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      1. Make up your own dialogue using the following expressions:

principal ingredients of productivity division of labor

to lack motivation to do one's best skilled worker

to bring the price down to the point consumption

to gain dignity and respect to go into production

to-perform one's task process

      1. Put questions to the italicized words:

1. Many appliances and other labor saving goods are becoming less expensive and more afford able for the average family. 2. The population is growing now at a faster rate than production in that country. 3. Steps to restore full employment are increasing. 4. They are producing more and better products with the same time and resources. 5. Union restrictions are preventing employers from laying off workers as quickly as they might prefer.

      1. Replace the infinitives in brackets by the Present Continuous Tense (the Active Voice):

1. What (to do) he now? He (to bring) the price of this commodity down to the point where most families can afford it. 2. Look! The new device (to break) the operation into 30 steps performed by individual workers. 3. Everyone who (to look for) work can find a job. 4. Studying the time and resour­ces that go into production, you (to analyze) productivity. 5. Employers (to employ) the optimum number of workers.

      1. Translate into English:

1. У цих регіонах кількість продукції тепер зростає швид­ше за кількість населення. 2. Він знайде те, що шукає для ефективного використання обладнання. 3. Директори ко­мерційних фірм використовують капітал і робочу силу, щоб максимально підвищити продуктивність праці. 4. Оптові тор­говці та виробники скорочують кількість товарів і рівень виробництва, щоб знизити ціни. 5. Вони знижують тверді ціни за одиницю товару, оскіпьки випуск продукції зростає.

      1. Communicative situations:

1. Despite the tremendous gains in productivity in the United States in recent decades, the rate of increase has been

declining. Discuss how each of the trends described below has affected productivity.

In your opinion, which trend has had the greatest effect on productivity?

        1. High energy costs have shifted funds investment in research and development to exploration for new energy sources.

        2. Although they may be necessary to protect the health and safety of the people, government regulations tend to increase production costs.

        3. The growth in the numbers of young and inexperienced workers has reduced productivity in some industries.

          1. Do you agree or disagree with the following statements on ways to improve productivity? Discuss these statements.

            1. Government can help to improve productivity by providing more money for medical research, the space program, and research in other highly technical areas rather than for education and other human services.

            2. Business can improve productivity by investing in new machines and other equipment and by reducing its marketing efforts — even if profits decline for a time.

            3. Labor can help improve productivity by agreeing to accept lower wages.

            4. Government can help improve productivity by reducing or eliminating taxes on capital gains.

            5. Government can help improve productivity by eliminating rules and regulations about safety and pollution.

            6. If workers were involved in making decisions, they would try harder to increase productivity.

          2. Identify which of the «Four P's of Marketing» the businesses in the following situations used or ignored. Explain your reasoning.

            1. Ford produced the Edsel, a large heavy automobile, when the public was more interested in smaller, sportier cars.

            2. Ford emphasizes «quality» in the advertising campaigns.

            3. Jose has always wanted to own and operate a Mexican restaurant. He is excited because he can get a good deal on a building with all the stoves, ovens, refrigerators and other things he needs. The building has housed four different restaurants in the last two years.

            4. Jose made sure he put a large «Under New Manage­ment» sign in front of his new restaurant.

            5. Coca Cola attempted to replace its traditional cola with a new, sweeter version.

            6. Most soft drink bottlers now provide diet and caffeine- free drinks.

Lesson 8 HOW FIRMS COMPETE

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