Vocabulary

for the purpose of – с целью

share of ownership – доля собственника

to operate successfully – действовать успешно

to take into consideration – принимать во внимание, учесть

main objective – основная цель

to gain – получать, приобретать, извлекать пользу

to reduce (to cut) prices – понизить цены

margin – прибыль

to increase production – увеличить производство

unit costs – стоимость изделия

to come down – уменьшаться, снижаться

to be highly mistaken – глубоко ошибаться

to go in for higher profitability – стремиться к увеличению прибыльности

to upgrade – повысить качество, совершенствовать

to bear in mind – помнить, иметь в виду

to enable smb. to do smth. – дать возможность кому-то что-то делать

to subcontract more of the production – заключать больше субдоговоров по линии производства

job losses – потеря рабочих мест

to be secure – быть стабильным, гарантированным

Answer the following questions.

1. What kind of institution is a business company? 2. What kind of strategy must a company have? 3. What does a company have to do in order to achieve the main objective? 4. Will you cut profits if you reduce prices? 5. In what way will you be able to cut unit costs? 6. What will become with unit costs if you invest in new plants and machines? 7. Is the increased market share the main objective in company strategy? 8. What's the main objective of the company strategy? 9. What can you expect if you upgrade the product? 10. What may happen if you increase prices whatever the quality? 11. What may happen if you reduce costs in manufacture? 12. Is it true that subcontracting more of the production means job losses? 13. Do you take it correctly by understanding that the jobs which remain after general job losses will be more secure?

Making a career

In 1960 Brian Baker, Managing Director of Lindon & Son, borrowed a large sum of money from Bridges and Company Bank to finance the business. It's in place here to mention that Mr. Baker's business has been in full swing since that time, and seems to be prospering in the future. Suffice it to say that within a short period of time the parent company "gave birth" to many subsidiaries, and now has got 50,000 employees, as well as many manufacturing assembly plants and factories. We have our branches in 25 cities and towns all over the world.

It's no exaggeration to say that we produce high quality products. We use the most advanced technologies, and are in close contact with the market. We produce a great variety of products ranging from spare parts of domestic appliances to small tractors and grass-cutters.

To keep abreast with the time and to have our production on a high technological level we try and invest a lot of money in research and development. Our company has sales reps all over the world, and our prices are said to be very competitive.

As regards our future we plan to increase our production, profits and turnover, to export to more countries, and expand our international links. In the latter case, we have made considerable progress by concluding economic, scientific, and high-tech agreements as well as through exchanging specialists.

Now back to Mr. Baker and a short history of his business. Mr. Baker has had an enormous input in his business, and proved to be a talented and gifted manager. 18 years ago Mr. Baker earned a good salary in Frankfort, but he wanted to have his own company. He couldn’t afford to start a company immediately, because he needed money. During his years in Frankfort he saved as much money as he could, and some years later he invested his money of $500,000 in total in his new company. His profits rose by 25% per year and reached $45,6 mln in 1990. Now he owns 80% of the company, and his shares in the company are now worth $899 mln.

Public relations. To complete the picture of portraying our company it should be noted that our managers not only perform their office duties, but also participate in the communal work. At our Headquarters public relations officers are engaged in their day-to-day activities aimed at working with clients, mass-media, and members of the staff. We are in close touch with the press. Therefore, from time to time we have the pleasure of seeing our "image" in some leading papers.