- •Частное учреждение образования
- •Contents
- •Предисловие
- •Содержание учебного материала
- •E c o n o m y
- •Money and its functions
- •Vocabulary
- •Money as a medium of exchange
- •Vocabulary
- •Word study
- •Final questionnaire
- •Who wants to be a millionaire?
- •Pre-reading activities
- •Discussion
- •Text 1 economy and economics
- •Vocabulary
- •Word study
- •Ex. 9. Make up sentences from the jumbled words.
- •Limited resources: the need to choose
- •Final questionnaire
- •Unit 3 theories of economics
- •The first modern economists
- •Vocabulary
- •Ex. 2. Use the following words to complete the sentences below.
- •Ex. 5. Translate into Russian in written form. Economic Individualism – Laissez-Faire
- •Comprehension Ex. 6. Say if the sentences are true or false. Correct the false ones.
- •Ex. 7. Answer the questions.
- •Classical school of economics
- •Vocabulary
- •Ex.9. Match the verbs on the right with the nouns on the left.
- •Ex. 13. These are the answers to the questions. What are the questions?
- •Adam smith and “the wealth of nations”
- •Unit 4 levels of economics
- •Microeconomics versus macroeconomics
- •Vocabulary
- •Unit 5 main economic laws discussion
- •Text 1 the law of demand
- •Vocabulary
- •Vocabulary
- •Unit 6 economic systems
- •Word study exercises
- •2) Выделять, назначать
- •Allocation n 1) распределение, размещение
- •Ex. 2. Match the words with their definitions.
- •Ex. 4.Match the verbs in column a with the nouns in column b. A b to allocate available resources
- •Comprehension
- •Ex. 8. Put the questions to the words in italics.
- •Text 2 command or planned economy
- •Vocabulary
- •Word study
- •Advantage – disadvantage
- •What does prefix dis-mean in the English word-building? Can you give some more examples of this rule?
- •Ex. 16. What are the synonyms from the text of the following words?
- •Comprehension
- •Text 3 free market economy
- •Vocabulary
- •Text 4 mixed economy
- •Vocabulary
- •Word study
- •Put these words in the sentences given below.
- •Ex. 21. Fill in the gaps with prepositions.
- •A b
- •Comprehension
- •Questions for discussion
- •Final questionnaire
- •Traditional economy
- •Command economy
- •Free market and mixed economies
- •Why is business activity needed?
- •Vocabulary physical item – материальные предметы
- •At the previous lessons we have discussed the following issues:
- •Informal English
- •What is the aim of all business?
- •Text 2 levels of economic activity
- •Vocabulary
- •Ex. 14. Reading. Robyn Penrose, the managing director of a manufacturing company is
- •What is the key point that this extract is making about economies?
- •Infinitive Construction “to be (un)likely to do”
- •Business cycles
- •Vocabulary
- •Contraction
- •Recession
- •Expansion
- •What causes business cycles?
- •Vocabulary
- •Vocabulary
- •What is international trade
- •Vocabulary
- •Import – export
- •Vocabulary
- •Management
- •Art or science?
- •Vocabulary
- •Management by objectives
- •Vocabulary
- •Management as a profession
- •Vocabulary
- •Final questionnaire
- •Managing a multinational company
- •Vocabulary
- •Comprehension
- •Ex.7. Answer the questions.
- •Discussion
- •International differences discussion
- •Business travel abroad
- •Recruitment
- •Vocabulary
- •Some pieces of advice will help you to bear your job interview successfully
- •Vocabulary
- •Curriculum vitae
- •Curriculum Vitae
- •Out of work
- •Types of Meetings
- •Vocabulary
- •How to organize and conduct a meeting
- •Checking understanding, interrupting, referring back
- •Companies
- •Entrepreneur
- •Vocabulary
- •I left England with £5 and now I'm a multi-millionaire!
- •A sole proprietorship
- •Vocabulary
- •Partnership
- •Vocabulary
- •Corporation
- •Unit 7 talking about companies
- •Ex. 4. Match the words on the left with the words on the right.
- •Comprehension
- •Describing company structure
- •Vocabulary
- •Texts for reading
- •Управляемые самостоятельные работы студентов факультета экономики
- •The Witch of Wall Street
- •Vocabulary
- •Branch managers
- •Dx Communications – we succeed because we care.
- •0131 225 6755
- •4. A career in sales
- •2 Golf Road, Ellon, Aberdeenshire ab41 9at
- •Vocabulary
- •Imagine, you were him. What would you advise to your client?
- •Bibliography
Corporation
shares of ownership – доли собственности
stock certificate – акционерный сертификат
shareholder / stockholder – акционер
limited liability– ограниченная ответственность
private limited company- закрытое акционерное общество;частная компания
с ограниченной ответственностью
public limited company- открытое акционерное общество, общество с ограниченной
ответственностью
general public– широкая общественность
Stock Exchange- фондовая биржа, биржа ценных бумаг
market value– рыночная, курсовая стоимость
expiry of the charter- окончание, истечение срока действия устава
provincial government– местные власти
A corporation is a business owned by a few persons or by thousands of persons. A business corporation is an institution established for the purpose of making profit. The shares of ownership of the members of the corporation are represented by stock certificates. A person who owns a stock certificate is called a shareholder or a stockholder. The stockholders do not directly manage the corporation; they elect a board of directors to represent their interests. The board of directors selects the president and vice president, who manage the corporation for the stockholders.
The key factor in owning any company is the guarantee called limited liability: the owners of a company never have to pay more than they have invested in the company. Their liabilities are limited. When a company goes bankrupt, the owner can never be required to pay its unpaid bills. That is why corporations are also referred to as limited companies. A limited company may be private or public. Many countries make a clear distinction between public and private companies. If it is a private limited company, a shareholder can only sell shares if all the other shareholders agree. In some countries, a large company is said to be privately owned if its shares are not available to the general public. If it is a public limited company, shares can be bought and sold freely, usually at Stock Exchange. The price you pay at the Stock Exchange (or to a shareholder) for your shares is their market value.
There are several advantages of the corporate form of ownership.
Limited companies are less risky from an owner’s point of view. If the company fails, it will stop trading and go into liquidation. This means that all the company’s property and equipment (its assets) must be sold and the money from the sale will be used to pay all its debts to its creditors. The shareholders may loose the money they paid for the shares. But the personal assets of the owners are protected from the creditors of the company. In other words, the shareholders’ liability for debts is limited to the value of their shares.
The next advantage of corporation is the ability to attract financial resources. Corporation attracts a large amount of capital it can invest in plants, equipment and research.
Corporation can offer higher salaries and thus attract talented managers and specialists.
Limited companies do not end with the death of owners. It can terminate only by bankruptcy, expiry of its charter, or majority of its shareholders.
Disadvantages
It is more expensive and complicated to establish corporations than proprietorships or partnerships. A charter, which requires the services of a lawyer, must be obtained through provincial government or the federal government.
Limited companies are subject to federal and provincial income taxes. Limited companies are taxed twice: on the profits they earn and on the dividends which come out of the profits.
WORD STUDY
Ex. 18. Study the different meanings of the word share and use it to translate the sentences.
share (n) 1) доля, часть; квота
to have a share in the profits — иметь долю в прибыли
lion’s share – львиная доля
2) участие; роль
3) акция; доля, пай
sharesarerising— акции поднимаются (в цене); курс акций растет [поднимается]
sharesaredown— акции падают (в цене); курс акций снижается [падает]
to issue shares — выпускать акции
share(v) 1) делить, распределять; разделять
2) делиться
3) разделять (что-л. с кем-л.) ; использовать совместно
4) разделять (мнения, вкусы и т. п.)
1. I share your opinion.
2. The Charter should include an agreement on how profits and losses are to be shared.
3. When the company has a sound financial condition its shares are usually rising in the market.
4. It is the very largest billion dollar corporations that get the lion's share of the armament
contracts.
5. All of us had a share in making the decision.
6. I’m not a man to share my problems with anybody.
7. After their father’s death the money were equally shared between two brothers.
8. Bill and I shared an office for years.
9. His share in the authorized capital (уставный капитал) was 20 percent.
10. I saw that John was very hungry and decided to share my sandwich with him.
Ex. 19. Match the words with their definitions.
_____ partnership |
a. going into business for oneself |
_____ sole proprietorship |
b. a company whose owners enjoy limited liability for the company's debts and losses |
_____ corporation |
c. a limited company that does not issue shares for general public |
_____ limited company |
d. a place where shares are regularly traded |
_____ public company |
e. two or more partners working together for profit, without limited liability |
_____ private company |
f. limited company whose shares may be purchased by the public and traded freely on the open market |
_____ shareholder |
g. any of the equal parts into which the capital stock of a company is divided |
_____ a share |
h. the share of a cooperative society's surplus allocated at the end of a period to members |
_____ assets |
i. the owner of one or more shares in a company |
_____ dividend |
j. any property owned by a person or firm |
_____ charter |
k. the state, condition, or quality of being or becoming bankrupt |
_____ Stock Exchange |
l. organization operating to make profit |
_____ bankruptcy |
m. the fundamental principles of an organization; |
Ex. 20. Generate other forms from these words.
|
ownership |
|
to imagine |
|
|
to refer |
|
|
|
|
practical |
|
coverage |
|
|
|
retired |
to agree |
|
|
to specify |
|
|
|
attraction |
|
|
|
willing |
to pay |
|
|
|
protection |
|
to profit |
|
|
Ex. 21. Find in the texts equivalents to the following Russian words and word-combinations.
1. торгово-промышленная корпорация ________________________________________
2. совет директоров ________________________________________________________
3. обанкротиться __________________________________________________________
4. прекратить существование ________________________________________________
5. личное имущество _______________________________________________________
6. привлекать финансовые ресурсы ___________________________________________
7. учреждать корпорацию ___________________________________________________
8. подоходный налог _______________________________________________________
9. управлять корпорацией напрямую __________________________________________
10. являться объектом налогообложения _______________________________________
Ex. 22. Fill in the gaps with the words and word combination from the box.
shares, agreement, liability, to dissolve, general, rights and obligations, shareholder, public, Stock Exchange, entity, liquidation, private, to establish, additional capital |
1. Partnerships are created by an__________________, oral or written, which expresses the
_______________________________of each partner.
2. It is also easier for partnerships to obtain ________________________________.
3. Partnerships are not as easy _____________________ as sole proprietorships.
4. Partnerships are a stronger ______________ than proprietorships.
5. If it is a public limited company, ______________can be bought and sold freely, usually at
________________________.
6. When the owners of the partnership have unlimited________________ they are called
___________________ partners.
7. A limited company may be ______________ or ________________.
8. If the company fails, it will stop trading and go into _____________________.
9. A person who owns a stock certificate is called a _____________________.
10. It is more expensive and complicated __________________corporations than proprietorships
or partnerships.
Ex. 23. Make up sentences with the jumbled words.
1. common /is /partnership /the most /form /general /the
2. protected /partners’ /by /interests /”Agreement of Partnership” /can / an / be
3. to lend /than /are /creditors / proprietorships /money /more willing /to /to /partnerships
4. shares /company /freely /in /can be /sold /limited /a public /and /bought
5. do not /the /companies /end /owners /of /limited /death /with
Ex. 24. Choose the best alternative to complete each sentence.
1. If a company needs to raise a lot of money , it may _________ shares.
a. put up b. issue c. supply d. purchase
2. Pension _______ play an important role in the stock market.
a. companies b. trusts c. societies d. funds
3. As an ordinary shareholder, you are ________ to vote at the meeting.
a. entitled b. titled c. nominated d. persuaded
4. The share _______ reflects the general activity of the market.
a. indication b. index c. measure d. indicator
5. A _______ is someone who buys shares, expecting the market to rise.
a. bear b. bull c. dog d. stag
6. A _______ is someone who expects share prices to fall.
a. bear b. bull c. dog d. stag
7. A _______is a person who buys new issues of shares hoping to sell them quickly as profit.
a. bear b. bull c. dog d. stag
8. First class risk-free shares issued by big well-known corporations are often known as _____.
a. bonds b. blue chips c. debits d. golds
9. What kind of _______ can I expect on my investments?
a. reward b. prize c. surplus d. return
10. The higher the risk you ________, the more money you can make.
COMPREHENSION
Ex. 25. Multiple choice. In each of the following, select the word pr phrase that best
completes the statement or answer the question.
1. One advantage of the sole proprietorship form of business organization is that
a. it is easy to raise capital
b. it has unlimited liability
c. there is limited life of the business
d. there is no sharing of profit
2. The legal form of business organization that has only one owner is known as
a. a sole proprietorship
b. a partnership
c. a cooperative
d. a limited company
3. A sole proprietorship is also referred to as _______________
a. single proprietorship,
b. individual proprietorship,
c. individual enterprise
d. all of the above
4. The only legal requirements for starting one-man business is __________________
a. an ”Agreement of Partnership”
b. a Charter
c. municipal and registration licenses
d. oral permission from local authorities
5. One advantage of corporate form of business organization is that
a. the number of government regulations is small
b. there is unlimited liability
c. there is easy transfer of ownership
d. taxes are low
6. One advantage of the corporate form of business ownership is that
a. it has limited liability c. it requires sharing of ownership
b. in has unlimited existence d. it must comply with a number of government regulations
7. A corporation that sells shares to the public is known as a
a. private corporation c. nonprofit corporation
b. government corporation d. public corporation
8. A law firm might easily be organized as a
a. partnership
b. sole proprietorship
c. cooperative
d. private corporation
9. Two partners operating a small amusement park with high-risk rides should consider changing
their current partnership to a
a. sole proprietorship
b. limited partnership
c. private corporation
d. cooperative
10. The most common form of business organization for a small business is
a. the corporation
b. the cooperative
c. the sole proprietorship
d. the partnership
DISCUSSION
1. Give your reasons that “ease of discontinuance” is an advantage of the proprietorship form of
legal organization.
2. Is the owner of a small corporation as “free to make all decisions” as a single proprietor?
Explain.
CASE STUDY
Finding A Partner
Five years ago, Nick Page set up his own business, making hand-made furniture. It was a hard struggle at first; but for the last year he has bad so many orders that he cannot cope with them.
Six months ago, Nick obtained an £8,000 bank loan to buy some modern machines. Although the machines helped him to produce more furniture, the number of orders continued to rise, so that he still could not keep up with them.
Nick decided that the only solution was to take on a partner who would be able to share the work and invest some money in the business to pay off part of the bank loan. He put the following advertisement in the local newspaper.
-
WORKING PARTNER
required for hand-made furniture business.
Experience and capital needed.
Send full details
Box 6249
Tree days later he received a reply.
-
Seaview
Rambold
Westshine
Dear Sir,
I was very interested in your advertisement in the Westshine Gazette for a partner in your furniture business.
For twelve years I run my own hand-made furniture business in East Anglia, but I had to give it up. I am now working in a furniture factory in Ambleside, where I have been unemployed for two years.
I could show you some photographs of the furniture I made when I had my own business, or you are very welcome to inspect the examples I have in my home.
It would be possible for me to invest small amount of money in your business.
If you are interested, I would come to see you.
Yours faithfully,
John Reed
The Meeting
Nick asks John Reed to come to the workshop. John is 20 years older than Nick, but they get on well together from the start.
John's photographs of his furniture show that he is a very skilled worker. He is also full of ideas about new kinds of furniture they could produce.
During their long talk, John reveals why he had to give up working for himself. A solicitor had cheated him out of thousands of pounds profit from his business.
Nick is very keen to have John as a partner. However, when they discuss the terms of the partnership, they run into problems.
John says he is willing to invest £3,000; but he wants 50 per cent of the profits because he has had much more experience. John also says that he is not very keen to have a deed of partnership drawn up by a solicitor, because of his bad experience with the solicitor in the past.
ACTIVITIES
Questions 1. What are the three most important points that should be included in a
partnership agreement?
2. What actions would you advise Nick to take?
Role play Find a partner. One person takes the role of Nick; the other the role of John.
Nick should try to persuade John to change his conditions for the partnership.