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62

to reach a case — выиграть дело to win a case — выиграть дело

case under investigation — расследуемое дело

under the cases — в соответствии с судебной практикой

II.

According to the teacher’s instructions act out a meeting between investors and sales people selling a franchising operation.

PJ FOODS RATONALISES EUROPEAN OPERATIONS

HUNDREDS OF MANAGERS TO GO

PJ Foods, the food and beverage giant, ended a troubled year’s trading with the news that around 400 managers from all departments of the company’s European operations will lose their jobs in a cost-cutting exercise designed to make PJ more competitive. Commented

CEO Lance Gullik: “Of course we regret taking this step, but it is a part of a process of reengineering the entire company. We are removing layers of management to get closer to our front-line workers and our customers. Some top-level executives, such as Chief Buyer Hans De Witt, will be picking up pay-offs worth $1m or more, but the majority of those to go will be middle-managers. They will pick up between $35.000 and $100.000.

SUPERSUB ANNOUNCE NEW PROFIT HIGH

The chain of franchised sandwich stores announced record profits at its shareholders meeting yesterday. There are now over 10.000 stores in the chain, with an average income per store of $1.2 m per year.

SuperSub’s receipts from franchise holders were $ 180m. The company announced the formation of its ‘SuperSub Millionaires’ Club’ for franchisees who have become millionaires through the franchising. It already has 100 members. However, closures were also higher last year. Two hundred SuperSub franchise holders resigned their franchises because income was too low.

63

MEMO

From: Petra LaSalle

To: All sales staff

As you may have seen, another record year. We are now up to 10.000 stores in the chain, with an average income per store of $1.2 m per year: receipts from franchise holders were $ 180m. The new ‘SuperSub Millionaires’ Club’ already has 100 members. The only bad news is that 200 SuperSub franchise holders resigned their franchises because they weren’t getting enough income. Most of them were in suburban locations. We really need to concentrate on city centres: office staff taking lunch really are our core market.

Keep up the good work,

Petra La Salle

SUPERSUB: CLEAN; SIMPLE; HEALTHY

SUPERSUB is an international franchised chain of stores selling takeaway sandwiches and salads. It has been in existence since 1980 and is a world leader in food retailing. The concept underlying its success is Clean, Simple, Healthy Food. The franchises are easy to operate: none of the food sold in a SuperSub store is cooked.

Training

New franchisees receive two week’s intensive training in our international headquarters in

Columbus, Ohio (air fares and accomodation not included). The programme covers everything you need to know about owning and operating a SuperSub store, and includes visits to actual operations. There are advanced courses for existing franchisees, and the SuperSub monthly newsletter contains tips to help you maximise your income.

64

Support

Being a SupeSub franchisee means that you get professional advice on marketing, taxes, real estate, store design and recruitment and many more areas from our 25 Business Expertise Departments in Columbus. Call us any time – it’s a toll-free line.

Growth in SuperSub operations

SuperSub opens over 1.000 new stores a year. It has outlets in all 50 states and in most European countries. This brings many benefits to our franchisees, including:

Low, low prices on equipment because of our bulk-buying power.

Nationwide TV advertising

Increased customer recognition of your business’s name

Capital requirements, income and other costs

How much capital you need will depend largely on where you open your store and whether you build or convert existing premises. Recently a franchisee converted a shop in central Paris and got into business for only $160.000. He is now turning over $1.8 m per year. More modest suburban locations can be set up for as little as $50.000.

Gross incomes from SuperSub stores vary from $350.000 to over $10 m. Net profits before tax are around 10-15% in most locations. When you set up your SuperSub store we will be available to help at any time. For this service we charge a one-off non refundable fee of $2.500-$5.000, depending on the size of the store. Once you are in operation, we charge 1.5% of your gross income for use of the SuperSub name and business methods. We audit your accounts once a year.

 

 

 

 

9000 units

 

 

 

 

 

 

 

 

6500 units

 

 

 

4000 units

 

 

 

2500 units

 

 

 

900 units

 

 

 

 

 

 

 

 

 

1989

1991

1993

1995

1997

65

ORIENTAIR

FILE 1

Glossary

Make sure that you know these words. Find their Russian equivalents.

hong - a foreign firm or a company in China

route - a way or course planned or taken to get from one place to another fierce - violent, cruel

drop in the market share - declining, growing weaker, becoming less fleet - group of aircraft belonging to a particular owner

turnover - total value of business done during a period of time surplus - excess of income over expenditure

operating surplus - difference between the revenues of a business and related costs and expenses, excluding income and expenses from sources other than its regular activities and before income deductions

profit ( surplus) - difference between business income and expenses gross profit - difference between the value of sales and the cost of goods revenue - money received during a particular period of time

capacity - the amount a factory or process can produce in a certain time

factor (coefficient, index, rate, ratio) - value measured by its relation to some other amount break-even - a situation where income from sales equals the expenses of production, so neither profit nor loss is made

direct ticket - point-to-point ticket (flight) return ticket - round-trip ticket

single ticket - one-way ticket stopover - flight with stops on the way inward journey - homeward journey outward journey - trip abroad

overall results - total results poor results - bad results healthy results - good results

66

to win one’s support - to gain one’s support

to match rivals - to be able to compete (to be equal) to put forward a proposal - to make a proposal

customer survey - a work of colleting information about customers’ tastes and opinions in order to plan how to advertise or sell the product

time-scale - dates, schedule to circulate - deliver

findings - facts often presented as a statistic tight restraints - strict limits

to work round the clock (the clock round) - to work all day and all night check-in facilities - means to record one’s departure, or arrival at the airport check-in personnel - people recording one’s departure or arrival at the airport catering - providing meals and drink

to extract (results) - to take out, to get

Θ Orientair is a Hong Kong based airline serving destinations in the Pacific Basin, Asia and Europe. It is an independent company and is wholly owned by Mackenzie Smyth, one of the great Hong Kong “Hongs”. While competition on all Asian routes is particularly fierce, Orientair is currently more concerned about a drop in its market share on European routes.

The following extract is from the Orientair’s Fact guide. Read the guide.

Registered Office: Kai Tak International Airport,

Hong Kong

Fleet:

 

Boeing 747

300 ... (a); Boeing 747 200Bs – 4;

Boeing 737

- 8; Airbus A300 ... (b);

Boeing 747

Freighter – 1; Super Tristar ... (c)

No. of employees: ... (d)

 

Turnover ($m)

1360

Operating Surplus ($m)

72

Gross Profits ($m)

68

 

67

 

 

Volume of traffic carried:

 

Revenue passenger km (m)

10 339

Cargo tonne km (m)

361

No. of passengers carried (000)

4 319

Tonnes of cargo carried (000)

73

Capacity:

 

Available seat km (m)

15 430

Available tonne km (m)

2 035

Load factors:

 

Passenger load factor (%)

66,5

Break-even passenger load factor (%)

60,4

Overall load factor (%)

63,4

Break-even overall load factor (%)

58,0

Operations:

 

Punctuality (% within 15 minutes)

81

Regularity (%)

99,2

Yield:

 

Revenue per passenger km (cents)

9,79

Revenue per cargo tonne km (cents)

85,17

All figures relate to the financial year last ended.

Θ Exercise 1. Listen to the recording, fill in the gaps in the Orientair Fact Guide and answer the questions:

1.What is the company’s business?

2.What type of company is Orientair?

3.What is the company’s position on the market?

4.What is the company’s financial situation (according to the figures from the guide)?

Θ Exercise 2. Study this timetable. A business traveller in London wishes to book a seat on an Orientair flight to Hong Kong. Listen to the conversation with travel clerk and correct the details on the form below.

68

EUROPE – HONG KONG

Class

PCY

PCY

PCY

 

PCY

PCY

PCY

Day

1

2

1

 

2

5

3

 

4 6

7

4 6

 

 

6

6

Flight No.

OR

OR

OR

 

OR

OR

OR

 

751

755

757

 

200

250

251

Dep. LONDON Heathrow

 

 

 

 

12 00

18 00

10 30

dep. PARIS Orly

 

 

12 00

 

 

 

 

dep. AMSTERDAM

 

12 00

 

 

 

 

 

dep. FRANKFURT

 

14 30

 

 

 

 

 

dep. ZURICH

 

 

 

 

 

 

13 15

dep. ROME

13 55

 

15 15

 

 

 

 

arr. BAHRAIN

21 10

 

 

 

20 45

 

20 45

dep. BAHRAIN

22 05

 

 

 

21 45

 

21 55

arr. HONG KONG

11*05

08*55

09*55

 

10*30

14*00

10*55

Notes: P – First Class (sleeper seats) 1 – Monday

4 – Thursday 7 - Sunday

C – Business Class

 

2 – Tuesday

5 – Friday

* - Next day

Y – Economy Class

 

3 – Wednesday

6 – Saturday

 

NB No traffic rights Amsterdam – Frankfurt, Paris – Rome, London -Zurich

London – Hong Kong – London Friday 18th July 19 ..

Flight No. OR 757 (outward)

18 00 Heathrow to Hong Kong Kai Tak 14 00 (next day) Point-to-point round trip

Open-dated return Business Class (=Y)

Exercise 3. Expressions related to air travel.

Notice: single (ticket) = one way (ticket) return (ticket) = round-trip (ticket) direct (ticket) = point-to-point (flight)

Write the opposites to these expressions.

69

A flight with a stopover a direct (or point-to-point) flight.

1) A return ticket ...

2)A one-way ticket ...

3)The inward journey ...

4)Book it now ...

e) A dated ticket ...

Θ On July 26th Stephen Lee, the Managing Director of Orientair, calls a management meeting to discuss the problems on the European routes. At the meeting are Marketing Director, Tony Chan, and Financial Director, Gary Marsh.

Read the dialogue

Lee: Well, I think we can agree that overall results for the second quarter are satisfactory.

Chan: I agree, Stephen. However, I must draw the attention of the meeting to the poor results on our European routes. While traffic and sales in the Asian Division are healthy, results for the European Division give us cause for concern.

Marsh: I’d like to add to that, Stephen. Our market share on the European routes has been declining at an average rate of 2% over the past three years.

Lee: Yes, we can see that from the statistics presented here. And the consequences ... ? Marsh: This loss of customers to our competitors is leading to a low and unprofitable load factor. Our planes are flying at 61% of capacity on European routes.

Lee: That’s only just above break-even point. It’s obvious we can’t allow this situation to continue. We have to look urgently at some ways of improving our market share and attracting more customers.

Chan: We all know that we can only win customer support by improving the quality of our service.

Marsh: Yes, there’s little we can do about improving our fleet of planes in the shortterm. And in any case, Cathay Pacific and BA will always be able to match us there. Lee: Tony, can you put forward any proposals for improving our service?

Chan: We’re currently looking at the results of a customer survey. Jimmy Mo, the Marketing Manager, is working on it now.

Lee: What about the time-scale?

70

Now listen to this part of the conversation.

Θ Exercise 4. The meeting goes on to discuss time-scale. Listen to the recording and answer the questions.

1.What are the results for the second quarter?

2.What are consequences of market share declining?

3.What can be done to improve the situation?

4.What is Jimmy Mo working on?

5.When is the next meeting to take place?

6.When are Marketing Department’s recommendations and report to be completed?

7.When is Managing Director to receive a copy report and recommendations?

Exercise 5. Rewrite these phrases using expressions from the dialogue.

The total results. overall

a)I must tell meeting that ...

______________________________________________________________

b)The results are good.

______________________________________________________________

c)Our planes are flying about 61% full.

______________________________________________________________

d)Can you make any proposals?

______________________________________________________________

e)There’s little we can do about that now.

______________________________________________________________

f)We can only gain customer support.

______________________________________________________________

g)Could you deliver the findings to all Board members?

______________________________________________________________

h)We are working within tight financial limits.

______________________________________________________________

i)I look forward to seeing your recommendations not later than by August the 7th.

______________________________________________________________

71

Θ Exercise 6. Directly after the management meeting, Marketing Director, Tony Chan dictated a memo to his Marketing Manager. Listen to the recording and write down the memo.

On receiving his boss’s memo, Marketing Manager, Jimmy Mo, works round the clock to complete his report on the recent customer survey.

Read this extract from the report.

 

Excellent

Good

Satisfactory

Poor

Unsatisfactory

 

 

 

 

 

 

Check-in facilities

2%

23%

47%

18%

10%

Check-in personnel

11%

32%

48%

7%

2%

Punctuality

0%

22%

25%

28%

25%

Cabin service

4%

19%

25%

22%

30%

Catering

3%

18%

23%

24%

32%

In-flight entertainment

7%

24%

31%

20%

18%

Seat comfort

6%

21%

29%

27%

17%

 

 

 

 

 

 

The survey was conducted during the week beginning 19th June on all routes. The above results have been extracted for European routes. It is clear that catering is the one area where we seem to be poor and where improvements can be made, particularly for Business Class and Economy Class. A selection of quotations from passengers is given below.

“The breakfasts in Economy are totally inedible.”

“You expect something a little better than this in Business Class.” “Tasteless food but what do you expect in an airplane?” (Economy Class) “Excellent food with charming service.” (First Class)

“If you have to keep waking us up to eat, why don’t you make it worth it?” (Economy)

72

Θ Listen to two Orientair passengers discussing the survey. Complete the survey form for them.

Flight number: ___________________ Class: __________________

Orientair is constantly trying to improve its service. We hope you will find time during your flight to help us serve you better. Please, give your opinion on the following. Orientair thanks you for your co–operation. Please, give this leaflet to one of our cabin staff or post it in the envelope provided.

Excellent Good Satisfactory Poor Unsatisfactory

Check-in facilities Check-in personnel Punctuality

Cabin service Catering

In-flight entertainment Seat comfort

Answer the questions:

1.On what routes was the survey conducted?

2.What did it show?

3.What is the weakest area?

Revision of the file

Exercise 1. Translate into English

1.Orientair обслуживает авиалинии Тихоокеанского бассейна, Азии и Европы.

2.Конкуренция на азиатских маршрутах была особенно жесткой.

3.Руководство компании считало, что причинами сокращения доли рынка на европейских авиалиниях были, во-первых, устаревший парк самолетов, вовторых, низкое качество обслуживания и питания.

73

4.Финансовый анализ показал снижение валовой прибыли и объёма перевозок: выручка от пассажирских перевозок уменьшилась на 10%, грузоперевозки снизились до 73 000 т.

5.Потеря пассажиров привела к снижению загруженности. Коэффициент загруженности стал низким и неприбыльным, то есть составил 61%, что было чуть выше коэффициента безубыточности.

6.В соответствии со сроками результаты опроса должны быть предоставлены в течение двух недель и разосланы всем членам совета директоров.

7.Компании приходилось работать в условиях жестких финансовых ограничений.

8.Учитывая жёсткие сроки, Джимми Мо пришлось работать круглые сутки, чтобы подготовить отчёт о проведенном недавно опросе.

9.Пассажиры, выезжающие за границу, предпочитают брать билеты туда и обратно с открытой датой вылета и остановками в пути.

10.Опрос указал на неудовлетворительное питание, так как большинство пассажиров считают пищу либо несъедобной, либо безвкусной.

11.Результаты опроса дают повод для беспокойства.

Exercise 2. Give Russian equivalents for the following words and use them in the sentences (short situations) of your own.

hong

outward journey

fierce

to match rivals

operating surplus

time scale

single ticket

work round the clock

return ticket

check-in facilities

direct ticket

check-in personnel

inward journey

catering

Exercise 3. Ring Global Travel to book a seat on an international flight.

Exercise 4. Give the summary of the file.

74

FILE 2

GLOSSARY

Make sure that you know these words. Find their Russian equivalents.

remedy to the problem – to put (make) right

to give an edge over smb – to make better, to give an advantage over smb. subject to – depending on, on condition

range – a set of different objects of the same kind (assortment) to extend – to make longer or greater

disturbing – making upset, worried

to put strain on smb – put in a state of tension; to force beyond acceptable limits long-haul flight – long distance flight

opposite number – person in the same job elsewhere implication – suggestion not expressed but understood

to bear up – to show courage or strength by continuing in spite of difficulties incentive – encouragement to greater activity (stimulus)

feasibility study – a careful study of how a planned activity will work, how much it will cost, and what income it is likely to produce

fall-back position – a situation where an alternative can be used when there is a failure or lack of other means

to fall back – to abandon one’s position

Θ The final draft of the Marketing Department’s report is approved by Marketing

Director, Tony Chan, on the 1st August. It is then retyped, copied and circulated to members of the Board by the 3rd August, as required.

Read this extract from the final section of the report.

75

5. CONCLUSIONS

5.1.The annual loss of customers on our European routes of 2% on average over the past three years would, if continued over the next two years, render our European routes unprofitable.

5.2.Our product is, in effect, almost identical to the product offered by our main competitors, Cathay Pacific and BA

5.3.No remedy to the problem of product improvement is available in the short term for the following reasons:

*The only new wide-bodied aircraft on the market which would give Orientair an edge over its competitors – the Airbus A320 – could Not, even if the Board decided to purchase it, be delivered for at least two years.

*Fare reductions, even with favourable purchase schemes such as APEX, would not make a significant impact because of IATA Conventions, which we are bound by.

*Any variations in routes, including stopovers, are almost impossible to achieve, as they are under the increasingly strict control of the civil aviation authorities of the countries concerned.

5.4.The results of the customer survey carried out by the Marketing Department showed that Orientair is weak in the service area, particularly for Business and Economy Classes.

6. RECOMMENDATIONS

6.1.Business Class catering to be upgraded to First Class standards.

6.2.Economy Class breakfasts to be improved.

6.3.Our contract with Bahraini Flightfood, due for renewal in October, to be negotiated subject to satisfactory improvement.

6.4.Economy and Business Class lunches to be given a de luxe element, to include e.g. crepes suzettes and profiteroles, and fresh cream for dessert.

6.5.The range of special meals to be extended. The following should be made available at 24 hours notice.

Children

Baby menus

 

 

(fresh food rather than the

 

 

current range of tinned and bottled food)

 

Non-meat

Religious

Medical

Vegetarian

Muslim

Diabetic

Vegan

Hindu

Low cholesterol

 

Kosher

Low fat

 

 

Salt free

Now listen to recorded extract from the report.

76

Exercise 1. Agree or disagree with the following statements. Discuss them.

1.The annual loss of customers will render European routes unprofitable

2.Orientair competes effectively.

3.Fare reductions and variations in routes may give Orientair an edge over its competitors.

4.The customer survey shows that Orientair is weak in the service area.

5.The main recommendations were given to update the fleet of planes.

Θ On 15th August, the Board meets to discuss the customer survey report and to consider the proposal put forward by the Marketing Department.

Exercise 2. Read the text and fill in the gaps with the words given below.

survey considered in-flight unexpected costly outside unions

alternative detail services

majority circumstances

findings

 

 

 

 

Present at the meeting: Stephen Lee

Managing Director

 

Tony Chan

Marketing Director

 

Gary Marsh

Financial Director

 

Alice Kwon

Personnel Director

 

Paul Tang

Operations Director

Lee: You have all got copies of the findings of the customer ....

(a) and the report

from Marketing, and I hope everyone has

... (b) them carefully. Now, let me hand over

to you, Tony.

 

 

 

Chan: Thank you, Stephen. The findings of the customer survey are very clear. It is obvious that a ... (c) of customers regard our cabin service and catering as either poor or unsatisfactory.

Lee: These are disturbing findings, but not altogether ... (d).

Tang: I must point out that many of the items in the questionnaire are ... (e) of our control. Punctuality, for example, depends on traffic volume, air traffic control system, and, of course, the weather.

Chan: Yes, and although our customers are happy with our check-in personnel, there are continuing problems with check-in facilities.

Marsh: Those facilities would prove ... (f) to improve.

Lee: I’d like to come back to Tony’s earlier point. The major finding is that there is strong dissatisfaction with our ... (g) services. Let’s concentrate on that for a moment,

77

shall we? We can come back to the ground services later.

Kwon: It’s only fair to say our cabin staff do a good job in the ... (h). The question we have to answer is how we can improve in-flight services without putting too much strain on their goodwill. We must also avoid problems with the ... (i).

Tang: We’re going to need extra cabin staff on our larger aircraft if we are to improve in-flight ... (j).

Kwon: This is quite likely, though increased pay might be an attractive ... (k). Marsh: Erm-may I come in here Stephen?

Lee: Yes, go ahead, Gary.

Marsh: As Financial Director, I must remind the meeting that we are operating within strict financial restraints at this time. I’m sorry to keep repeating myself, but I think it is important we remember the realities of the situation.

Lee: Don’t apologize, Gary. It’s a very good point. In any case, we don’t yet know whether these extra costs will be necessary. We’ve seen the proposals from Marketing. Let’s look at them in ... (l) first.

Now listen to the recorded conversation, and the exercise which follows it.

Exercise 3. Rewrite these examples using an expression from the meeting.

Let me ask Tony to speak now.

Let me hand over to Tony now

a)That’s not completely true.

_______________________________________________________________

b)I must tell you that the report was prepared at short notice.

_______________________________________________________________

c)Implementing these proposals could be costly.

________________________________________________________________

d)I’d like to return to that point later.

________________________________________________________________

e)What you say is quite possible, but what difference does it make?

________________________________________________________________

Exercise 4. Read these two accounts of the meeting. Which one do you think was included in the minutes of the meeting?

a. The Marketing Department’s report indicated that there is dissatisfaction with general areas of Orientair’s service. It was felt that several of the items mentioned, such

78

as punctuality and check-in facilities, were either outside Orientair’s control or too expensive to improve in the short-term. Referring to the dissatisfaction with in-flight services, the Personnel Director felt that it was important to find solutions that did not put a strain on the cabin staff’s goodwill and did not create problems with the unions.

b. The major finding in the report by the Marketing Department was that there is strong dissatisfaction with Orientair’s in-flight services. It was felt that in order to improve these services, it would be necessary either to increase staffing ratios among cabin staff, or to increase pay. The financial Director, Gary Marsh, reminded the meeting that the company was operating within strict financial restraints at this time.

Θ Operations Director, Paul Tang, knows that if the Marketing Department’s proposals are adopted, it will be necessary to increase cabin staff on long-haul flights by a factor of two per flight. He also knows that the Board is unlikely to accept this increase in costs. He decides to seek support from his opposite number in Personnel.

Read the memo

MEMORANUM

 

From: Paul Tang, Operations Director

August 5th , 20 ..

To: Alice Kwon, Personnel Director

 

Re: IN-FLIGHT SERVICES

 

Please refer to the minutes of the Board meeting held on 3 August and to the Marketing Department’s recommendations on the review of European services.

The implications of recommendations 5.1, 5.2, 5.4 and 5.5 are considerable from an operations point of view. Having considered the requirements of such a wide-ranging improvement in services, particularly in relation to staffing, I feel that we should meet to discuss options and priorities. Please contact my secretary on extension 2173 to set up a meeting.

79

Θ Exercise 5. Listen to the recorded meeting between Alice Kwon and Paul Tang. Tick the correct statements (√).

a) The catering improvements will increase the workload of the cabin staff.

(

)

b) The Board of Directors will agree to the new staff requirements.

(

)

c) Alice Kwon suggests bonus payments for cabin staff, as a “fall-back position”. (

)

d) The Finance Department will be against Operations Director’s proposals.

(

)

e) There won’t be any problems with staff and unions.

(

)

Exercise 6. Reproduce the conversation.

Revision of the file

Exercise 1. Find the sentences in which the words from the glossary list are used, paraphrase them and translate.

Exercise 2. Give English equivalent for the following words and use them in the sentences (short situations) of your own.

Рассылать (письма, документацию); ежегодная потеря; способ решить проблему; основные конкуренты; делать неприбыльным; иметь преимущество; сокращение стоимости проезда; благоприятный; быть связанным (обязанным); изменения маршрутов; строгий контроль; гражданская авиация; заинтересованные страны; повысить качество; при условии; расширить ассортимент; факты, вызывающие беспокойство; дорогой (дорогостоящий); злоупотреблять расположением; профсоюз; дальние рейсы; коллега по должности; смысл (значение); анализ экономической целесообразности; отступление, уступка.

Exercise 3. Give the summary of the file.

80

FILE 3

GLOSSARY

Make sure that you know these words. Find their Russian equivalents.

deadlock – disagreement that cannot be settled money well spent – money successfully invested

tight financial margin – strict financial limits (tight financial restraints) costing - calculating the costs of future activity or a product

costings – calculation of the costs

sobering – making or becoming serious or thoughtful

profit margin – difference between the price of a product or a service and the cost of producing it

to estimate – to calculate what the value, size, amount, etc. of smth is or will probably be operating profit – profit relating to a company’s normal activities

to go round in circles – discuss the same ideas returning to the same arguments angle of a problem – point of view

to strike – to come suddenly to the mind, astonish

long and expensive exercise – time and money consuming activity

to introduce note of reality - to draw attention to the real situation (state) to go through the roof – to increase sharply

to launch – to cause an activity to begin ( to launch a product, project, club, magazine) rule book – book containing rules or regulations

The question of the Marketing Department’s recommendations is item one on the agenda for the next Board meeting, which is to take place on the 28th August. As the date approaches, the conflict between the Marketing and Finance departments intensifies.

Θ Discussions continue on the Marketing Department’s proposals for improving in-flight services. Financial Director, Gary Marsh, who is leading the fight against the proposals, meets Marketing Manager, Jimmy Mo, at a meeting. He asks to see him afterwards.

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Read the dialogue

Marsh: Jimmy, thanks for meeting me. Are you very busy?

Mo: No, that’s OK. I have to be somewhere in twenty minutes, but what can I do for you?

Marsh: Can we have a quick chat about Marketing’s proposals for improving catering on European flights?

Mo: Of course. I know your objections are pretty wide-ranging.

Marsh: Well, to cut a long story short, my department’s view is that we can’t afford them. Have you considered the implications from a cost point of view? Remember, you’re talking about a major improvement for 38 flights per week.

Mo: But we’re losing money on flights through low load factors.

Marsh: I agree, but we still feel the cost of these improvements will prove to be too high.

Mo: We believe it will prove to be money well spent.

Marsh: Well, we’ll have to see about that. Have you thought about the extra staffing costs? The Board may decide against that.

Mo: In our view the Board have no real choice.

Marsh: You seem to forget that we’re operating on tight financial margins on these routes.

Mo: Yes, I know that, but the way to widen margins is to attract more passengers.

Marsh: That’s fine in theory, but we have to operate within the present budgets, which are strictly controlled. My department’s view is that we can’t afford your proposals.

Mo: Well, we’ll need evidence of that.

Marsh: The evidence is on every page of our accounts.

Mo: Well, I’d like to see some figures.

Marsh: Very well, you shall. I’ll send you detailed costings. I think you will find them sobering.

Mo: Yes, well, it’ll be good to have a discussion based on facts for a change.

Marsh: Exactly ...

Now listen to the recorded conversation.

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Exercise 1. This is a summary of the arguments put forwards by Jimmy Mo.

The costs of the Marketing Department’s wide-ranging proposals will be high, but the major reason why profit margins on European routes are so tight is that there is a low load factor on these flights. Orientair, therefore, need to attract more passengers to improve on present performance. Money spent on attracting more passengers will, therefore, be money well spent.

Write a summary of Marsh’s arguments.

Θ Exercise 2. Gary Marsh sends the following costings to the Marketing Manager, as promised. When he receives them Jimmy Mo calls the Financial Director with some queries. Listen to the call and complete the memo.

MEMO

From: G.D. Marsh, Financial Director

To: J.K. Mo, Marketing Manager

Re: COSTING OF CATERING IMPROVEMENTS

(..............(a)

In response to your request for a statement of costs, I am pleased to submit the following

initial estimates ...........................................................................

(b)

 

$ million

Staffing

2.09 .......................

 

.......................

Cost of upgrading menus

3.42

Marketing

 

Additional to present budget

8.35

TOTAL

13.86

Please note that the above figures represent approximately 1% of our turnover, and that we will need to increase load factors on European routes by at least 1.5% to maintain the present level of operating profit.

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Θ At the Board meeting on the 28th August, discussion of the Marketing Department’s proposals ends in deadlock. The matter is referred to a sub-committee. Two days later, the sub-committee meets. Marketing Director, Tony Chan, is in the chair.

Read the text of the discussion.

Chan: Gary, could you clarify a point for us?

Marsh: I’d be glad to.

Chan: Is your objection to the cost of the proposals or to the proposals themselves?

Marsh: In fact, it’s to both.

Chan: As you know, my department’s proposals were based on careful research. Since you reject them, perhaps you would like to put forward some alternative ideas.

Marsh: Well, Tony, that’s not really my job. I’m not a marketing expert, you know.

Chan: I see ...

Mo: We seem to be going round in circles again.

Chan: Yes, can anyone suggest a new angle on the problem?

Kwon: Yes, I have a suggestion I’d like to discuss.

Chan: Go ahead.

Kwon: Marketing isn’t my field, but it strikes me that the recent survey was based on the views of people who already use Orientair. The people we need to know more about are the ones who don’t use us.

Marsh: Getting their views would be a long and expensive exercise.

Kwon: I’m sure you’re right. But there is a category of potential customers, a very large category, which we are ignoring – and so are our competitors, as far as I know.

Chan: And they are?

Kwon: Asian families abroad. Marsh: Families?

Kwon: Yes, there are thousands of Asian families living in Europe, North America and

Australasia. Now, as we know, Asians have strong family ties. I’m sure that with a little encouragement, some of those families could be persuaded to travel by Orientair when they fly home to visit their relations.

Chan: That’s a very interesting idea ...

Now listen to this part of the recorded discussion.

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Θ Exercise 3. The Board goes on to discuss Alice Kwon’s idea. Listen to the recording and write down the names of the people who make the following statements.

We should offer group discounts to families. – Kwon

a)We could become the world’s first family airline. ...

b)Business customers are crucial to the success of any airline. ...

c)We could introduce a scheme to combine family and business bookings. ...

Exercise 4. Notice how Alice Kwon expresses what is on her mind:

“I was thinking we might offer group discounts ...”

You can use this structure, the past continuous, to express ideas that are not fully formed yet.

Notice also that in this situation, Alice Kwon cannot say:

“I was thinking of offering group discounts ...” because the decision is not hers alone.

But in this situation she could use either form:

“I was thinking I might go home early.” or ...

“I was thinking of going home early.”

Now express the following as ideas that are not fully formed yet.

We might offer group discounts.

I was thinking we might offer group discounts

a)We could start a family club.

________________________________________________________________

b)We might show special videos.

________________________________________________________________

c)We could issue game packs.

________________________________________________________________

d)We might introduce special menus.

________________________________________________________________

e)We could carry a selection of comics.

________________________________________________________________

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Now work through the recorded exercise.

Exercise 5. You can find out how the case ends by listening to the recording. Before you listen give your own ideas about the end of the case.

Answer the questions:

1.Were Business Class bookings up or down?

2.What made the sales go through the roof?

3.What explains Orientair’s dramatic success?

4.What does rule one in the Family Club rule book say?

5.What benefits does the Gold Card give business travellers?

Revision of the file

Exercise 1. Find the sentences in which the words from the glossary list are used, paraphrase them and translate.

Exercise 2. Give English equivalents for the following words and use them in the sentences (short situations) of your own.

Пункт повестки; многочисленные возражения; правильно потраченные деньги; дополнительный затраты на персонал; расширить рамки ограничений; работать в пределах существующего бюджета; строго контролируемый; подробный расчёт (исчисление) издержек; отрезвляющие цифры; коэффициент прибыли; прибыль от основной деятельности; зайти в тупик; передавать вопрос на рассмотрение; выдвинуть идею; ходить по кругу; новый взгляд на проблему; поражать (удивлять); долгое и дорогое занятие; тесные семейные связи; очень важное (решающее) значение; групповые скидки; предварительный расчёт; запустить (проект), организовать (предприятие), открыть (клуб).

Exercise 3. Give the summary of the file.

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REVISION AND EXTRA ACTIVITIES

Exercise 1. Describe the situations in which the following words were used in the case.

fierce capacity breakeven

to win one’s support to match rivals

to circulate findings

tight financial restraints customer survey

to work the clock round drop in the market share

Exercise 2. Give synonyms. single (ticket)

return (ticket) direct (ticket) overall results

to make proposals now

to gain support

Exercise 3. Give opposites.

inward journey dated ticket return ticket one-way ticket

abandon one’s position

to bring forward

the remedy to problem to give an edge over smb to put strain on smb

fall back position money well spent deadlock

to go round in circles to go through the roof rule book

results

to deliver to work limits drop

remedy to the problem

to abandon one’s position

drop

direct flight poor results move back

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Exercise 4. Give English equivalents for the following words and use them in short conversations ( situations).

немногое можно сделать для… можно мне сказать?

говорите!

конфликт разрастается наскоро переговорить короче говоря нам нужны факты

отрезвляющие результаты ходить по кругу новый взгляд на проблему

поражать (привлекать внимание) это дорогое занятие

Exercise 5. Insert prepositions.

1.Orientair serves destinations … the Pacific Basin, Asia and Europe.

2.Orientair is concerned … a drop … its share … European routes.

3.Orientair has a fleet … 6 Boeings 747300.

4.The company provides schedule services … more that 30 cities … 21 countries.

5.The results … the European Division give us cause … concern.

6.the loss of customers … our competitors is leading … a low and unprofitable load factor.

7.Our planes are flying … 61 % of capacity … European routes.

8.There is little we can do … improving our fleet of planes … the short-term.

9.I agree … you … that.

10.The new wide-bodied aircraft … the market can give us an edge … competitors.

11.These goods should be made available … 24 hours notice.

12.The Marketing Department, … the basis of recent customer survey, prepares recommendations … improving services … these routes.

13.We are operating … strict financial restraints … this time.

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14.We seem to be going round … circles.

15.– How are things?

Oh, bearing … , you know.

16.After we had introduced Executive Gold Card scheme, sales immediately went … the roof.

Exercise 6. Translate the sentences from Russian into English.

1.Orientair – авиакомпания, расположенная в Гонконге, обслуживающая направления в Тихоокеанском бассейне, Азии и Европе.

2.Компания имеет транспортный парк из 10 «боингов».

3.Коэффициент пассажирской загрузки составляет 60%.

4.Результаты продаж на европейских маршрутах дают нам повод для беспокойства.

5.Ежегодная потеря пассажиров на азиатских маршрутах составляет 2%, что делает их неприбыльными.

6.Результаты опроса пассажиров указали на неудовлетворительное питание.

7.Компания работает в условиях жёстких финансовых ограничений.

8.Основной вывод по результатам опроса заключается в том, что существует большое неудовлетворение пассажиров обслуживанием во время полёта.

9.Необходимо увеличить экипажи на дальних маршрутах.

10.Короче говоря, моё мнение таково, что мы не можем позволить себе подобные улучшения в данный момент.

11.Переговоры зашли в тупик.

12.Закажите мне билет на прямой рейс до Нью-Йорка с открытой датой обратного вылета.

13.После введения некоторых улучшений, продажи сразу же возросли (подскочили).

14.Когда работа была срочной, он работал круглые сутки.

15.Есть ряд причин, из-за которых нет возможности решить проблему за короткий период.

16.Одна из этих причин – отсутствие широкофюзеляжных самолетов.

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Exercise 7. Translate the dialogues.

I.

Lee: Гари, не могли бы вы прояснить некоторые вопросы для нас?

Marsh: I guess, you are concerned about our European routes.

Lee: Да, я вижу из статистических данных, что наша доля рынка на европейских маршрутах снижается в среднем на 2% за последние три года.

Marsh: This loss of customers to our competitors is leading to a low and unprofitable load factor.

Chan: Можно мне вмешаться? Я думаю, что мы можем привлечь клиентов, если мы улучшим качество обслуживания.

Lee: Can you put forward any proposals for improving our service?

Chan: Мы провели опрос пассажиров и выяснили, что пассажиры недовольны питанием, некоторые из них считают, что регистрационное обслуживание плохо организованно, а также они отмечают, что развлечений во время полёта недостаточно. Согласно результатам этого опроса я думаю, что нам следует повысить качество питания, также нам необходим дополнительный персонал для работы в салонах.

Marsh: As Financial Director, I must remind you that we are operating within strict financial restraints at this time. And I foresee that the cost of these improvements will prove to be too high.

Chan: Вы возражаете против дополнительных затрат или против самих предложений?

Marsh: In fact to both.

Lee: Мы кажется ходим по кругу. Может кто-нибудь предложить новый подход к проблеме?

Kwon: Yes, there are thousands of Asian families living in Europe, North America and

Australia. Asians, as we know, have strong family ties. I’m sure that some of those families could be persuaded to travel by Orientair when they fly home to visit their relatives.

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Chan: Это очень интересная идея.

Kwon: I was thinking we might offer group discounts to families travelling together. We could become the world’s first family airline with special in-flight videos for children, games and special menus.

Chan: Я думаю, стоит детально обсудить это предложение и внести вопрос в повестку следующего собрания директоров.

II.

The company “Aeroflot” has got some problems. It is concerned about a drop in its market share on Russian Far Eastern routes. The Managing Director holds a management meeting to discuss the problems.

Ivanov: I think we can agree that overall results for the second quarter are satisfactory.

Petrov: Согласен. Однако я должен обратить ваше внимание на плачевные результаты на наших дальневосточных маршрутах. В то время когда перевозки и продажи европейского подразделения неплохие, результаты дальневосточного отделения дают нам повод для беспокойства.

Sidorov: I’d like to add to that. Our market share on the Far Eastern routes has been declining at average rate of 3% over the last two years. This loss of customers to our competitors is leading to a low and unprofitable load factor. Our planes are flying at 51% of capacity on the Far Eastern routes.

Ivanov: Это немного выше точки безубыточности. Очевидно, что мы не можем позволить этой ситуации продолжаться. Мы должны срочно найти способы увеличения нашей доли рынка и привлечения большего числа клиентов.

Petrov: We all know that we can only win customer support by improving the quality of our service.

Sidorov: Да, и это то немногое, что мы можем сделать сейчас. В ближайшее будущее мы не сможем увеличить наш флот. В любом случае, «Дальавиа» и «Сибирь» всегда смогут конкурировать с нами.

Ivanov: Can you put forward any proposals for improving our service?

Petrov: Мы провели опрос пассажиров и сейчас изучаем его результаты.

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Ivanov: What about time-scale?

Petrov: Конкретные выводы, а также предложения по улучшению обслуживания должны быть представлены членам совета директоров через неделю, это будет крайний срок.

Sidorov: I remind you that we are operating within tight financial restraints at the moment. In your proposals you should take this fact into account.

A week passed.

Petrov: Результаты опроса предельно ясны. Очевидно, что большинство клиентов считают наше бортовое обслуживание и питание неудовлетворительным.

Krasnov: I must point out that some of the items in this questionnaire are outside of our control. Punctuality, for example, depends on traffic volume, air traffic control system, and, of course, the weather.

Ivanov: Основной результат опроса это то, что пассажиры неудовлетворены нашим обслуживанием на борту, поэтому давайте сосредоточимся на этой проблеме сейчас. Мы можем обсудить наземное обслуживание позже. К тому же улучшение оборудования при регистрации будет нам дорого стоить.

Kazakova: It’s only fair to say our cabin staff do a good job in these circumstances. The question we have to answer is how we can improve in-flight services without putting too much strain on their goodwill. We must also avoid problems with unions.

Krasnov: Есть два варианта решения данной проблемы. Мы можем предложить экипажу дополнительные выплаты, компенсации, а также увеличить штат, что будет стоить огромных денег для нашей компании. В настоящее время мы работаем в условиях жёстких финансовых ограничений, поэтому нужно помнить о реальном положении вещей.

Ivanov: It’s a very good point. In any case, we don’t yet know whether these extra costs will be necessary. We’ve seen the proposals from Marketing. Let’s look at them in detail first.

Svetlov: Мы предлагаем улучшить качество питания. Мы осознаём, что цена данных улучшений высока, но мы теряем деньги из-за недостаточной

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загруженности наших самолётов, и, как нам кажется, это будут не зря потраченные деньги.

Sidorov: That’s fine in theory, but we have to operate within the present budgets, which is strictly controlled. My department’s view is that we can’t afford your proposals. I’ll send you detailed costings. I think you will find them sobering.

Pertov: Вы не могли бы прояснить кое-что? Вы возражаете против больших издержек или против самих предложений?

Sidorov: In fact, it’s to both.

Svetlov: Мне кажется мы снова ходим по кругу. Может ли кто-нибудь высказать новые предложения относительно данного вопроса?

Kazakova: Yes, I have a suggestion I’d like to discuss. Marketing isn’t my field, but it’s strikes me that recent survey was based on the views of people who have already used

Aeroflot. The people we need to know more about are the ones who don’t use us. There is a category of potential customers, a very large category, which we are ignoring – and so are our competitors, as far as I know.

Petrov: И кто же это?

Kazakova: Families. There are thousands of relatives in Europe of the families living in the Far East. Now, as we know, Russians have strong family ties. I’m sure that with a little encouragement, some of those families could be persuaded to travel by Aeroflot when they fly home to visit their relatives.

Petrov: Это очень интересная идея. Думаю, мы сможем предложить групповые скидки для семей путешествующих вместе. Мы можем стать первой в мире семейной авиакомпанией со специальными видеофильмами для детей, играми, различными развлечениями и специальными меню во время полёта.

Sidorov: Oh, look, I’m sorry to have to introduce a note of reality into this discussion, but if we become family airline we’ll lose our business class customers overnight. But I have to tell you that business customers are crucial to the success of any airline.

Petrov: Совсем не обязательно. Есть возможность предложить схему семейных скидок таким образом, чтобы доходы от бизнес класса тоже возросли. Мы введём одновременно существенные скидки для членов «Семейного клуба» и программу

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расчёта кредитными картами для пассажиров бизнес класса. Членство же клуба будет ограничено владельцами кредитных карт. Компании по всему миру будут заказывать билеты в нашей компании. Мы предполагаем, что через четыре месяца продажи билетов на Дальнем Востоке вырастут на 17%.

III.

Stephen Lee: Today, gentlemen, we must discuss the overall results for the second quarter. And I’d like to point out that they are satisfactory.

Tony Chan: Я согласен, Стивен. Но тем не менее я должен обратить внимание на низкие результаты продаж на наших европейских маршрутах. Они дают нам повод для беспокойства.

Gary Marsh: I’d like to add to that Steven. The annual loss of passengers on European routes is 2% and it renders them unprofitable. This loss of customers to our competitors is leading to a low and unprofitable load factor. Our planes are flying at 61% of capacity on European routes.

Steven Lee: Это немного выше точки безубыточности. Очевидно, что мы не можем позволить такой ситуации продолжаться.

Gary Marsh: I know, Mr. Chan, that you’ve conducted the customer survey. Can you inform us of its results?

Tony Chan: Прежде всего, результаты опроса пассажиров указали на неудовлетворительное питание. Во-вторых, существует большое неудовлетворение пассажиров обслуживанием во время полёта. Необходимо увеличить экипаж на дальних полётах.

Steven Lee: Can Marketing Department come up with some recommendations to improve this situation.

Tony Chan: Думаю, да.

Steven Lee: I propose to call a Board meeting on the 15th of August. And I want you to circulate the findings with some proposals for improving services by August the 3rd to all Board members.

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Gary Marsh: Могу я напомнить вам, Тони, что мы работаем в жёстких финансовых рамках в настоящее время. Ваши предложения должны это учитывать.

Steven Lee: Good, that’s agreed then. I look forward to seeing your recommendations for improving services by, let’s say, August 7th at the latest

Assignment 1.

Write a report based on a customer survey. Before you start pay attention to the following.

Begin preparing you formal report by pinpointing your topic. State the problem to be solved as precisely as you can. Then decide what information is needed to solve that problem and the techniques required to gather that information. Typical methods include library research, surveys and interviews and experimentation.

When your investigation is complete you must organize and analyze the facts.

Any report has three main parts which must include four/sometimes five or ever six/essential elements:

I.Introduction - 1) terms of reference or objective;

2)Procedure (method by which information was gathered);

II.Body of the report - 3) findings (facts often presented as a statistic);

III.Terminal section - 4) conclusion (interpretation of facts);

5)recommendations (if asked for);

6)appendices (if there are any).

Assignment 2.

As you may need more information about report writing, don’t hesitate to search for additional material and sample reports.

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