others) production, finance, marketing, sales, and personnel or staff departments. This means, for example, that the production and marketing departments cannot take financial decision without consulting the finance department. Functional organization is efficient, but there are two standard criticisms. Firstly, people are usually more concerned with the success of their department than that of the company, so there are permanent battles between, for example, finance and marketing, or marketing and production, which have incompatible goals. Secondly, separating functions is unlikely to encourage innovation. Yet, for a large organization manufacturing a range of products, having a single production department is generally inefficient. Consequently, most large companies are decentralized, following the model of Alfred Sloan, who divided General Motors into separate operating divisions in 1920. Each division had its own engineering, production and sales departments, made a different category of car (but with some overlap (suprapunere, ntreptrundere), to encourage internal competition), and was expected to make a profit. Business that cannot be divided into autonomous divisions with their own markets can simulate decentralization, setting up divisions that deal with each other using internally determined transfer prices. Many banks, for example, have established commercial, corporate, private banking, international and investment divisions.

An inherent problem of hierarchies is that people at lower levels are unable to make important decisions, but have to pass on responsibility to their boss. One solution to this is matrix management, in which people report to more than one superior. For example, a product manager with an idea might be able to deal directly with managers responsible for a certain market segment and for a geographical region, as well as the managers responsible for the traditional functions of finance, sales and productions. This is one way of keeping authority at lower levels, but it is not necessarily a very efficient one. Thomas Peters and Robert Waterman, in their well-known book In Search of Excellence, insist on the necessity of pushing authority and autonomy down the line, but they argue that one element probably the product must have priority; four-dimensional matrices are far too complex. A further possibility is to have wholly autonomous, temporary groups or teams that are responsible for an entire project, and are split up (a se diviza, a se mpri) as soon as it is successfully completed. Teams are often not very good for decision-making, and they run the risk or relational problems, unless they are small and have a lot of self-discipline. In fact, they still require a definite leader, on whom their success probably depends.

Describing company structure

The most common verbs for describing structure are:

Consists of
Is composed of

contains

includes
is divided into

is made up of

e.g. The company consists of five main departments. The marketing department is made up of three units.

Other verbs frequently used to describe company organization include:

To be in charge of

to be responsible for to assist or to be assisted by

To support or to be supported by

To be accountable to

e.g. The marketing department is in charge of the sales force. The five department heads are accountable to the Managing Director.

This is an example of part of a company organization chart:

Board of Directors with a Chairman (GB) or President (US)

Managing Director (GB) or Chief Executive Officer (US)

Production Marketing

Finance

Research &

Personnel Development

Market Research Promotions

Sales Financial

Advertising Accounting

Management

Northern Region

Southern Region

Now write a description of either the organization chart above, or a company you know, in about 100150 words.

18. The External Environment of Organizations

The many rapid changes taking place in the external environment of organization require increasing attention from managers. The direct-action component of the environment consists of the organizations stakeholders that is, the groups with direct impact on the organizations activities. External stakeholders include customers, suppliers, governments, consumer and environmental

advocates, special interest groups, labor unions, financial institutions, the media, and competitors. Internal stakeholders include employees, shareholders, and the board of directors.

Managers must balance the interests of the various stakeholders for the good of the organization as a whole. They may be able to use the network of relationships among the stakeholders and the organization to influence stakeholders individually. For their part, stakeholders may unite in coalitions to exert over (a exercita, a face uz de influen) the organization. Individual stakeholders may also hold conflicting stakes (interes, participare) in an organization.

The indirect-action component of the environment consists of their factors that influence the organization indirectly. Not only do these factors create a climate to which the organization must adjust, but they have the potential to move into the direct-action environment. Demographic and lifestyle variables mold (a forma, a modela)an organizations labor supply and customer base, and changes in values are at heart of every other social, economic, political, and technological change. Managers must distinguish between and adjust to structural and cyclical changes in the economy. In addition, they must contend with (a lupta cu) the growing influence of special interest groups in politics, and technological developments also fuel the competition between organizations. Technological advances in communication and transportation have made the international environment increasingly important. Greater international competition has made the U.S. lag (a ntrzia, a rmne n urm) in competitiveness critical, and has also blurred (a ntuneca, a pune n cea) the distinction between the private and public sectors. The environment determines the extent to which (gradul n care) organizations face uncertainty and to which they are dependent on others for vital resources. In turbulent environments, organizations must devote more of their resources to monitoring the environment. The naturalselection, resource-dependence, and industrial-organization models provide alternative views of the relationship between organizations and the environment. Managers especially at higher levels must monitor the external environment and try to forecast changes that will affect the organization. They may use strategic planning and organizational design to adjust to the environment.

Production and products

a. Match up these words with the definitions which follow.

Capacity

component

inventory

lead time

plant

Location

subcontractor outsourcing or contracting out

1. any company that provides goods or services for another one 2. any of the pieces or parts that make up a product, machine, etc. 3. buying products or processed materials from other companies rather than manufacturing them 4. the (maximum) rate of output that can be achieved from a production process 5. the buildings, machines, equipment and other facilities used in the production process 6. the geographical situation of a factory or other facility 7. the stock of any item or resource used in an organization (including raw materials, parts, supplies, work in process and finished products)

8. the time needed to perform an activity (i.e. to manufacture or deliver something)

b. After it has been decided what to manufacture, operations managers have to decide where to manufacture the different products, how much productive capacity their factories and plants should have, and how much inventory to maintain. Read the 15 sentences below, and classify them under the following six headings. Some sentences may fall under two headings.

A The consequences of insufficient capacity B The consequences of excess capacity C The advantages of large facilities D The disadvantages of large facilities E The advantages of having a large inventory F The disadvantages of having a large inventory

1. A long lead time may allow competitors to enter the market. 2. Average fixed cost per unit drops as volume increases because each succeeding unit absorbs part of the fixed costs, giving economies of scale.

3. Finding staff and coordinating material flow become expensive and difficult. 4. If lead time increases, some customers may go to other suppliers. 5. Lost sales and market share are usually permanent. 6. The working environment might worsen and industrial relations deteriorate. 7. There are costs of storage, handling, insurance, depreciation, the opportunity cost of capital, and so on. You can be more flexible in product scheduling, and have longer lead times and lower cost operation through larger production runs with fewer set-ups.

8.

9. There is always a risk of obsolescence, theft, breakage, and so on. 10. You can meet variation in product demand. 11. You may be under-utilizing your work force. 12. You have protection against variation in raw material delivery time (due to shortages, strikes, lost orders, incorrect or defective shipments, etc.) 13. You may be forced to produce additional less profitable products. 14. You can take advantage of quantity discounts in purchasing. 15. You may have to reduce prices to stimulate demand.

19. Just-in-time production

Read the text below, and insert the eight words defined in vocabulary a) in the spaces.

Capacity Location

component outsourcing

inventory plants

lead time subcontractor

Manufacturing companies are faced with a make-or-buy decision for every item or (1) . they use (as well as for every process and service). Do they make it themselves or do they outsource (a contracta lucrri n afara companiei), and buy from a (2) ? If a company assembles products supplied by a large number of subcontractors (furnizor intermediar), they face the problem of how much (3) . they require. In Just-In-Time (JIT) production also called lean production, stockless production, and continuous flow manufacture nothing is bought or produced until it is needed. Each section of the production process makes the necessary quantity of the necessary units at the necessary time which is when it is required by the next stage of the manufacturing process, or by distributors or customers. The JIT system is usually credited to Taiichi Ohno, who was vice-president for manufacturing with Toyota in Japan in the early 1950s although he stated that he got the idea from American supermarkets! JIT is wholly contrary to the European and American logic of encouraging greater productivity, and welcoming production that exceeds the agreed schedule or quota, and stocking extras in case of the future problems. JIT minimizes the cost of holding inventories, which are regarded negatively, as avoidable costs, rather than as assets. The large Japanese manufacturing companies have long practised (4), and generally use extensive networks of small subcontractors. Of course, if a single subcontractor fails to deliver a component on time, the whole production process is sabotaged, but the Japanese industrial system relies on mutual trust and long-term relationships. Small suppliers often attempt to situate their facilities close to the (5). of a larger company with which they work. The Japanese also prefer small, specialized production (6). with a limited (7).. , in which, wherever possible, all the machines required for a certain job are grouped together. This avoids all the waiting and moving time involved in sending half-finished item from one department to another, although it often requires flexible, multi-skilled employees.

JIT thus greatly reduces transportation and inventory costs, and should ensure that there is no waste from overproduction, or from idle workers waiting for parts. It allows increased productivity because of shortened throughput time (timpul de prelucrare a materialelor). If factories are equipped so that set-up times are short, very small production runs (etape de producie) are possible. Any quality problems or product defects should be noticed more quickly, production (8) (timpul de conducere a produciei) are reduced, and the firm can react more rapidly to demand changes.

20. Products and brands

Read the following text, and write a brief heading for each paragraph.

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

2 Some manufactures use their name (the family name) for all their products, e.g. Philips, Colgate, Yamaha. Others, including Unilever and Procter & Gamble, market various products under individual brand names, with the result that many customers are unfamiliar with the name of the manufacturing company. The major producers of soap powders, for example, are famous for their multi-brand strategy, which allows them to compete in various market segments, and to fill shelf space in shops, thereby leaving less room for competitors. It also gives them a greater chance of getting some of the custom of brand-switchers (cei care schimb mrcile pe care le cumpr).

Most manufactures produce a large number of products, often divided into product lines. Most product lines consist of several products, often distinguished by brand names, e.g. a range of soap powders, or of tooth-pastes. Several different items (different sizes or models) may share the same brand name. Together, a companys items, brands and products constitute its product mix. Since different products are always at different stages of their cycles, with growing, stable or declining sales and profitability, and because markets, opportunities and resources are in constant evolution, companies are always looking to the future, and re-evaluating their product mix. 4 Companies whose objectives include market share and market growth generally have long product lines, i.e. a large number of items. Companies whose objective is high profitability will have shorter lines, including only profitable items. Yet, most product lines have a tendency to lengthen over time, as companies produce variations on existing items, or add additional items to cover further market segments. Additions to product lines can be the result of either up-market or down-market, i.e. making items of higher or lower quality. This can be carried out in order to reach new customers, to enter growing or more profitable market segments, to react to competitors initiatives, and so on. Yet, such moves may cause image problems: moving to the lower end of the market dilutes (a slbi, a dilua) a companys image for quality, while a company at the bottom of a range may not convince dealers and customers that it can produce quality products for the high end. Line-filling adding further items in that part of a products range which a line already covers might be done in order to compete in competitors niches (ni), or simply to utilize excess production capacity.

Vocabulary

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

1 the possibility of paying for a product over an extended period 2 a promise by a manufacturer or seller to repair or replace defective goods during a certain period of time 3 a surface in a store on which goods are displayed 4 consumers who buy various competing products rather than being loyal to a particular brand 5 the standard pattern of sales of a product over the period that is marketed 6 the extend to which an activity provides financial gain

7 possibilities of filling unsatisfied needs in sectors in which the company can produce goods or services effectively 8 the sales of a company expressed as a percentage of total sales in a given market 9 the set of beliefs that the public at large holds of an organization 10 a small, specialized, but profitable segment of a market Marketing Vocabulary Match up the words or expressions on the left with the definitions on the right.

1 distribution channel

A all the companies or individuals involved in moving a particular good or service from the producer to the consumer B an idea for a new product, which is tested with target consumers before the actual product is developed C attributes or characteristics of a product: quality, price, reliability, etc. D dividing a market into distinct groups of buyers who have different requirements or buying habits E places where goods are sold to the public shops, stores, kiosks, market stalls, etc. F possibilities of filling unsatisfied needs in sectors in which a company can profitably produce goods or services G someone who contacts existing and potential customers, and tries to persuade them to buy goods or services H collecting, analysing and reporting data relevant to a specific marketing situation (such as a proposed new product) I to introduce a new product onto the market J wrappers and containers in which products are sold

2 to launch a product

3 market opportunities 4 market research

5 market segmentation

6 packaging

7 points of sale

8 product concept

9 product features 10 sales representative

19. The centrality of marketing

Look quickly through the following text and decide which paragraphs are about these subjects: company-to-company marketing identifying market opportunities the marketing mix the selling and marketing concepts the importance of market research

Most management and marketing writers now distinguish between selling and marketing. The selling concept assumes that resisting consumers have to be persuaded by vigorous hard-selling techniques to buy non-essential goods or services. Products are sold rather than bought. The marketing concept, on the contrary, assumes that the producers task is to find wants and fill them. In other words, you dont sell what you make, you make what will be bought. As well as satisfying existing needs, marketers can also anticipate and create new ones. The markets for the Walkman, video games, personal computers, and genetic engineering, to choose some recent examples, were largely created rather than identified. Marketers are consequently always looking for market opportunities profitable possibilities of filling unsatisfied needs or creating new ones in areas in which the company is likely to enjoy a differential advantage, due to its distinctive competencies (the things it does particularly well). Market opportunities are generally isolated by market segmentation. Once a target market has been identified, a company has to decide what goods or service to offer. This means that much of the work of marketing has been done before the final product or service comes into existence. It also means that the marketing concept has to be understood throughout the company, e.g. in the production department of a manufacturing company as much as in the marketing department itself. The company must also take account of the existence of competitors, who always have to be identified, monitored and defeated in the search for loyal customers. Rather than risk launching a product or service solely on the basis of intuition or guesswork, most companies undertake market research (GB) or marketing research (US). They collect and analyze information about the size of a potential market, about consumers reactions to particular product or

service features, and so on. Sales representatives, who also talk to customers, are another important source of information. Once the basic offer, e.g. a product concept, has been established, the company has to think about the marketing mix, i.e. all the various elements of a marketing program, their integration, and the amount of effort that a company can expend on them in order to influence the target market. The bestknown classification of these elements is the 4Ps: product, place, promotion and price. Aspects to be considered in marketing products include quality, features (standard and optional), style, brand name, size, packaging, services and guarantee. Place in a marketing mix includes such factors as distribution channels, locations of points of sale, transport, inventory size, etc. Promotion groups together advertising, publicity, sales promotion, and personal selling, while price includes the basic list price, discounts, the length of the payment period, possible credit terms, and so on. It is the job of a product manager or a brand manager to look for ways to increase sales by changing the marketing mix. It must be remembered that quite apart from consumer markets (in which people buy products for direct consumption) there exists an enormous producer or industrial or business market, consisting of all the individuals and organizations that acquire goods and services that are used in the production of other goods, or in the supply of services to others. Few consumers realize that the producer market is actually larger than the consumer market, since it contains all the raw materials, manufactured parts and components that go into consumer goods, plus capital equipment such as building and machines, supplies such as energy and pens and paper, and services ranging from cleaning to management consulting, all of which have to be marked. There is consequently more industrial than consumer marketing, even though ordinary consumers are seldom exposed to it.

Comprehension

Look at the following diagrams from Marketing Management by Philip Kotler.

1 The first diagram contrasts the selling and the marketing concepts. Fill in the four spaces with the following words or expressions: Coordinated marketing Customer needs Starting Focus Market Profits through customer satisfaction Means Ends

point Factory Products Selling & promoting Profits

through sales volume

a.

The selling concept

(1) .. (2) . (3) .. (4)

b.

The marketing concept

How companies advertise

Advertising informs consumers about the existence and benefits of products and services, and attempts to persuade them to buy them. The best form of advertising is probably word-of-word advertising, which occurs when people tell their friends about the benefits of products or services that they have purchased. Yet, virtually no providers of goods or services rely on this alone, but use paid advertising instead. Indeed, many organizations also use institutional or prestige advertising, which is designed to build up their reputation rather than to sell particular products. Although large companies could easily set up their own advertising departments, write their own advertisements, and buy media space themselves, they tend to use the services of large advertising agencies. These are likely to have more resources, and more knowledge about all aspects of advertising and advertising media than a single company. The most talented advertising people generally prefer to work for agencies rather then individual companies as this gives them the chance to work on a variety of advertising accounts (contracts to advertise products or services). It is also easier for a dissatisfied company to give its account to another agency than it would be to fire its own advertising staff.

The client company generally gives the advertising agency an agreed budget; a statement of the objectives of the advertising campaign, known as a brief; and an overall advertising strategy concerning the message to be communicated to the target customers. The agency creates advertisements (the word is often abbreviated to adverts or ads), and develops a media plan specifying which media newspapers, magazines, radio, television, cinema, posters, mail, etc. will be used and in which proportions. (On television and radio, ads are often known as commercials.) Agencies often produce alternative ads or commercials that are pre-tested in newspapers, television stations, etc. in different parts of a country before a final choice is made prior to a national campaign. The agencys media planners have to decide what percentage of the target market they want to reach (how many people will be exposed to the ads) and the number of times they are likely to see them. Advertising people talk about frequency or OTS (opportunities to see) and the threshold effect (efectul de pronire) the point at which advertising becomes effective. The choice of advertising media is generally strongly influenced by the comparative cost of reaching 1,000 members of the target audience, the cost per thousand (often abbreviated to CPM, using the Roman numeral for 1,000). The timing of advertising campaigns depends on factors such as purchasing frequently and buyer turnover (new buyers entering the market). How much to spend on advertising is always problematic. Some companies use the comparativeparity method (metoda comparativ-analogic) they simply match their competitors spending, thereby avoiding advertising wars. Others set their ad budget at a certain percentage of current sales revenue. But both these methods disregard (a nu ine seama, a neglija) the fact that increased ad spending or counter-cyclical advertising (reclam anticiclic) can increase current sales. On the other hand, excessive advertising is counter-productive (antiproductiv) because after too many exposures people tend to stop noticing ads, or begin to find them irritating. And once the most promising prospective customers have been reached, there are diminishing returns, i.e. an ever-smaller increase in sales in relation to increased advertising spending.

Vocabulary

Find the terms in the text which mean the following.

1 free advertising, when satisfied customers recommend products to their friends. 2 advertising that mentions a companys name but not specific products 3 companies that handle advertising for clients 4 a contract with a company to produce its advertising 5 the amount of money a company plans to spend in developing its advertising and buying media time or space 6 the statement of objectives of an advertising campaign that a client works out with an advertising agency 7 the advertising of a particular product or service during a particular period of time 8 a defined set of customers whose needs a company plans to satisfy 9 the people who choose where to advertise, in order to reach the right customers 10 the fact that a certain amount of advertising is necessary to attract a prospective customers attention 11 choosing to spend the same amount on advertising as ones competitors 12 advertising during periods or seasons when sales are normally relatively poor

Discussion

Which of the following claims do you agree with?

1. Advertising is essential for business, especially for launching new consumer products. 2. A large reduction of advertising would decrease sales. 3. Advertising often persuades people to buy things they dont need. 4. Advertising often persuades people to buy things they dont want.

5. Advertising lowers the publics taste. 6. Advertising raises prices. 7. Advertising does not present a true picture of products. 8. Advertising has a bad influence on children.

In a well-known survey, the Harvard Business Review asked 2,700 senior business managers whether they agree with these statements. The survey produced some unexpected results. Which of the following percentages do you think go with which of the statements above?

41% 5

49%

51%

57%

60%

72%

85%

90%

The four major promotional tools

Insert the following words in the text below.

Advertising

aimed awareness

channel

loyalty

Maturity

medium

tactics

target

trial

The basic idea behind the marketing concept that you make what you can sell rather than sell what you make does not mean that your product will sell all by itself. Even a good, attractively-priced product that clearly satisfies a need has to be made known to its (1). Customers. During the introduction and growth stages of the standard product life cycle, the producer (or importer, and so on)

has to develop product or brand (2). , i.e. inform potential customers (and distributors, dealers and retailers) about the products existence, its features, its advantages, and so on. According to the well-known Four Ps formulation of the marketing mix (product, place, promotion and price), this is clearly a matter of promotion. Since budgets are always limited, marketers usually have to decide which tools advertising, public relations, sales promotion, or personal selling to use, and in what proportion. Public relations (often abbreviated to PR) is concerned with maintaining, improving or protecting the image of a company or product. The most important element of PR is publicity which (as opposed to advertising) is any mention of companys products that is not paid for, in any (3). : read, viewed or heard by a companys customers or potential customers, aimed at assisting sales. Many companies attempt to place stories or information in news media to attract attention to a product or service. Publicity can have a huge impact on public awareness that could not be achieved by advertising, or at least, not without an enormous cost. A lot of research has shown that people are more likely to read and believe publicity than advertising. Sales promotions such as free samples, coupons, price reductions, competitions, and so on, are temporary (4). Designed to stimulate either earlier or stronger sales of a product. Free samples, for example, (combined with extensive advertising), may generate the initial (5). Of a new product. But the majority of products available at any given time are of course in the (6).. stage of the life cycle. This may last many years, until the product begins to be replaced by new ones and enters the decline stage. During this time, marketers can try out a number of promotional strategies and tactics. Reduced-price packs in supermarkets, for example, can be used to attract price-conscious brandswitchers, and, also, to counter (a contracara) a promotion by a competitor. Stores also often reduce prices of specific item as loss leader, which bring customers into the shop where they will also buy other goods. Sales promotions can also be (7).. at distributors, dealer and retailers, to encourage them to stock new items or larger quantities, or to encourage off-season buying, or the stocking of items related to an existing product. They might equally be designed to strengthen brand (8). Among retailers, or to gain entry to new markets. Sales promotions can also be aimed at the sales force, encouraging them to increase their activities in selling a particular product. Personal selling is the most expensive promotional tool, and is generally only used sparingly, e.g. as a complement to (9).. . As well as prospecting for customers, spreading information about a companys products and services, selling these products and services, and assisting customers with possible technical problems, salespeople have another important function. Since they are often the only person from a company that customers see, they are an extremely important (10) of information. It has been calculated that the majority of new product ideas come from customers via sales representatives.

Summarizing

Complete the following sentences to summarize the text above.

1 When a new product is launched, the producer has to .. 2 Promotion is one of the four . ; sales promotions are one of the four different . 3 The advantages of publicity include .. 4 The four stages of the standard product life cycle (excluding the pre-launched development stage) are . 5 Reasons to offer temporary price reductions include . 6 Sales promotions need not only be aimed at customers; . 7 Apart from selling a companys products, sales representatives .

Discussion

What kind of sales promotions are you receptive to?

coupons giving a price reduction? free samples? discounts for buying a large quantity? price reductions in shops? packets offering 20% Extra? competitions?

Vocabulary

There is a logical connection among three of the four words in each of the following groups. Which is the odd one out, and why?

1 advertising competitors publicity sales promotion 2 advertising agency advertising campaign media plan word-of-mouth advertising 3 advertising manager brand-switcher marketing manager sales rep 4 after-sales service guarantee optional features points of sale 5 brand awareness brand loyalty brand name brand preference 6 competitions coupons free samples line-stretching 7 credit terms discount list price packaging 8 decline growth introduction product improvement 9 focus group interviews internal research media plan questionnaire 10 packaging place product promotion

10. Market structure and competition

24. Market leaders, challengers and followers

Read the following text and write short headings for each paragraph.

1 . In most markets there is a definite market leader: the firm with the largest market share. This is often the first company to have entered the field, or at least the first to have succeeded in it. The market leader is frequently able to lead other firms in the introduction of new products, in price changes, in the level or intensity of promotions, and so on. 2 Market leaders usually want to increase their market share even further, or at least to protect their current market share. One way to do this is to try to find ways to increase the size of the entire market. Contrary to a common belief, wholly dominating a market, or having a monopoly, is seldom an advantage: competitors expand markets and find new uses and users for products, which enriches everyone in the field, but the market leader more than its competitors. A market can also be expanded by stimulating more usage: for example, many households no longer have only one radio or cassette player, but perhaps one in each room, one in the car, plus a Walkman or two.
3 ..

In many markets, there is often also a distinct market challenger, with the second-largest market share. In the car hire business, the challenger actually advertises this fact: for many years Avis used the slogan Were number two. We try harder. Market challengers can either attempt to attack the leader, or to increase their market share by attacking various market followers.
4 ..

The majority of companies in any industry are merely market followers, which present no threat to the leader. Many market followers concentrate on market segmentation: finding a profitable niche in the market that is not satisfied by other goods or services, and that offers growth potential or gives the company a differential (distinctiv, deosebit) advantage because of its specific competencies. 5 A market follower, which does not establish its own niche is in a vulnerable position: if its product does not have a unique selling proposition there is no reason for anyone to buy it. In fact, in most established industries, there is only room for two or three major companies: think of soft drinks, soap and washing powders, jeans, sports shoes, and so on. Although small companies are generally flexible, and can quickly respond to market conditions, their narrow range of customers causes problematic fluctuations in turnover and profit. Furthermore, they are vulnerable in a recession when, largely for psychological reasons, distributors, retailers and customers all prefer to buy from big, well-known suppliers.

Vocabulary

Find words in the text which mean the following.

1 a companys sales expressed as a percentage of the total market 2 short-term tactics designed to stimulate stronger sales of a product 3 the situation in which there is only one seller of a product 4 companies offering similar goods or services to the same set of customers 5 a short and easily memorized phrase used in advertising 6 the division of a market into submarkets according to the needs or buying habits of different groups of potential customers 7 a small and specific market segment 8 a factor which makes you superior to competitors in a certain respect 9 a businesss total sales revenue 10 a period during which an economy is working below its potential

25. Takeovers, mergers and buyouts

Vocabulary

Match up these words with the definitions below.

Backward integration to diversify (diversification)

synergy

Forward integration horizontal integration to merge (a merger)

to innovate (innovation) vertical integration

a raid a takeover bid

1 designing new products and bringing them to the market 2 to expand into new fields 3 to unite, combine, amalgamate, integrate or join together 4 buying another companys shares on the stock exchange, hoping to persuade enough other shareholders to sell to take control of the company 5 a public offer to a companys shareholders to buy their shares, at a particular price during a particular period, so as to acquire a company 6 to merge with or take over other firms producing the same type of goods or services 7 joining with other firms in other stages of the production or sale of a product 8 a merger with or the acquisition of ones suppliers 9 a merger with or the acquisition of ones marketing outlets 10 combined production that is greater than the sum of the separate parts

Reading

Leveraged buyouts One indication that the people who warn against takeovers might be right is the existence of leveraged buyouts. In the 1960s, a big wave of takeovers in the US created conglomerates collections of unrelated businesses combined into a single corporate structure. It later became clear that many of these conglomerates consisted of too many companies and not enough synergy. After the recession of the

early 1980s, there were many large companies on the US stock market with good earnings but low stock prices. Their assets were worth more than the companies market value. Such conglomerates were clearly not maximizing stockholder value. The individual companies might have been more efficient if liberated from central management. Consequently, raiders (persoan agresiv, acaparatoare) were able to borrow money, buy badly-managed, inefficient and under-priced corporations, and then restructure them, split them up, and resell them at a profit. Conventional financial theory argues that stock markets are efficient, meaning that all relevant information about companies is built into their share prices. Raiders in the 1980s discovered that this was quite simply untrue. Although the market could understand data concerning companies earnings, it was highly inefficient in valuing assets, including land, buildings and pension funds. Asset-stripping selling off the assets of poorly performing or under-valued companies proved to be highly lucrative (avantajos, profitabil). Theoretically, there was little risk of making a loss with a buyout, as the debts incurred (datoriile fcute) were guaranteed by the companies assets. The ideal targets for such buyouts were companies with huge cash reserves that enabled the buyer to pay the interest on the debt, or companies with successful subsidiaries that could be sold to repay the principal, or companies in fields that are not sensitive to a recession, such as food and tobacco. Takeovers using borrowed money are called leveraged buyouts or LBOs. Leverage (raportul dintre creane i capital) means having a large proportion of debt compared to equity capital. (Where a company is bought by its existing managers, we talk of a management buyout or MBO.) Much of the money for LBOs was provided by the American investment bank Drexel Burnham Lambert, where Michael Millken was able to convince investors that the high returns on debt issued by risky enterprises more than compensated for their riskiness, as the rate of default (rata neonorrii plii) was lower than might be expected. He created a huge and liquid market of up to 300 billion dollars for junk bonds (obligaiuni cu risc). (Millken was later arrested and charged (a fi acuzat) with 98 different felonies (crime, acte penale), including a lot of insider dealing (operaiuni ale unui iniiat, a unei persoane angajate n respectiva firm), and Drexel Burnham Lambert went bankrupt (a da faliment) in 1990.) Raiders and their supporters argue that the permanent threat of takeovers is a challenge to company managers and directors to do their jobs better, and that well-run businesses that are not undervalues are at little risk. The threat of raids forces companies to put capital to productive use. Fat or lazy companies that fail to do this will be taken over by raiders who will use assets more efficiently, cut costs, and increase shareholder value. On the other hand, the permanent threat of a takeover or a buyout is clearly a disincentive (mijloc de intimidare) to long-term capital investment, as a company will lose its investment if a raider tries to break it up as soon as its share price falls below expectations. LBOs, however, seem to be largely an American phenomenon. German and Japanese managers and financiers, for example, seem to consider companies as places where people work, rather than as

assets to be bought and sold. Hostile takeovers and buyouts are almost unknown in these two countries, where business tends to concentrate on long-term goals rather than seek instant stock market profits. Workers in these companies are considered to be at least as important as shareholders. The idea of a Japanese manager restructuring a company, laying off (a concedia temporar) a large number of workers, and getting a huge pay rise (as frequently happens in Britain and the US), is unthinkable. Lay-offs in Japan are instead a cause for shame for which managers are expected to apologize. Summarizing

Complete the following sentences, which summarize the text above.

1 The fact that many large conglomerates assets were worth more than their stock market valuation demonstrated that 2 Raiders bought conglomerates in order to 3 Raiders showed that the stock market did not 4 Raiders were particularly interested in 5 Investors were prepared to lend money to finance LBOs because 6 Raiders argue that the possibility of a buyout

26. Profits and social responsibility

In the 1920s, many large American corporations began, on a wide scale, to establish pension funds, employee stock ownership, life insurance schemes, unemployment compensation funds, limitations on working hours, and high wages. They built houses, churches, schools and libraries, provided medical and legal services, and gave money to charities (acte filantropice). Since this is fairly surprising behavior for business corporations, there must be a good explanation. In the Generous Corporations, Neil J. Mitchell argues that the reason for many of these actions, most of which clearly did not bring immediate cash benefits, was that large corporations had a legitimacy problem. The existence of large corporations showed the classical economic theory of perfect competition to be inadequate. Consequently large corporations introduced welfare capitalism (capitalism social) as a way of creating favorable public opinion. Rational capitalists starting with Henry Ford, also realized that a better paid work force would be more loyal, and would be able to buy more goods and services, and that a better educated work force would be a more efficient one.

Of course, pure free market theorists disapprove of welfare capitalism, and all actions inspired by social responsibility rather than the attempt to maximize profits. Since the benefits of such initiatives are not confined to (a se limita la) those who bear the costs, Milton Friedman has criticized them for being unbusinesslike, and for threatening the survival not only of individual corporations but also the general vitality of capitalism. In a newspaper article titled The social responsibility of business is to increase its profits, he argued that: In a free enterprise, private-property system, a corporate executive is an employee of the owners of the business. He has direct responsibility to his employers. That responsibility is to conduct the business in accordance with their desires, which generally will be to make as much money as possible, while of course confirming to the basic rules of the society, both those embodied in law and those embodied in ethical custom. Thus executives should not make expenditures on reducing pollution beyond the amount that is required by law or that is the best interest of the firm. Nor should they deliberately hire less-qualified, long-term unemployed workers, or workers from ethnic minorities suffering from discrimination. To do so is to be guilty of spending the stockholders (or the customers or the employees) money. Friedman does not consider the possibility that stockholders might prefer to receive lower dividends but live in a society with less pollution or less unemployment and fewer social problems. An alternative view to the stockholder model exemplified by Friedmans article is the stakeholder (cei care dein un interes) model, outlined, for example, in John Kenneth Galbraiths book, The New Industrial State. According to his approach, business managers have responsibilities to all the groups of people with a stake in or an interest in or a claim on the firm. These will include suppliers, customers, employees, and the local community, as well as the stockholders. A firm which is managed for the benefit of all its stakeholders, will not, for example, pollute the area around its factories, or close down a factory employing several hundred people in a small town with no other significant employers, and relocate production elsewhere in order to make small financial savings. Proponents of the stakeholder approach suggest that suppliers, customers, employees, and members of the local community should be strongly represented on a companys board of directors.

Vocabulary

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

1 institutions or organizations that provide help for people in need 2 acceptability, according to law or public opinion

3 the situation when there are a large number of sellers and buyers, freedom to enter and leave markets, a complete flow of information, and so on 4 a condition of general well-being (and government spending designed to achieve this) 5 menacing, endangering 6 liveliness, health, energy, strength 7 an economic system in which anyone can attempt to raise capital, form a business, and offer goods or services 8 complying with or following (rules, etc.) 9 expressed, given a material form 10 supporters, people who argue in favour of something Money and Finance 27. A history of money what makes the world go round

Money it jingles in your pocket, it rustles in your wallet and it clinks in your piggy-bank. Money makes the world go round, but whats it? Its a store of value or a measure of wealth. Money is anything that is generally accepted as payment for goods and services. This is a wide definition and, over the centuries, money has appeared in all shapes and sizes; cowrie shells in ancient China, huge stone discs on a South Pacific Island or beads (Wampum) for the North American Indians.

Jingle = a zorni Rustle = a foni Clink = a zngni Piggy-bank = puculi

Cowrie = scoic, ghioc Beads = mrgele, mtnii Wampum = colier de scoici

From Chickens to Plastic

At the end of the day, of course, it doesnt really matter what shape or size the money takes, as long as everyone recognises it and accepts it in payment. But, over the course of history, money has predominantly been associated with metals, in particular gold, silver and copper.

Bartering (troc)

Before metal money become the usual means of exchange, people would swap (schimba) goods and services in a process known as bartering Ill swap you ten chickens for your goat. This kind of exchange does not really encourage trade, as all sorts of problems arise; are all the chickens of the same size? If Ive only got five chickens, can I buy half a cow? Obviously, precious metals are a practical alternative to payment in kind (n natur).

Four Essential Qualities

For money to be practical and efficient it should possess these qualities: Durability in prison, cigarettes may become a medium of exchange but theyre easy to break and quickly dry up; in other words, they dont last. Portability in some parts of Africa your wealth is measured in cattle. This is fine if youre trading locally, but if money isnt easy to carry, how can trade develop? Divisibility small units make life much easier imagine trying to buy a hot dog in New York if the $100 bill was the lowest unit of currency! Intrinsic value money should have some worth in itself, otherwise it wont inspire confidence.

Coins

We first read of coins in the Kingdom of Lydia in the 7th century BC. Their coins were of equal weight and therefore of equal value, simplifying trade. Stamping a design onto the coins is called minting; Alexander the Great introduced the practice of stamping a picture of the sovereigns head on the coins, an idea that was soon copied. Coins however, were not always as valuable as they seemed they were often clipped or shaved by unscrupulous individuals or debased by the state. The Romans, with the economic pressure of the Punic wars, began a long process of debasement, mixing more and more copper in with the silver, so that the intrinsic value of the coin was far lower than the marked face value.

Mint = a bate moned Debase = a devaloriza Debasement = devalorizare Clipped = retezat, scurtat Shaved = redus

Paper Money Bank notes were first introduced by the Chinese in the 10th century. They were later used by governments in dire financial straits (n dificulti mari financiare) caused by things like having to finance a war, for example. The English colonies in North America made important strides in the use of bank notes. For various political and economic reasons, the Colonists often found themselves short of coinage. To get round this problem, they used first wampum, then tobacco, rice and whisky or brandy not exactly the most practical solution. The first paper money issue was by the Massachusetts Bay Colony in 1690. The practice was frowned upon and eventually banned by the mother country, but the inventive money-making instincts of the new United States of America meant that, during the 19th century, most of the money used was in the form of paper dollars. The first fully printed note in England was issued in 1855 until that time the cashier had to write the name of the payee and sign each note individually.

At first, bank notes were redeemable for gold on Bank of England notes you will see written I promise to pay the bearer on demand the sum of If you took a ten-pound note to the Bank they used to have to give you ten pounds in gold coin. Britain left the gold standard in 1931 and thus the notes are no longer backed by gold.

Strides = progrese, pai Short of coinage = lips de monezi Ban = a interzice, a scoate n afara legii Frown upon = a nu fi de acord cu ceva Redeem = a compensa, rscumpra

Plastic money

Nowadays many transactions are carried out with plastic money such as credit cards. The newest are called smart cards and carry small silicon chips that can record every transaction on the card. Research into the cards of the future continues, but the latest development is e-cash, cash to be used across the Internet youll be able to spend money from the comfort of your armchair. If only earning the damn stuff was so easy!

MONEY TALK the language of cash

Money is so central to our lives that it has spawned (a prolifera) a wealth of specific terminology, idioms and sayings. Great thinkers in all ages have had something to say about it; governments are elected on the strength of how they plan to manage it, empires rise and fall because of it.

The Root of All Evil

Money is so important to us people even say it makes the world go round that it has acquired many nicknames, such as bread, dough, dinero, mazuma, spondulicks, rhino, gravy, dosh, lucre or simply the necessary. Small amounts of it are chickenfeed or peanuts. (n slang: lovele, bitari, parale, bani, ctig) So what are you thinking about now? A penny for your thoughts! Oh, I see, you like the look of that new jacket itll cost you an arm and a leg. Im afraid, or, to put it another way, youll have to pay through the nose for it. You may like it so much you insist that moneys no object but dont forget: money doesnt grow on trees, so dont live beyond your means! If you do go ahead and buy that jacket, your friends will tell you that you might as well flush it (the money) down the toilet. So, if you cant afford it, buy the cheapo version: you can bet your bottom dollar that nobody will be able to tell the difference. Of course your attitude to money depends, to a certain extend, on how well off you are. You may be experiencing a liquidity problem or a cashflow problem at the moment; in other words, youre strapped for cash, broke, or even flat broke. Perhaps you dont have a dollar to your name, you dont have a red cent and you havent got a bean, in which case youre as poor as a church mouse! If, on the other hand, youve got plenty of money then youre filthy rich, or stinking rich or rolling in it perhaps you had some good business ideas and put your money where your mouth is or cashed in on a golden business opportunity and managed to get rich quick, so now youre laughing all the way to the bank. Youve got money to burn; youre earning megabucks and, now that you know its power, you believe what people say money talks! In spite of this, you might be so careful with money that people think youre mean or stingy (zgrcit). Perhaps theyll call you a miser behind your back; in the US youd be called a tightwad (calic, avar). You might reply that money doesnt grow on trees but then others might say that you cant take it with you (when you die) and so they spend money as if it were going out of fashion. In this case, money burns a hole in their pocket, and you would be the first to remind them that a fool and his money are soon parted. If, on the other hand, you look after the pennies, then the pounds will look after themselves.

28. The profits of labor

Roman soldiers were given part of their pay in salt, as it was so valuable at least thats the excuse the Senate gave! At the time it was called their salario, and it is for this reason that we still use the word salary to describe the regular monthly payment made to employees especially white-collars workers. If you receive your pay every week, then you receive wages on payday, in the form of a paycheck in the US, or a paypacket in the UK. You may find that some of your money is taken from you before you even see it, that is it is deducted at source; in the US these deductions are known as deducks or ducks. They may be for tax and also, in the UK, National Insurance, which means that your take-home pay may be a lot less than you expected! Those who are unlucky enough not to have a job will be on the dole receiving unemployment benefit in the UK or on welfare in the US. If you pay money for your retirement then your company runs a pension scheme. If you work more than your normal hours, then youre paid overtime. If your company has been doing well, you may get a bonus. If youre one of the bosses of a newly-privatised monopoly, your employees may call you a fat cat, and part of your pay may take the form of share options; when you started to work for the company you were given a golden hello and, regardless of the companys performance, you will be given a golden handshake when you leave. Perhaps youre the kind of boss that never stops complaining about your employees; if so remember: if you pay peanuts you get monkeys! You and your fellow top-managers are likely to enjoy a range of fringe benefits or perks like a free car, house and even private education for your children. This is in lieu of money, and means that you have a high standard of living without having to declare hundreds of thousands of pounds at the end of the tax year. All the expenses the company incurs on your behalf are also tax deductible for the company, so it doesnt lose out either. When the time comes to retire, sooner rather then later, for the lucky few who can choose early retirement, you may decide to take your company pension in a lump sum and finally you can go on that world cruise!

White-collars workers = funcionari On the dole = ajutor de omaj, subvenie de la stat

On welfare = ajutor social Share options = Fringe benefit / perks = beneficiu suplimentar In lieu of money = n loc de bani Incur = a face, a crea Lump sum = sum global / unic, plat unic

Borrowing Many of us go to the bank at some point to ask for a loan it is often said that a bank manager is someone who lends you an umbrella when the sun is shining and who asks for it back when it starts to rain. The simplest way to borrow is with an overdraft, or by using the facilities offered by a credit card; but to borrow large sums youll probably negotiate a loan with your bank; you can either borrow a fixed amount or agree a credit limit. If youre buying a house, then youll want a mortgage. If the bank refuses to lend you money, you might resort to borrowing from a finance company or even the local loan shark to pay off your IOUs (I Owe You). For any loan, you should look at the Annual Percentage Rate which takes into account the various charges which will be included in your repayments. Borrowing from a loan shark can involve exorbitant interest rates. If youre being gouged in this way, then you may end up being unable to make the repayments. Your debt may be sold to a debt collector or you may receive a visit from the bailiffs in the UK. If youve been buying something in instalments or on a hire purchase (HP) scheme, defaulting on the repayments will probably lead to a visit from the dreaded repo (repossesssion) man.

Gouged = escrocat, tras pe sfoar Bailiff = inspector

Dreaded = de temut

Forgery With the invention of money came forgery. Modern counterfeit notes can be extremely difficult to spot and new developments in the production of notes are soon copied by the forgers. Heres a quick guide to recognizing a counterfeit Bank of England note: The feel of the paper: it should be crisp and slightly rough in the heavily printed areas. The watermark: you shouldnt be able to notice it until you hold the note up to the light; then you can see a picture of the Queen. The thread: all genuine notes have a thread embedded in the paper. Recent notes have a windowed thread which does not appear as a continuous line until the note is held up to the light. Quality of printing: pure, clear colours and sharp, well-defined lines.

Spot = a identifica, a distinge Counterfeit notes = bancnote contrafcute Forgers = falsificatori Crisp = fragil Embedded = introdus

IDIOMS

Hard Times

If youve fallen on hard times, you might tell people that you need to watch your spending, your money or your pennies. In the States, you might say that you have to watch every dime. Perhaps your bank account is in the red, so you decide to control your spending and keep track of your expenses

more closely. This will certainly involve cutting down on expenses in general, budgeting your money, tightening your belt and saving your pennies. Almost certainly you will have to cut the frills (unneccessary expenditure), trim (reduce) the budget and go back to basics. If an unexpected expense comes up that you have to meet, you might decide to dip into your savings, or scrounge the money somehow. If, on the other hand, you splash out on something extravagant, you might justify the expense by telling people that youve got enough saved up, that youve been saving for a rainy day or that youre lucky enough to have a nest egg that youve finally decided to use.

Frills = fasoane, lucruri care nu sunt necesare Scrounge = a aprli, a terpeli Splash out = a se arunca

29. Accounting and financial statements

a.

Vocabulary Match up the terms on the left with the definitions on the right.

1. Bookkeeping A calculating an individuals or a companys liability for tax 2. Accounting B writing down the details of transactions (debits and credits) 3. Managerial accounting C keeping financial records, recording income and expenditure, valuing assets and liabilities, and so on 4. Cost accounting D preparing budgets and other financial reports necessary for management 5. Tax accounting E inspection and evaluation of accounts by a second set of accountants audit 6. Auditing F using all available accounting procedures and tricks to disguise the true financial position of a company 7. creative accounting

G working out the unit cost of products, including materials, labour and all other expenses

b.

Match up these words with the definitions below

1.

Assets

A a companys owners 2. Depreciation

B all the money received by a company during a given period 3. Liabilities

C all the money that a company will have to pay to someone else in the future, including taxes, debt, and interest and mortgage payments 4. Turnover

D the amount of business done by a company over a year

5.

Creditors (GB) accounts payable (US)

E anything owned by a business (cash investments, buildings, machines, and so on) that can be used to produce goods or pay liabilities 6. Debtors (GB) accounts receivable (US)

F the reduction in value of a fixed asset during the years it is in use (charged against profits) 7. Overheads (GB) overhead (US)

G sums of money owed by customers for goods or services purchased on credit 8. Revenue or earnings or income

H sums of money owed to suppliers for purchases made on credit 9. Shareholders (GB) stockholders (US)

I (the value of) raw materials, work in progress, and finished products stored ready for sale 10. Stock (GB) inventory (US) J the various expenses of operating a business that cannot be charged to any one product, process or department

Reading

Insert the words in vocabulary b) in the gaps in the text below.

Accounting and financial statements

In accounting it is always assumed that a business is a going concern, i.e. that it will continue indefinitely into the future, which means that the current market value of its assets is irrelevant, as they are not for sale. Consequently, the most common accounting system is historical cost accounting, which records (1) at their original purchase price, minus accumulated depreciation charges. In times of inflation, this understates the value of appreciating assets such as land, but overstates profits as it does not record the replacement cost of plant or (2) . The value of a businesss assets under historical cost accounting purchase price minus (3) .. is known as its net book value. Countries with persistently high inflation often prefer to use current cost or replacement cost accounting, which values assets (and related expenses like depreciation) at the price that would have to be paid to replace them (or to buy a more modern equivalent) today. Company law specifies that (4) . Must be given certain financial information. Companies generally include three financial statements in their annual reports. The profit and loss account (GB) or income statement (US) shows (5) .. and expenditure. It usually gives figures for total sales or (6) . And costs and (7) . The first figure should obviously be higher than the second, i.e. there should be a profit. Part of the profit goes to the government in taxation, part is usually distributed to shareholders (stockholders) as dividend, and part is retained by the company. The balance sheet shows a companys financial situation on a particular date, generally the last day of the financial year. It lists the companys assets, its (8) , and shareholders (stockholders) funds. A businesss assets include (9) as it is assumed that these will be paid. Liabilities include (10) , as these will have to be paid. Negative items on financial statements, such as creditors, taxation, and dividends paid, are usually enclosed in brackets. In accordance with the principle of double-entry bookkeeping (that all transactions are entered as credit in one account and as debit in another), the basic accounting equation is Assets = Liabilities + Owners (or Shares) Equity. This can be rewritten as Assets Liabilities = Owners Equity or Net Assets. This includes share capital (money received from the issue of shares), share premium (GB) or paid-in surplus (US) (any money realised by selling shares at above their nominal value), and the companys reserves, including the years retained profits. Shareholders equity or net assets are generally less than a companys market capitalisation (the total value of its shares at any given moment, i.e. the number of shares times their market price), because net assets do not record items such as goodwill. The third financial statement has various names including the source and application of funds statement, and the statement of changes in financial position. This shows the flow of cash in and out of the business between balance sheet dates. Sources of funds include trading profits, depreciation provisions, sales of assets, borrowing, and the issuing of shares.

Applications of funds include purchases of fixed or financial assets, payment of dividends, repayment of loans, and in a bad year trading losses.

The profit and loss account (GB) or income statement (US) calculul rezultatelor, al pierderilor i a profitului The balance sheet bilanul contabil
Net Assets activul net

12. Banking and taxation

Match up these terms with the definitions below.

Cash card

cash dispenser credit card

home banking

Loan mortgage

overdraft

standing order

Current account (GB) or checking account (US) Deposit account (GB) or time or notice account (US)

1 an arrangement by which a customer can withdraw more from a bank account than has been deposited in it, up to an agreed limit; interest on the debt is calculated daily 2 a card which guarantees payment for goods and services purchased by the cardholder, who pays back the bank or finance company at a later date 3 a computerized machine that allows bank customers to withdraw money, check their balance, and so on 4 a fixed sum of money on which interest is paid, lent for a fixed period, and usually for a specific purpose 5 an instruction to a bank to pay fixed sums of money to certain people or organizations at stated times

6 a loan, usually to buy property, which serves as a security for the loan 7 a plastic card issued to bank customers for use in cash dispensers 8 doing banking transactions by telephone or from ones own personal computer, linked to the bank via a network 9 one that generally pays little or no interest, but allows the holder to withdraw his or her cash without any restrictions 10 one that pays interest, but usually cannot be used for paying cheques (GB) or checks (US), and on which notice is often required to withdraw money

31. Types of banks

Read the text below and write short headings (one or two words) for each paragraph

..

Commercial or retail banks are businesses that trade in money. They receive and hold deposits, pay money according to customers instructions, lend money, offer investment advice, exchange foreign currencies, and so on. They make a profit from the difference (known as a spread or a margin) between the interest rates they pay to lenders or depositors and those they charge to borrowers. Banks also create credit, because the money they lend, from their deposits, is generally spent (either on goods or services, or to settle debts), and in this way transferred to another bank account often by way of a bank transfer or a cheque (check) rather than the use of notes or coins from where it can be lent to another borrower, and so on. When lending money, bankers have to find a balance between yield and risk, and between liquidity and different maturities. 5

Merchant bank in Britain raise funds for industry on the various financial markets, finance international trade, issue and underwrite securities, deal with takeovers and mergers, and issue government bonds. They also generally offer stockbroking and portfolio management services to rich corporate and individual clients. Investment banks in the USA are similar, but they can only act as

intermediaries offering advisory services, and do not offer loans themselves. Investment banks make their profits from the fees and commissions they charge for their services.
5 ..

In the USA, the Glass-Steagall Act of 1934 enforced a strict separation between commercial banks and investment banks or stockbroking firms. Yet, the distinction between commercial and investment banking has become less clear in recent years. Deregulation in the USA and Britain is leading to the creation of financial supermarkets: conglomerates combining the services previously offered by banks, stockbrokers, insurance companies, and so on. In some European countries (notably Germany, Austria and Switzerland) there have always been universal banks combining deposit and loan banking with share and bond dealing and investment services.
5

A countrys minimum interest rate is usually fixed by the central bank. This is the discount rate, at which the central bank makes secured loans to commercial banks. Banks lend to blue chip borrowers (very safe large companies) at the base rate or the prime rate; all other borrowers pay more, depending on their credit standing (or credit rating, or creditworthiness): the lenders estimation of their present and future solvency. Borrowers can usually get a lower interest rate if the loan is secured or guaranteed by some kind of asset, known as collateral. 5

In most financial centres, there are also branches of lots of foreign banks, largely doing Eurocurrency business. A Eurocurrency is any currency held outside its country of origin. The first significant Eurocurrency market was for US dollars in Europe, but the name is now used for foreign currencies held anywhere in the world (e.g. yen in the US, DM in Japan). Since the US$ is the worlds most important trading currency and because the US has for many years had a huge trade deficit there is a market of many billions of Eurodollars, including the oil-exporting countries petrodollars. Although a central bank can determine the minimum lending rate for its national currency it has no control over foreign currencies. Furthermore, banks are not obliged to deposit any of their Eurocurrency assets at 0% interest with the central bank, which means that they can usually offer better rates to borrowers and depositors than in the home country.

Commercial / retail bank banc comerciale / banc de depozit Merchant bank / Investment bank banc comercial / de investiii

 a.

Vocabulary Find the words or expressions in the text which mean the following.

1 to place money in a bank; or money placed in a bank 2 the money used in countries other than ones own 3 how much money a loan pays, expressed as percentage 4 available cash, and how easily other assets can be turned into cash 5 the date when a loan becomes repayable 6 to guarantee to buy all the new shares that a company issues, if they cannot be sold to the public 7 when a company buys or acquires another one 8 when a company combines with another one 9 buying and selling stocks or shares for clients 10 taking care of all a clients investments 11 the ending or relaxing of legal restrictions 12 a group of companies, operating in different fields, that have joined together 13 a company considered to be without risk 14 ability to pay liabilities when they become due 15 anything that acts as a security or a guarantee for a loan

b.The text contains a number of common verb-noun partnerships (e.g. to lend money, to finance international trade). Match up the verbs and nouns below to make common collocations.

Charge Do Exchange Issue Make Offer Pay Raise Receive Underwrite

advice bonds business currencies deposits funds interest loans profits security issues

32. Opening an account and means of payment

At the Bank Opening an account

Mr. X I would like to open an account with you. Bank Clerk Very well, sir. Here is a form youll have to fill in. Mr. X There may be a problem. You see, Im a foreign resident. Bank Clerk This is quite all right, sir. Quite a large number of our clients are foreigners. Do you want to open a current account or a deposit account? Mr. X Well, Im going to stay and work here for a while, and Id like my salary to be paid into my account. But I dont want to have to give notice before I can withdraw money. Bank Clerk Its obviously a current account you need. Mr. X How long will take to open an account? Bank Clerk Doesnt take long, sir. Let me see Today is Thursday, if you can complete this form today, your cheque-book will be ready for you on Tuesday. Mr. X Fine. So, my salary could be paid in at the end of the month. Bank Clerk No doubt, sir. Mr. X There are two questions Id like to ask. Will this be the only place where I can cash a cheque? Bank Clerk Oh, no, sir. You can have them cashed at any of our branches. Mr. X Good. And what about statements of account? How frequently does one get them? Bank Clerk Normally, once a month. But we shall send one out after each transaction if you want us to.

General Information: When do/are you open? How late do you stay open?

When do you close? What are your opening hours? In the US: Does this bank have an ATM (Automatic Teller Machine bancomat) In the UK: Do you have a cash point/dispenser? The ATM ate/kept my card. The cash dispenser wont give me my card back.

If you want to use bank services you may have to queue (UK) or stand in line (US) and wait for the next available teller (US) or clerk (UK): When their desk is free, a light will come on: Next, please. Please step down (US). Im open over/down here.

Queue / stand in line = a sta la coad

Teller / clerk = funcionar la ghieu

You can then tell him or her what you want: I want/need/would like to cash a check. Id like to cash these travelers checks, please. Can you change a ten-pound note, please? Id like ten dollars worth of quarters, please. I need a roll of quarters.

If you have an account there: Id like to make a deposit. Id like to withdraw some money from my account. Id like to make a withdrawal.

If you want to withdraw some money from abroad: Id like to transfer some money from an overseas bank account. Before the clerk gives you any money, she/he will ask: How would you like that? Any preference? Large or small bills (US) notes (UK)?

Your reply: It doesnt matter (which denomination) All twenties, please. Just tens and twenties, please. Five, tens and three fives, please. No small bills/notes, please.

If you want to transfer some money, the clerk will say: Are you a customer here?

First of all, I need some ID, please. May I see some identification? Do you have a bank card with you? Id like the name and address of your bank, your account number and your sorting code, please. Please fill in this form. Im afraid youll have to go to the enquiries desk (biroul de informaii).

Or, if youre cashing a check: Could you endorse this (sign it on the back), please.

Perhaps youre withdrawing money with a credit card: Enter your PIN number, please (PIN: Personal Identification Number).

If you have foreign currency: Do you handle foreign exchange here? Is there a foreign exchange desk? Id like to change/buy some foreign currency. Whats the current exchange rate, please? How many marks to the dollar, please?

And the reply: The exchange rate is 1,5 marks to the dollar.

Im afraid the rate has gone up today.

You might want to know: Do I have to pay bank charges (comision) on top of that? Is that inclusive of commission? Are there any additional expenses? What commission do you charge?

Maybe youre staying in an Anglophone country for more than a year and you want to open a bank account there: Id like to open a deposit/checking/ savings account, please. Id like to apply for a loan. Id like to get a safety deposit box (safe de depuneri). Whats the interest rate on this account? Could you explain the service charges on this account? Could I have a new checkbook, please? Id like to apply for a bank/cheque/credit/cash card, please.

Means of payment.

Id just had a phone call from the bank. They couldnt cash in Ds cheque. They were told there were insufficient funds on his account.

Im surprised. That would be the first time. Can you remind me of the amount? Its not a large sum: only 135 pounds. This is all the more surprising. He is not the kind of person to overdraw his account. What sort of a cheque did he make out? Im looking into his file Now It was a giro cheque. Usually he pays us by bank cheque for small amounts, and by draft for large sums. It makes more sense. Just give him a ring, will you? Im sure hell settle immediately. Ill do that. Something else. Ive had very bad information about B, you know, the reseller (vnztor) who wanted immediate delivery. I see who you mean. Its his first order with us? Thats it. Hes already had a current account cancelled and has a reputation for being a slow payer. If so, insist on payment with the order (plata la comand). Delivery is out of the question until the sum has been paid into our account. Well, I think thats all. Oh yes! One more thing, the drafts to be discounted

Means of payment. Key sentences.

His account is overdrawn (in the red). Cecul su este descoperit. The settlement is long overdue. Plata ar fi trebuit s fie fcut demult. Whats his current account number? Care este numrul contului su curent?

Charge it to my account. Scoatei suma din contul meu. Settle the amount by money order if you find it more convenient. Pltii suma prin mandat potal dac considerai c este mai practic. The cheque was made out to his order. Cecul era fcut la ordinul su. He intends to open a deposit account at one of our branches. El are intenia s deschid un cont pentru depuneri la una din sucursalele noastre. I think I remember it was a bearer cheque. Cred c mi amintesc, era un cec la purttor. Normally, that payment-in ought to have been recorded on my last statement of account. Normal, acea plat (vrsmnt) ar trebuie s figureze pe ultimul meu extras de cont. For sight withdrawals, you simply have to go to counter no.3 Pentru retragerile la vedere, ajunge s mergei la ghieul nr.3 She will pay us by instalments over six months. Ea ne va plti n rate ealonate pe ase luni. I have kept the stub (counterfoil) of the cheque which I issued on March 6th. Am pstrat talonul cecului pe care l-am emis pe 6 martie. The holder of the credit card must inform our nearest office in case of loss or theft. Titularul crii de credit trebuie s informeze imediat biroul nostru cel mai apropiat n caz de pierdere sau de furt. Thanks to your credit card, you may rent a car without leaving a deposit. Datorit crii dumneavoastr de credit vei putea nchiria o main fr s lsai o garanie.

How is it that this cheque has not been endorsed? Cum se face c acest cec nu a fost andosat? I suppose youd rather be paid in cash? Presupun c preferai s fii pltii cu bani ghea. The draft will fall due at the end of the month. Trata ajunge la scaden la sfritul lunii. Why havent you presented this draft for acceptance yet? De ce nu ai prezentat nc aceast trat la acceptare? How long will it take to have the sum transferred to my account? Ct dureaz s virai suma n contul meu? It has been rejected for non-conformity of the signature (because the signature was not true). El a fost refuzat din cauza nepotrivirii semnturii (din cauz c semntura nu era cea adevrat). This is not the first time he has issued bad cheques (dud checks; cheques that bounce). Nu este prima dat cnd el emite cecuri fr acoperire.

33. Banking Key words and sentences

The banks have played a prominent role in the development of modern economy since the very beginning of commercial activities. Their branches have become a familiar sight on many city streets, but also in villages, as more and more people now bank with any one of the national or local banks. Banks offer their services both to private individuals and to businesses. One can open a current account or a deposit account with them. The former will enable a person to use a cheque for

payment instead of hard cash, whereas the latter will bring a small interest. People can ask their bank to pay recurring expenses for them, such as subscription, rents, telephone, gas or electrical bills. Valuables or deeds can be left in custody in a bank safe on payment of certain charge. The bank will obtain foreign currencies, issue travellers cheques and letter of credit payable at their branches or at correspondent banks. Besides, banks will operate transactions on the stock exchange for you and give advice on investments. They also lend money, generally on a short term basis: thus they can allow overdraft facilities or personal loans; if your credit rating is good and if you can offer some sort of security, they may consider longer term credit. Most of this applies to business discounting of their bills Bills of Exchange (drafts), or even Promissory Notes. In the field of foreign trade, the banks can help by financing or advising their clients. They can be referred to by either party for status enquiries in business transactions.

Recurring expenses = cheltuieli recurente Valuables / deeds = acte, valori Overdraft = cont debitor, descoperire de cont Be referred to = a fi ndrumat

Definition A cheque is signed by the payer and payable to the payee or to his order. A draft (or bill of exchange) is drawn by the creditor on the debtor and payable to the drawer or to a third party after acceptance by the drawee.

Un cec este semnat de pltitor i se pltete beneficiarului sau la ordinul su. O trat este tras de creditor asupra debitorului i se pltete trgtorului sau unei tere pri dup acceptare de ctre tras.

Bank. Key sentences.

1.

An interest is charged on all banks services. Se percepe dobnd pentru toate serviciile bancare.

2.

You had better ask for an overdraft before your account is overdrawn (in red). Ar fi bine s cerei un descoperit nainte de a vi se epuiza contul.

3.

I always deposit my valuables and my wifes jewels in a bank safe before leaving for a long holiday. Depun ntotdeauna obiectele mele de valoare i bijuteriile soiei la o banc nainte de a pleca ntro vacan de lung durat.

4.

Where can I cash this cheque (check U.S.)? Unde pot ncasa acest cec?

5.

Remember to record all withdrawals on counterfoils (U.S. stubs) in your cheque-book. Nu uitai s nregistrai toate retragerile pe talonul carnetului dumneavoastr de cecuri.

6.

They offered me to refund a 2,000 personal loan over a 30-month period. Ei mi-au propus s rambursez un mprumut personal de 2.000 de lire n treizeci de rate lunare.

7.

When writing out or endorsing a cheque, one must be careful to avoid any erasure. Cnd se redacteaz sau se andoseaz un cec, trebuie s se evite orice terstur.

8.

She made out so many dud (bad) cheques that no bank will trust her with a cheque-book. Ea a ntocmit attea cecuri fr acoperire, nct nici o banc nu-I va mai ncredina un carnet de cecuri.

9.

Dont forget to have these bills discounted by the end of this month.

Nu uitai s scontai aceste efecte la sfritul lunii. 10. Recently a trader sued his banker after he could no longer have his bills discounted. Recent, un comerciant a intentat un proces bncii sale dup ce n-a mai avut posibilitatea s-i sconteze efectele de comer. 11. The clearing-house will centralize all the operations dealing with the exchange of bills and cheques between banks. Camera de decontri/oficiul de cliring va centraliza toate operaiunile care se refer la schimbul interbancar de efecte de comer i cecuri. 12. The U.S. investment banks have just r

Advertising & PR Industry

Advertising and public relations are like a microwave and a freezer: totally different, but they work together really well. In fact, many large advertising agencies offer PR services. Both industries deliver words and pictures, but what they really sell is intangibles, such as image and reputation. They are paid to persuade people: to buy goods or services, to vote for a political cause or candidate, or to invest in a company. They often base advertising or publicity campaigns on market research, which is typically gathered by independent companies that specialize in customer interviews, focus groups, and surveys.

In broad terms, an advertising agency is a marketing consultant. It helps the client (a manufacturer of consumer products like Nike, perhaps, or a service-oriented company like Charles Schwab & Co.) with all aspects of its marketing effortseverything from strategy to concept to execution. Strategy involves helping the client make high-level business decisions, like what new products the client should develop or how the client should define or brand itself to the world. Concept is where the agency takes the clients strategy and turns it into specific ideas for advertisementssuch as a series of ads featuring extreme athletes for a soft-drink maker whose strategy is to make inroads in the teen market. Execution is where the agency turns the concept into realitythe production of the actual ads: the print layout, the film shoot, the audio taping. Full-service agencies also handle the placement of the ads in newspapers, magazines, radio, and so onso that they reach their intended audience. Sometimes the agency works in conjunction with the clients marketing department; other timeswhen the client doesnt have a marketing departmentthe agency takes on that role.

But thats only a strict definition of what people in advertising do. In broader terms, the industry includes everything from PR agencies (which try to place news items about clients in the media) to direct marketers (who send out all that annoying junk mail) to Internet advertising and design firms (which create pop-up or banner ads or design websites for clients). Many of the biggest and most successful agencies have units that focus on each of these activities.

PR firms, on the other hand, generally try to persuade media to publicize their messages as news. When they represent truly newsworthy clients, such as political candidates, getting publicity is easy, and the challenge is to put their client's spin on how a news item is presented in the media. When the client is less newsworthy, such as a company that wants publicity for its products without buying an ad, the job is more difficult. PR professionals write creative, and sometimes not so creative, press releases that dress up company messages as topical news, in the hope that it will be run as such on the front page or reported at the beginning of the evening news on television.

PR firms also provide services such as speech writing, ghost writing, investor relations, and damage controlthe term for limiting bad publicity that results from misadventure: the plane that crashes, the car that bursts into flame, the pain pill that poisons people, the computer chip that can't add numbers correctly, the political candidate whose past catches up with him.

Trends

Consolidation Like so many other industries, advertising and public relations firms have experienced a lot of consolidation in recent years, as companies join forces to lower costs and stay competitive in the global marketplace. In advertising, bigger size means more clout with media outlets, and therefore lower advertising costs. This trend is also a result of the fact that by owning several different advertising agencies, a single holding company can control several competing accounts without conflict of interest.

Account Planning Account planningalso known as strategic planningwas developed in English ad agencies in the 1960s and 1970s. It took a while, but in recent years the American advertising industry has discovered account planning in a big way. Account planning is a discipline that aims at increasing understanding of the consumer. Today, account planning is such an integral part of many American ad agencies that its the account planners who do most of the strategizing on behalf of clients, rather than the account management staff.

Other New Media The Internet is not the only new medium when it comes to advertising. It seems that people are jaded by the overload of ads in traditional media, like television or newspapers, and often wont even pay attention to ads. As a result, advertisers are now trying to get your attention through nontraditional advertising media like the movies, where product placement has become a permanent part of business. Other nifty places where you can now see ads: on bus rooftops (ads atop buses reach the professional market that works in office towers, apparently) and at the bottom of golf holes. Beer ads have even begun to show up on disinfectant cakes in mens room urinals, of all places.

Targeted Marketing Computer databases let advertisers store detailed information about each of their customers. Ondemand printing lets advertisers customize brochures to individual customers. E-mail and automated direct mailing let advertisers reach individual customers economically. So, for the first time, the advertising industry is learning how to create ads like smart bombs, capable of delivering a customized message to a precise target. That means that technological expertise is increasingly important within advertising agencies and, to a lesser extent, PR firms.

How It Breaks Down

Though boutique agencies are growing in number and revenue, the big names continue to handle most of the accountsand earn most of the dollars. They also are the primary source of employment opportunities. In addition to the size of the firm, you'll need to think about its location, its client list, and the kind of advertising it does: branding vs. promotional, general vs. specific industries, all media versus specific media.

Big Global Networks In the past decade, global has become the way to go. Several huge global marketing and media conglomerates now dominate the advertising industry. These include Omnicom, the WPP Group, the Interpublic Group, Cordiant, Havas, and Publicis Groupe. They are joined by advertising agencies that have expanded their operations by opening offices around the world and by acquiring other marketing and media companies. These include the Grey Global Group. Together, these firms own many of the major players in traditional and interactive advertising. Omnicom, for example, owns BBDO Worldwide, DDB Worldwide, and TBWA Worldwide. Cordiant owns Bates Worldwide. Havas Advertising owns Euro RSCG Worldwide and Arnold Worldwide Partners. The WPP Group owns Ogilvy & Mather and J. Walter Thompson. Interpublic owns McCann-Erickson Worldwide, Lowe (The Partnership), FCB Group, Deutsch, and Campbell-Ewald. And Publicis Groupe owns Publicis Worldwide and Saatchi & Saatchi Worldwide,

and recently acquired Bcom3 Group, which owns Leo Burnett Worldwide and DArcy Masius Benton & Bowles (the latter no longer exists under this name, but has been folded into Publicis).

In the old days, being big meant being corporate and account-driven. Though thats still often the case, its not the rule it once was. One reason is that advertising has changed, with many advertisers now recognizing the value of catchy creative work. Another is that big companies now own what were until recently independent shops known for strong creative. Omnicom, for instance, owns Goodby Silverstein, and Interpublic owns the Lowe Group.

Smaller Shops While a lot of hot shops have been snatched up by the big global holding companies, there are still plenty of smaller shopssome with as few as five employees. Often these are creative boutiques agencies started by people from bigger agencies who have hung out their own shingle in order to follow their vision of what makes good advertising.

At smaller agencies, the boundaries between different departments are often not as pronounced as at larger agencies. While the staff at bigger agencies is divided by client, in a smaller agency people will often be working on several accounts at once. Mad Dogs & Englishmen in New York and Butler, Shine & Stern in Sausalito, California, are two of the hundreds of smaller shops.

Interactive Agencies Interactive agencies specialize in online marketing and advertising. This includes everything from concepting, designing, and placing banner ads to designing corporate websites to developing ecommerce solutions for corporations. This segment of the industry has been devastated in recent times. As Corporate America cut back on advertising expenditures, online-ad click-through rates plummeted resulting in dismal online-advertising revenues. But the segment looks to be on the rebound, as advertisers try out new online strategies with a newly realistic perspective on what advertising on the Internet can and cannot do.

Public Relations Firms that specialize in providing PR services include Edelman, Ketchum PR, and Hill and Knowlton (owned by WPP). Internally, one difference between PR and ad agencies is that PR firms tend to organize themselves around practice areas, such as public affairs, investor relations, labor relations, crisis management, entertainment, media relations, consumer-product marketing, and corporatereputation management. Smaller PR firms, like ad agencies, may specialize in a particular field, such as the Internet, health care, telecommunications, or consumer-product marketing.

Nonagency Opportunities Beyond the traditional ad and PR agencies, there are a number of other job sources in this field. Research firms, such as IRI (Information Resources, Inc.), Nielsen (of TV-ratings fame), Gallup, and J.D. Powers all measure the success of agency campaigns. Other firms specialize in certain aspects of the advertising world, such as direct marketing or promotions. Although some of these are independent, others are owned by big players.

Also, large corporations usually have marketing communications (marcom) departments, which create and produce brochures, product sheets, and other so-called marketing collateral. Marcom departments also often write and distribute press releases and perform other PR functions. Typically, marcom work is not on the creative edge, but on the other hand, you won't lose your job if you can't come up with a brilliant idea every week.

Some corporations create and produce some or all of their own advertising. For example, Charles Schwab & Co. and MasterCard both have in-house ad departments. Usually, these will be more corporate in feel and will produce advertising thats not as exciting as that of general agencies.

Job Prospects

The advertising industry has taken a big hit due to recent economic events, particularly the decline of the dot coms and the overall recession. Remember all those expensive dot-com Super Bowl ads from a few years back? A lot of those companies are no longer in businessand, like their more-traditional bricks-and-mortar Corporate America cousins, those that are still around are much less willing to plunk down millions of dollars on advertising.

The ad and PR industries are going through a difficult cycle currently, and as a result, jobs in the industry are scarce. Add in the fact that its exceedingly difficult to start in this industry in anything but an entrylevel position, and you end up with a whole lot of competition for relatively few low-paying jobs. So, if you want to work in advertising, be prepared to start at the bottom and work your contacts to get interviews. While some of the bigger agencies do recruit on campus for entry-level accountmanagement hires, most entry-level hires are not recruited. The easiest routes into the marketing and business side of advertising are entry-level media positions and administrative assistant positions. They dont pay that well and they involve lots of grunt work, but youll get a chance to show your stuff and get promoted. If youre a creative, you cant get a job in advertising without a book of your work. For entry-level copywriting or art-direction positions, this means designing and producing mock advertisements.

The first thing job seekers should know about advertising: It isn't easy to break into, and it doesn't pay well when you start. Second, expect to work in New York City, Chicago, San Francisco, or Los Angeles, where the biggest agencies are headquartered. In PR, too, you'll typically start at the bottom (an internship is a favorite way to break into the industry), and you probably won't make a huge salary to start, but the work can be interesting and rewarding.

Focus group = a group of consumers brought together to give opinions about products, adverts etc. (Market) survey = a study of the state of the market. Account = customer who does a large amount of business with a firm and has an account. Press Release = sheet giving news about something which is sent to newspapers and TV and radio stations so they can use the information Speech writing = scrierea discursurilor Ghost writing = the writing of a book or a story for another person who then says it is their own work Investor relations = the relations with investors the person who gives money to a company, business or bank in order to get profit Holding company = companie holding / a company which owns more than 50 % of the shares in another company / company which exists only or mainly to own shares in subsidiary companies (Am. Proprietary company) Strategic planning = previziune strategic / planning the future work of a company Boutique agency = agenie tip boutique (de mici dimensiuni) Marketing collateral = auxiliare de marketing Dot coms = a company that primarily does business via the Internet

Inroads = atac, nval

Take on = a-i asuma Pop-up = care sare, se mic rapid / a book, card, toaster etc that is designed to make something suddenlz spring out of it. Newsworthy = important or interesting enough to be reported as news Spin = a way of providing information that makes it seem to be favourable for a particular person or political party Topical news = tiri de actualitate Report = a face un reportaj To be run = a circula, a ine, a aprea n ziar Misadvanture = accident, moarte accidental To catch up with = a ajunge din urm pe cineva Clout = puterea sau autoritatea de a influena decizia altora Media outlets = pia de desfacere media Jaded = istovit, epuizat Nifty = grozav, stranic Ads atop = reclame pe acoperiuri Mens room urinals = closet On-demand printing = tiprituri la cerere Customize = to lok special or unique To a lesser extend = ntr-o mai mic msur Revenue = venit Fold up = if an organization folds or folds up it closes becose it does not have enough money to continue Snatched up by = a fi apucat, nhat

To hung up your own shingle = to start your own business, especially as a doctor or a lawyer Cut back = a micora, a reduce Click-trough = care se acceseaz prin click-ul mouse-lui computerului Rates = cotaii Plummet = to suddenly and quickly go down in value or amount To be on the rebound = a-i reveni Come up with = a concepe, a veni cu ceva (o idee) In-house = interior Due to = datorit To plunk down = a arunca Bricks-and-mortar corporates = cldiri, companiile care i desfoar activitatea n mod tradiional Add in = a aduga Currently = n prezent, acum Exceedingly = grozav de, extrem de, foarte Hires = slujb, angajare Grunt work = the hard, uninteresting part of a piece of work (donkey-work) Mock = model, simulare Mock-up = model of a new product for testing or to show to possible buyers Internship = poziie intern Rewarding = plin de satisfacii

Advertising

Ads seem to be everywhere: filling magazines, on billboards lining the road, and showing up at regular intervals on television. Their object: to market and sell goods and services. According to Ad Age, a trade magazine, companies spent close to $80 billion dollars on advertising in 1998.

Careers in advertising can be lucrative. You might go into the business side of account or account planning; the creative side, where you'll create ads (many people interested in visual arts, design particularly graphic designand editorial and writing careers join ad agencies as creatives) or media planning or production. Some people interested in advertising may find they prefer public relations, where you'll have a similar goal, though your means will be quite different.

An advertising agency is a marketing consultant. It helps a clienta manufacturer of consumer products such as Nike, or a service-oriented company such as Charles Schwab & Co.with its marketing efforts, from strategy to concept to execution.

Strategy involves helping a client make high-level business decisions, such as how to brand a new line of suntan lotions. The agency takes a client's strategy and turns it into a specific concept for advertisementssuch as a series of ads featuring extreme athletes for a soft-drink maker with a strategy of making inroads in the teen market.

Execution is where an agency turns a concept into realitythe production of actual ads: the print layout, the Web design, the film shoot, or the audiotaping. Execution also involves placing the ads buying space in newspapers, on television, or in subway stations.

Account-driven agencies' ads usually focus on product benefits, while creative agencies' ads focus on brand image. As a result, account-driven agencies end up with accounts such as Energizer batteries, for which an "Energizer Bunny" campaign extolled the product's long life. Creative agencies end up with accounts where lifestyle or image is more important, such as Old Navy, which uses retro clothing styles to connect with its teen and twenty-something market.

Advertisers play a role in shaping the ads that shape our culture. The work you do will be determined partly by the type of agency you're in and your role within it. You'll work in one of five departments account management, account planning, media, production, or creative.

Account management is the clients' primary contact. There you'll juggle a number of projects, and ensure that they come in on time, on budget, and on strategic target.

In account planning, you'll try to understand consumer behavior and use your knowledge to devise strategies for clients.

Media decides where to place ads, and in which mediumradio, television, print, or Webwhen, and for how long. Production involves physical creation of the ads, either in-house or outsourced. If you're a creative, you'll be responsible for turning strategies into concepts that can be made into finished adsfor example, showing well-dressed people driving up to a discount store to highlight a change in product selection.

Creative departments also create storyboardscartoon-style summaries of what an ad will contain.

Some larger agencies contain traffic departments to handle the flow of projects between departments; new-business departments, which keep track of possible new clients and gather resources in preparation for pitches; and public relations departments, which direct publicity programs.

To succeed in advertising, you need to be creative, organized, motivated, good with people, tactful, culturally aware, decisive, resilient, and able to handle deadlines and stress. You'll also have to be able to work individually and in a team environment, understand buying and selling patterns, understand and incorporate technology, and appreciate creativity.

For a career in account planning, you'll also have to be capable of carrying out qualitative and quantitative research. Good media planners are detail-oriented, good at math, and have a thorough

understanding of marketing. On the creative side, you've got to be able to handle pressure and deal with the frustration of having clients who may not understand or appreciate your creative vision.

Lucrative = profitabil Suntan lotion = loiune pentru bronzat Extol = a preui foarte mult Juggle = a jongla Devise = a inventa a plnui / to plan or invent a way of doing something, especially something complicated and clever Pitches = to try to make a business agreement, or to sell something by saying how good it is Sales pitch = what a person says about a product to persuade people to buy it Resilient = rezistent

Public Relations

"Some are born great, some achieve greatness, and some hire public relations officers," said the historian, Daniel J. Boorstin. His point? In public relations, your job is to make your client seem great without anybody knowing you were trying.

Of course, those in PR do more than make their clients seem great. They speak on behalf of client organizations; help mitigate harmful publicity when, for instance, the federal government sues a client for, say, antitrust violations; and generally represent a client to the media in order to get the most favorable publicity possible. You might think of PR as a specialized area of marketing and akin to advertising, which incorporates a similar client-oriented structure. And in many sectors it's a fastgrowing field.

PR, which is also known as communications, is all about relating (or communicating) to the publica relationship generally mediated by the press. Unlike an advertising agency, a PR agency communicates a company's message to the press, rather than directly to the client's target market. The objective in PR is to use the press to reach the target market because, when mediated by a supposedly objective third party, the message will become more powerful.

Because of their role in generating media coverage, PR professionals are sometimes thought of as disingenuous, deceitful, hucksterish flacks trying simultaneously to pull the wool over the eyes of their clients and the public at large. That's inaccurate. The fact is, in today's business world, every company, CEO, celebrity, and association wants to show the best possible face to the public, and all of them are using public relations to do so.

PR serves those fighting to legalize medical marijuana, as well as the Internet start-up seeking funding from investors. Michael Jordan consults with PR pros to figure out how he can best maintain his image; so does Intel, seeking to maintain its image. When you read something in the newspaper about the phone company, it's likely that a PR pro was behind the scenes, either pitching the story or furnishing the reporter with statistics to write it.

Day to day, PR pros "pitch" story ideas to reporters, trying to elicit coverage of subjects important to their clients. They also serve as company spokespeople, plan and hold events intended to generate publicity, and develop strategies that will spark media interest. An actress's appearance at an awards ceremony wearing nothing but a potholder, for instance, could be a PR ploy to get her in the papersa well-considered one, perhaps, if the woman happens to be Madonna, but less effective if the woman is Nancy Reagan.

Usually, you'll spend much of your day working with the media. You'll make phone calls, issue press releases, and plan events. Reporters will complain, perhaps, but in a world glutted with information, they rely on public-relations practitioners for information they don't have the time or budget to gather themselves.

Those with more experience in PR will write speeches, strategize the best time to announce a new product, work alongside an advertising agency to position products in the mind of the public, develop and publish newsletters, and manage crises, endeavoring to put a positive spin on events for a client organization. And along with representing the client to the public, PR practitioners will represent the public to the client, helping the client understand what the public wants, needs, and is concerned about. Those who do well in PR have strong communication skills, are articulate both with the written and spoken word, are able to understand a variety of people, are confident, and quick studiesyou'll need

to learn quickly what your clients do in order to communicate their messages effectively. PR professionals should also be quick thinkers and persuasive.

While there are some behind-the-scenes opportunities such as research that could accommodate introverted types, most jobs in the PR field require assertiveness and an outgoing personality. One insider says that if you know you're shy, PR probably isn't the best career choice for you. A public relations professional who is afraid of the public won't be able to represent his or her clients authoritatively.

Mitigate = to make a situation or the effects of something less unpleasant, harmful, or serious Antitrust (violations) = which attacks monopolies and encourages competition Akin to = foarte asemntor cu Huckster(ish) = someone who uses very strong, direct selling methods, sometimes dishonest Flack = strong criticism To pull the wool over the eyes of somebody = to deceive someone by not telling the truth Elicit = to succeed in getting information or a reaction from someone, especially when it is difficult Spark = a strni interesul cuiva n ceva Potholder = a piece of thick material used for holding hot cooking pans Ploy = a clever method of getting an advantage, especially by deceiving someone Issue = a emite Glutted = ncrcat, plin de Practitioners = someone who regularly does a particular activity Endeavor = a ncerca din greu Assertive(ness) = behaving in a confident way so that people notice you Authoritative(ly) = n mod autoritar, plin de ncredere i care impune respect Outgoing = liking to met and talk to new people

Account Management

Account management combines sales with customer service. Account management professionals work with clients to ensure theyre getting the most out of the products and services their employers selland to persuade clients to continue to do business (preferably more and more business) with their employers over time. In high tech as well as in more traditional manufacturing industries, this means making sure that clients are happy with your companys products. And many service-oriented businesses such as advertising and public relations agencies provide similar support to their customers.

What You'll Do Account management acts as a liaison between a company and its clients. Account managers work closely with customers to determine the customers' needs. Then they make sure their company develops products or services to meet those requirements.

You can think of account managers as corporate jugglers. They create budgets and schedules, enforce deadlines, and explain clients' agendas to their staffs and management. They also identify and solicit new customers.

Account managers coordinate everything and everyone. They make sure no details fall through the cracks. Clients can depend on them to protect their interests.

Account managers keep a careful eye on projects in development. They let customers know how their accounts are progressing and are the first to hear about problems. When something blows upsuch as when deadlines arent met or, in the advertising industry, when a client hates what the agencys creatives have put togetherthey do their best to smooth things over and maintain a good working relationship.

Account managers work in many different industries. Examples include employment agencies, consultant firms, Web-design companies, and advertising and public relations firms. Any company that serves other businesse

Internet & New Media Industry Trying ardently to fulfill the promise of the Web, Internet companiesstart-ups as well as online extensions of clicks-and-mortar companieshave singled out some activity to reinvent by conducting it on the Internetdistributing textbooks, software, or greeting cards; disseminating medical information, fiction, or law school classes; planning parties; or swapping vacation homes. For all of these activities, and many more, the Internet makes it possible to distribute information of all kinds and conduct a transaction at the same time, anywhere in the world, immediately. In the process, companies are doing a stunningly wide variety of things onlineselling products, producing newspaper- and magazinestyle publications, providing services like travel agencies and stock brokerages, delivering search engines, recruiting employees, building brands, and developing online gaming networks, to name a few. Add to this all of the companies that underpin and service these endeavorsthe online ad agencies, Internet Service Providers (ISPs), and management consultanciesand you get a sense of just how broad this industry is.

In the past couple of years, Internet companies have witnessed a precipitous decline in advertising revenue. As a result, many pure-play Internet companies have gone under, and some old-economy companies decided to scale back their Web operations, leaving tens of thousands of people out of work. What happened? It turns out that many of the biggest online advertising spenders happened to be the struggling Internet companies themselves. Quick money from cash-rich dot coms willing to wantonly spend for market share and brand awareness is gone. And old-economy companies facing cost-cutting pressures in a difficult economic environment became less likely to spend for online advertising. The result: a dried-up revenue stream, and hard times for Internet companies with an advertising revenue model. Even behemoths like Yahoo! and AOL Time Warner have been hit hard.

In the new world order, Internet companies must demonstrate profitability or a clear plan for it, or risk near-term financial disaster. In other words, to make it on the Web these days, youd better have a strong e-commerce component, or at least a viable subscription model if youre primarily a content provider.

In the case of public Internet companies, the majority have disappointed stakeholders with lower revenues and longer than projected paths to profitability. As far as the remaining private start-up shops are concerned, most are very short on cash; the much-needed venture capital funding no longer flows freely. The result: Either companies fold or scale back considerably. For most pure-play Internet companies, an IPO is no longer a viable exit strategy. (As evidence, take September 2001, the first month since 1975 that not a single company went public.)

Trends

Layoffs and Closed Shops The harsh realities of the economic decline, budget cuts, hiring freezes, and, worst of all, layoffs, have hit the Internet industry hard. Such cost-cutting actions are nothing new to corporate veterans, but have become painful lessons to the new, younger generation of dot-com workers. Often in droves, and more often without warning, tech firms are asking employees to leave in order to trim their costs. Each month the unemployment rate seems to reach a new high. Marketing and content jobs have been slashed the most. Safest are techies and salespeople, though even they can face the ax. And if a company closes its doorsas many have in recent times (716 companies closed up shop between January 2000 and November 2001)everybody is out of a job, no matter what his or her job title.

The Bright Spots The Internet seems to work best, from a business perspective, for companies engaged in low-overhead e-commercefor instance, financial, software, and travel-services sites that dont deal in storing or shipping inventory have low costs once theyve established their technological infrastructure. For example, Expedia, a leading travel site, operates on a 70 percent profit margin. Amazon.com, on the other handwhich has to deal with procuring and shipping actual physical productsoperates at a 26 percent margin.

Blog-a-Thon Back in the 1990s, Web pundits hyped the ability of the Internet to bring people together on a one-to-many basisto give Internet users a voice they didnt have previously, and thus make the world a smaller place. It might not be doing quite that, but the promise of one-tomany connections is being fulfilled these days by the weblog phenomenon. Weblogsblogs, for shortare a kind of online diary, in which the author, or blogger, writes regular postings about whatever interests him or her, often including hyperlinks to other Web pages containing information about the topic at hand. Now Web pundits are making the claim that blogs are going to change the face of journalism; again, well have to wait and see on that claim. But theres no doubt blogs are proliferatingand that even journalists and newspapers are getting in on the act.

How It Breaks Down

The industry is a baggy monster that resists classification. The following breakdown is not a definitive taxonomy but rather a chance for the uninitiated to make some sense of a rapidly changing landscape.

Publishers Online publications make money by selling advertising or subscriptions or both. Most of the players are losing money, and widespread profitability seems unlikely in the near future. Many players in this field are online ventures of already-established media brands. Some examples include The Wall Street Journal Interactive Edition, a subscription-based version of the leading business newspaper; and ESPN.com, an extension of the sports cable channel.

There are also a number of important players whose primary presence is online. A few examples are CNet, which provides news and information on the online world, and CitySearch, which is actually a cluster of publications, each devoted to life (restaurants, movies, community-service opportunities, and so on) in a given city. And hundreds of daily newspapers put all or part of their content on websites that are still exploring the differences between reporting for print and for the Web.

Vendors Vendors make money by selling goods or services. The best-known online seller of goods is Amazon.com. Mail-order companies with websitesLands' End, for examplefall into this category. Other sellers provide services: E*TRADE and Charles Schwab act as stockbrokers, Expedia acts as a travel agent, and FreeMarkets creates customized business-to-business online auctions for large buyers of industrial parts, raw materials, and commodities.

Aggregators and Portals Some of the busiest sites on the Web fall into this category. Search engineswhich account for five of the ten busiest websitesare aggregators (so named because they offer a huge aggregation of links to other websites). Portals (also referred to as gateways or start pages) are sites that serve as home base for Web surfers. The home page of AOL, for example, is designed as an Internet portal. In a move that typifies the fluidity and opportunism of this industry, the leading search engines, such as Yahoo!, have positioned themselves as gateways, and vice versa. Other so-called freestanding search engines like the popular Google.com have opted for search performance over the glitz and glam of gateways.

All of these sites make money from banner advertising (think billboards on your computer screen) or, increasingly, through alliances with companies that pay a lot of money to be the gateway or aggregator's "preferred provider" of travel services, greeting cards, and so on.

Communities Online communities serve as centers for people who share special interests. GeoCities is one of the largest, hosting a number of communities with interests as varied as fashion, golf, and government. Other examples of community sites include Motley Fool for small investors; BabyCenter, a site for parents; iVillage, a site for women; and PlanetOut, a site for gays and lesbians. All of these sites encourage users to sign up for free memberships by offering access to chat, newsletters, and bulletin boards; some offer members the opportunity to construct Web pages, which then reside in the community's site and serve as a draw for more members. Like many other Internet concerns, these sites used to make money from advertising and alliances, but are trying to pump up revenue streams like ecommerce and subscriptions.

Consulting and Support This category encompasses all of the companies that have sprung up to support and provide services to the industry. The ISP (Internet Service Provider) world is still divided between large players like America Online and smaller local players, although many of the latter are being bought and consolidated into national companies. Most of the major phone companies are also competing as ISPs. Local and long distance carriers such as PacBell and AT&T provide the latest in DSL and high-speed cable Internet connections.

This segment also includes a variety of now struggling consulting firms that help develop websites, providing services including management and strategic consulting specialized for Web companies, online advertising, e-commerce development, user-interface design, and, increasingly, all of the above. Companies in this category include DiamondCluster International, Razorfish, Organic, and Sapient.

Job Prospects

This industry is in the doldrums. All those jobs that were created by hot start-ups a few years back? Well, most of those start-ups have disappeared, and even those that havent have cut back on staff. The result: A tough road to hoe for job seekers. But while theres little

demand for new hires in business development, marketing, research, and operations in todays tight job market, there is still a need for good programmers and engineers.

Journalism & Publishing Industry

Publishing is changing awfully fast for a well-established industry that began several thousand years ago, five hundred years ago, or in the 1880s, depending on whether you date it from the first use of papyrus and stone tablets, the standardization of movable type, or the invention of the Linotype machine.

Today, the journalism and publishing industries continue to produce books, newspapers, and periodicals that entertain us, educate us, and bring us the news we need to be informed citizens. Mass-market book publishing resides in a decreasing number of large corporations, some of them parts of giant worldwide entertainment conglomerates, most of them based in New York City. Each of them publishes under many imprints, the publishing world's term for brands. Academic and scholarly publishing is performed by publishing houses connected to the great universities, and many smaller ones. There is also a huge market for technical books for virtually all occupations, from bricklayers to software engineers. Technical publishers, such as Addison-Wesley, also tend to cluster in New York City, though many are found elsewhere.

Many mass-market magazines like Time, The New Yorker, Rolling Stone, and Vanity Fair are published in New York City. So are many of the special-interest magazines published by outfits like Hachette Filipacchi (Woman's Day, Elle, Car and Driver, and Metropolitan Home). However, while many of the thousands of trade magazines are also published in New York, a good number are published in the centers of their respective industries; Variety is published in Hollywood, and numerous computer magazines are published in and around Silicon Valley by companies like Miller Freeman.

Daily newspaper circulation has been decreasing for about a decade, but the vestigial empires of William Randolph Hearst and Joseph Pulitzer are not giving in. Newspapers continue to be published in U.S. cities, though the number of cities served by two or more major papers can probably be counted on one hand.

The major difference between newspapers and periodicals on one hand and books on the other is that the former is supported by advertising. That means that their content and their production are both influenced by the interests of big advertisers, though editorial staffs wage a ceaseless war for independence from the dictates of advertising sales departments, with publishers playing arbiter. Book publishing is a little different. Sales does not mean bringing in advertisers; it means securing deals with distributors like Ingram, with huge chains like Barnes and Noble or Borders, and Web merchandisers like Amazon.com.

Trends

Pop Journalism As circulation numbers become increasingly important in today's tight market, even the most prestigious news publications are being accused of pandering to popular taste. Breaking from the legendary editorial tradition of choosing worthwhile topics in spite of general appeal, online journals and print publications alike are deferring to the numbers in setting layout, content, and tone standards. USA Today was a pioneer in the easy-to-swallow strategy: Peppered with brightly colored photos and accessible information in graph form and sold in coinboxes designed to look like television sets, the daily newspaper achieved immediate success (and disdain) as a prototype of the TV/newspaper/comic book hybrid.

Weblogs and Journalism

The promise of one-to-many connections is being fulfilled these days by the weblog phenomenon. Weblogsblogs, for shortare a kind of online diary, in which the author, or blogger, writes regular postings about whatever interests him or her, often including hyperlinks to other Web pages containing information about the topic at hand. Now Web pundits are making the claim that blogs are going to change the face of journalism; again, well have to wait and see on that claim. But theres no doubt blogs get the news in front of reader in a hurry, or that they are proliferatingand that even journalists and newspapers are getting in on the act.

Consolidation At the same time as the Web is making it easier for unique journalistic voices to be heard, the companies at the top of the heap in the industry are getting ever-larger. In recent years, AOL swallowed Time Warner, Tribune acquired Time Mirror, Gannett acquired Central Newspapers, and McGraw-Hill acquired Tribune Education. Often this M&A activity is accompanied by a lowering of costs (read: layoffs) so be aware that in publishing, as in most any other industry these days, there are very few jobs whose future is 100 percent secure.

How It Breaks Down

Newspapers Newspapers remain the biggest segment of the publishing world, accounting for nearly 40 percent of the industry's revenue. The big players here are Gannett, Knight-Ridder, Times Mirror, Dow Jones, The New York Times, and The Washington Post. Most of these also own substantial interests in broadcasting, cable, and new media. Traditional newspapers, like all traditional publications, are entering a new era: Most conventional newspapers boast online content on their own websites or those of partners. Insiders even foresee personalized news services in which customers will subscribe to writings by particular journalists.

Magazines This is a multibillion-dollar industry that expands each year, with top publishers such as AOL Time Warner (Time, People, Sports Illustrated, Fortune), McGraw-Hill (Business Week) and the Washington Post (Newsweek) leading in the Fortune rankings. TV Guide still outstrips them all in sales, and television news programs' increasing influence on the magazine format of glitzier features suggests the possibility of more links between the two media (to the chagrin of serious readers). Niche publications focusing on health, nutrition, travel, golf, and such are a growing presence, toothey've been thriving for the past 20 years and are slated for even more impressive growth.

Books In the past, book publishers acted as gatekeepers, offering authors the only viable means of producing books and persuading stores to sell them. But the proliferation of the Web and the publishing alternatives it offers are challenging this staid Goliath. As technology forges ahead, this segment lags behindreluctance to embrace new media is common among traditional publishersand cynics allege that the death of print is approaching. But having recovered from similar catastrophes, such as the introduction of radio, television, and CD-ROM, the book publishing industry is realistically predicted to weather the storm.

In spite of the current identity crisis, this segment is a multibillion-dollar business of pulp titles and blockbusters that accounts for about a fifth of the publishing industry pie. The big players are New York's clashing titansBertelsmann (Random House) versus Viacom (Simon & Schuster) versus AOL Time Warner (Warner Books)whose diversified interests put them on the path towards world domination.

Online Information This is an ever-expanding universe. A quick browse on the Web will produce a spectrum of publications, including encyclopedias, daily journals, interactive newspapers, and even novels. The rapid dissemination rate and global capabilities of this far-reaching medium exceed traditional methods and offer information that can be easily updated. Revenue is generated by advertisements, subscriptions, and e-commerce partnerships, but long-term profitability is yet to be determined. The biggest players are well-established publications that support an online presence, such as the Wall Street Journal Interactive Edition, and focused content-based sites like CNet.

Job Prospects

Publishing has been marked recently by massive mergers, consolidations, decreased circulation, and lower advertising revenues. As a result, the job market is stagnant with employment expected to grow more slowly than other occupations through the year 2010 according to the Bureau of Labor Statistics.

Publishing is still one of the bright and shining career options for humanities majors and people who love to read, think, and discuss their ideas, but it will continue to be one of the more difficult professions to break into. An internship or apprenticeship is often the best idea for recent gradsyou'll gain valuable experience and make industry connections. Seasoned reporters concede that whatever one's education, on-the-job experience is where most skills are cultivated. Once you enter the field, there are myriad possibilities due to the diverse interests of corporate employers.

The diversification of the media giants has had interesting repercussions on the job market. As recently as 15 years ago, if you began life as a print reporter, you did not generally end up in television or book publishing. If you covered hard news stories, you did not moonlight in PR and other promotional copy. The mix is much more fluid now. And although a few old-school journalists decry these developments, they make your job prospects more interesting than they once would have been.

Broadcasting

Peter Jennings. Barbara Walters. Rush Limbaugh. Oprah Winfrey. Howard Stern. What do they all have in common? Besides being extremely rich and famous, these on-air personalities all started their broadcasting careers as unknown announcers at local radio and television stations.

While such dramatic rises to superstardom attract many young hopefuls to broadcasting, there are many more professionals working behind the scenes. For every well-known newscaster or talk-show host, there's a score of people hired to create a program and keep it running. In addition to on-air announcers, broadcasting stations hire writers, program directors, and producers who manage the overall creation and delivery of station content.

What Broadcasting Is From world news to local weather and the Top 40 countdown, broadcasting generally encompasses any audio or visual programming that is disseminated to a large number of radio or television receivers. Although that definition could be expanded to include Web-based media outlets, this career profile focuses on opportunities in radio and television news production and station management.

What You'll Do Broadcasting is a lot like other entertainment sectors. At the end of the day, a station's success depends on its ability to entertain its audience, or satisfy its audience's hunger for information, or both.

Announcers, producers, directors, and everyone else must work together to tailor a station's programming to attract the largest possible audience, which in turn attracts advertising revenue or, in the case of nonprofit stations, public funding and support. In smaller markets, stations may also be responsible for producing ads.

Who Does Well

If you want to work in broadcasting, it helps to have a background in journalism, communications, or production, depending on the position you're after. But talent and skill alone may not be enough to succeed in broadcastingit takes a certain amount of business smarts and determination to become the next Walter Cronkite or Ted Turner, not to mention serendipity and star quality.

In truth, the glamour jobs in broadcasting are few and far between, and the competition for entry-level jobs is fierce. Many jobs in fact are unpaid internships, and even permanent positions don't often pay very well, and require grueling hours. If it's money you're after, you might have more luck teaching in a public school.

Those with more realistic goals, however, can find creative and engaging careers in broadcasting. Not everyone in the business gets the chance to interview the president, but many more are satisfied by the opportunities to speak with local political figures, produce new programs and commercials, and get intimately involved in their communities.

Editorial and Writing

Anyone who's corrected the spelling on a memo or questioned the insight of a newspaper reporter has edited. If you've composed a letter or an e-mail, you've written. If you want to turn that editing and writing into a career, you'll need an ongoing engagement with languageand a keen desire to communicate ideas to people effectively and efficiently.

What You'll Do Editors and writers tell stories. Business writers tell stories about companies and their management teams, organizational structures, and economic successes and failures. Feature writers tell stories about celebrities, movies, and people doing different, sometimes unusual things. Copywriters use language to convey a story about the benefits of a brand or product.

Writing almost always requires research or knowledge about a particular subject. While many writers start out as generalists, in the course of reporting or writing a story, they must become experts. An investigative story in a magazine into the causes of drug abuse, for instance, might include conversations with doctors, drug abusers, sociologists, legislators, drug-policy-reform groups and experts on organized crime, as well as research into public documents about government policy and the causes of drug abuse. The reporter then analyzes and synthesizes interviews and research, and organizes it into a storyhoping, perhaps, to win a Pulitzer Prize.

Editors often start out as writers, and in many cases their role involves substantial writing. However, their role also bridges the space between writer and publication. They help writers craft stories, make sure writers adhere to style guidelines and rules of grammar, and ensure that every article is suitable for a particular publication. In their role, they straddle management and production, managing writers and budgets, setting deadlines, scheduling what will run and when, and enforcing general editorial standards of quality.

Writing and editing careers vary widely. The subject, length, and style of what one writes or edits are variables that depend on where one works and what one has chosen to do.

Varieties of Opportunity Editorial and writing careers span industries. Advertising agencies hire copywriters to create compelling copy that will sell readers on a brand. PR agencies use writers to create press releases, write annual reports, draft speeches, and create op-eds (opinion pieces that PR firms try to "place" in newspapers to reach target groups). Computer software and hardware companies use technical writing and editors to develop documentation and technical information on software and hardware products.

Who Does Well

Editors and writers need to have a strong command of language. You'll need to understand its rulesand when to break them. Writers and editors should be curious and resourceful, able to find information, synthesize it, and explain it. While some writing is highly persuasive, writers and editors should be able to look at a subject objectively. You will be required to interpret the facts you find, and the best approach to those facts is with an open mind.

An ability to organize language and think critically and a desire to communicate to others are critical skills. A good sense of how to tell a story is also important, as is a mastery of the form in which your work appears.

Most jobs require both writing and editing skills, though people generally start off in a role more primarily writing-based or editing-based. As a truism goes, all good editors are writers, and all good writers are editors.

Entertainment & Sports Industry

In entertainment and sports, the profits come from discretionary spending, so these industries enjoy the most success in economically stable countries where leisure dollars flow freely. Industry companies supply their audiences with large-scale sporting events, music concerts, TV situation comedies, and silver-screen masterpieces. Simply put, they're in the business of fun.

Even during economically depressed periods, this industry flourishes as an escape from hard timesfor all walks of life. And standing at the pinnacle of entertainment culture are the celebrities: the movie stars and quarterbacks and rock stars and talk-show hostesses who seem to realize our dreams and thereby give us hope. This is the only industry whose product is an illusionneither a good nor a service, and yet both at the same time.

The culture in this industry is one of anti-corporate, studied casualness. There are still uniformsan ever-changing array of baseball caps and jackets in the music business, for example. But they're invariably less starchy, more expressive of individualism, than anything worn to work in the fields of finance or law. The people? Well, there's no people like show people, and the sports world has even more pep. This is a high-energy crowd. It's also a big-ego crowd, and working with its members can be both stimulating and frustrating.

Bottom line, though, is that even if your job does not bring you into contact with the creative members of the industry, the glamour rubs off, lending an aura of excitement to mundane tasks that would be boring in any other industry. Poring over Nielsen ratings all day doesn't sound so bad when you describe it to your dinner companions as analyzing the relative sex appeal of Jerry Springer, Oprah Winfrey, and Dan Rather.

Trends

Vertical Integration A few enormous conglomerates dominate the entire entertainment industry, each controlling television, film, publishing, new media, and music businesses under one umbrella. Often, they own professional sports franchises as part of the package. Congress has encouraged this integration by easing restrictions on how many television stations one company can own and by passing the 1996 Telecommunications Act, which lifted an important ban on telecom companies developing new media content.

At the same time, technological developments are leading to a convergence of digital television, digital audio systems, and the Internet, so that all home entertainment may soon be distributed through a single so-called set-top box, as simply as MP3 music files are now distributed over the Internet. If you are interested in this industry, watch for unexpected potential employers such as Microsoft and Intel, companies that are expected to play major roles in the industry's development.

The War for Control of Copyrighted Entertainment Products The fight against Napster, an online music file-swapping application, was just the beginning of the entertainment industrys efforts to make sure it doesnt lose profits due to new technologies that allow consumers to access entertainment products without paying for them.

In terms of online music file-sharing, the industry has now turned its sights on technologies such as those offered by KaZaa and Audiogalaxy, hoping to prevent them from allowing the sharing of copyrighted songs. In addition to citing the legal protections due to copyrighted materials and initiating legal battles with file-sharing providers, some big entertainment companies have resorted to taking over or partnering with these companies to ensure they make money from the sharing of copyrighted files: BMG, for instance, partnered with Napster, and Vivendi took over MP3. Others are banding together to provide their own online services: AOL, EMI, and Bertelsmann, for instance, formed MusicNet. And a good chunk of new music products these days come with copyright-protection software that limits users abilities to copy files.

In the broader fight to make money off all use of copyrighted entertainment products, the industry is now trying to make the case that all PCs and other digital products that run entertainment software should come loaded with software keys that will unlock software protections embedded in the industrys digital products. File-sharing advocates point to the rise of the VCR market as evidence that the industry is misguided in its efforts; Despite the movie industrys howls of protest when VCRs came on the market some 20 years ago, VCR technology ended up vastly increasing consumption of the industrys productsand pumped up profits in the process.

A New Television Landscape In the old days, the major networksABC, NBC, and CBSruled the television roost. Nowadays, cable channels (everything from HBO to MTV to Comedy Central) make for a much more fragmented landscape. Adding to the confusion has been the success of upstart networks like Fox, UPN, and the WB. To enhance their moneymaking ability, the major networks have adopted an if you cant beat em, join em strategy, making all kinds of production and distribution agreements with their cable competition.

How It Breaks Down

Despite the blurring lines between sports, music, movies, cable, and publishingand the media behemoths that preside over them all these various forms of entertainment are distinct domains. And though at Time Warner you could conceivably enjoy a career that includes working for the Atlanta Braves, Home Box Office, Six Flags theme parks, and the Atlantic record label, most people choose one area and stick with it. These worlds are closely knit, and whom you know and whom you oweand who owes youcounts for a great deal, particularly when you're looking for work.

Film In the days of celluloid movie factories, the major studios controlled the project from the earliest script draft to the opening night at Radio City. Most films were completed in under a month and cost as little as $200,000 to produce. Today there are six major entertainment companies: News Corp, AOL Time Warner, Vivendi, Sony, Viacom, and Walt Disney. Known as the Big Six, they all have their roots in the original Hollywood studios: MGM, Warner Brothers, Paramount, and others. But the modern studios control Hollywood in a different way now: They solicit projects, provide the financing, and make the deals with thousands of smaller production companies. The indies (independents) remain only marginally profitableand are often owned by one of the Big Six. (Miramax, for example, is a Disney subsidiary.)

Music Like most movies, music is often created by committee and on the whim of the record label. But the artists retain some control. At least, some do; the Billboard charts always seem to have room for packaged products like Menudo, the Monkees, and N'Sync. The 1996 Telecommunications Act lifted restrictions on how many radio stations a company can own and the ensuing domination by conglomerates resulted in more standardized (and oft-criticized) playlists nationwide.

Beyond the Top 40, music is also big business in conjunction with the advertising industry: Whoever owns the rights to songs used in big national ad campaigns stands a good chance of making even more than the record company or the artist. Sony is currently the acknowledged leader in the business. Other top music companies are Time Warner (Atlantic), EMI (Virgin, Capitol), Vivendi (PolyGram, Universal), and Bertelsmann (Arista, RCA).

Television The old news in television is the emergence of cable, the decline in network viewership, and the surprising success of Fox TV, the only new network to date that has threatened the supremacy of reigning giants CBS, NBC, and ABC. The more interesting and pertinent news for job seekers is the slow but inexorable digital convergence of computer technology, the Internet, and television, and also the 1996 Telecommunications Act, which allows phone companies and power utilities, among others, to create and distribute entertainment content. These developments opened the floodgates for telecommunications and technology companies to enter the competitionPacific Telesis (NYNEX and SBC), AT&T (TCI), Intel, and Compaq have become strong players. Also building on this technology, Microsoft and other companies are melding broadband cable and electronic media to enhance Internet capabilities.

Sports When world-class athletes cry, "Show me the money," team owners, managers, agents, and sponsors dance to the tune. The popularity of professional sports teams is phenomenal, and sky-high revenues are pulled in through a variety of avenues including advertising, sponsorships, team name and logo licensing, ticket sales, and worldwide broadcasts.

As far as professional organizations go, the National Football League (NFL) leads the pack in profits, with the National Basketball Association (NBA), Major League Baseball (MLB), and the National Hockey League (NHL) not far behind. Teams, once owned by individuals, are increasingly owned by companies: AOL Time Warner (publisher of Sports Illustrated) owns baseball's Atlanta Braves, basketball's Atlanta Hawks, and hockey's Atlanta Thrashers; the Tribune Company owns baseball's Chicago Cubs; Walt Disney owns hockey's Mighty Ducks of Anaheim and baseball's Anaheim Angels; and News Corp., Cablevision, Comcast, The Molson Companies, and Anheuser-Busch all have teams as well.

Job Prospects

Keep in mind that this could be the most competitive industry out there. Getting a job in sports or entertainment is a difficult undertaking that requires persistence, intense networking, and good luck. Unless your dad knows Ted Turner, don't count on landing even an entry-level slot easily. Every year, hundreds upon thousands of job seekers flood New York and Los Angeles hoping to become celebrities, and the majority of them wind up waiting tables to make ends meet And, if they decide to stay in show biz, they eventually end up taking jobs in production or administration. Take heart in the fact, though, that companies can't ignore talent. If you prove that you've got the skills to thrive in a challenging and nontraditional work environment, then you're in for a thrilling ride.

Careers in this industry usually start at the entry level; agents, personal managers, and studio executives usually got their start as lowly assistants. Once launched on their careers, people in the entertainment industry tend to change jobs frequently, and contacts in the industry are crucial.

For those of you with a business or technical background, work is more readily available. The big corporations that dominate the industry always need people in the standard management functions such as finance, HR, IT, marketing, and communications. Technicians are needed in traditional fields such as sound engineering and photography, and in the rapidly expanding fields of digital special effects: Dozens or perhaps hundreds of companies in Southern California and the San Francisco Bay Area employ software engineers and other specialists to create digital special effects, which are at the center of films like The Matrix, Monsters Inc., Lord of the Rings, and SpiderMan, and contribute unobtrusively to scores of other films, removing unwanted telephone cables from outdoor scenes and wrinkles from stars' faces. Leading companies in this field include Pixar, PDI, Sony Pictures Imageworks, and Industrial Light and Magic.

The difficulty of getting a job in the movie biz is legendarymaking a feature-length film can take years and a cast of thousands, yet you will be competing with hundreds for even the most menial short-term contracts and per diem arrangements. When you finally land a job, your initial contributions are generally limited to contracts, spreadsheets, gophering, and creating dazzling promotional copy. But over time you often actually come to know the stars and other industry bigwigs you serve, and these relationships evolve into the everimportant industry contacts that will make or break your career.

To get a job in the music industry, you'll have to follow a path almost as long and complex as that from the first stirrings of a tune in a musician's head to the final song you hear every time you turn on the radio. The important support jobs in the music industry are cover-art production, promotional video production, publishing rights, marketing and sales, and publicityand then more publicity, and then different publicity for radio, clubs, and both the mall stores and anti-mall stores such as Tower Records and Virgin Records. If you're interested in marketing to an online audience or the challenge of developing better online audio, these are also job areas to explore. So are MP3 players and DVDs, which are growing apace and are gradually replacing CDs and videocassettes.

As the sports industry expands to include lucrative ancillary employment in marketing, promotion, sports medicine, and agency representation, your options extend well beyond one team or sport. You can earn almost as much as a good left-handed pitcher if your legal skills include licensing and contract negotiation.

Manufacturing and Production

Without manufacturing and production, there'd be no products to market or sell. Accountants wouldn't have anything to account for. The retail trade would collapse. Programmers would be without computers to program on.