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9. Read the text and put the paragraphs of it into a logical order:

High-Tech Strategies

1. In the early stages of a high-tech company, creativity is important. Next comes the leadership stage, in which the company is driven by a charismatic, high energy entrepreneur. Then routinely follows an autonomy crisis, in which the individual no longer can make all the decisions. She/he has not built a team. Then he/she may be thrust aside and a more professional manager brought in. this is the delegation phase.

2. The traditional dichotomy between the scientist-innovator and businessperson may be a major stumbling-block. Yet, universities to this day frown on mixing science and commercial education, and the commercially oriented scientist is still looked down on. Companies often have to conduct in-house training programs to deal with the problem, training technical experts in commerce and commercial people in technology.

3. Successful companies stress the need for strong balance sheets and prudent financing. High-tech companies need to be “loose” about such areas as technical creativity, new product development and marketing. But they must be “tight” about management and financial control. The ratio should be around 20% loose and 80% tight, too often it’s the other way round – and that’s a killer.

4. The situation is made even more difficult as the classic small high-tech company product – the personal computer – increasingly becomes a “commodity” with little to distinguish it from similar products. To survive at all, high-tech companies are becoming increasingly dependent on market-niche strategy.

5. With a glut of general-purpose computer systems on the market, you have to make a market-niche selection to fill a gap in special-purpose systems.

6. You have to draw up your marketing plan before your business plan and product development. A big mistake many companies make is rushing to develop their product and only later starting to worry about the marketing.

7. Traditionally the correct strategy for a startup firm that has successfully reached a certain size is to bring in professional management. But finding a competent manager who understands technology is as hard as finding a technologist who can manage.

Notes:

balance sheet баланс

charisma n обаяние

commodity n товар

dichotomy n деление на два класса

draw up v составлять

frown v неодобрительно смотреть

glut n избыток, излишек

prudent a расчетливый

routinely adv в установленном порядке, обычно

stumbling-block камень преткновения

thrust aside v отталкивать, отбрасывать

10. Read the text again and answer the following questions:

1. How do you understand market-niche strategy?

2. What’s the most common mistake in company’s business activity?

3. What is the cause of autonomy crisis? How is it resolved?

11. Put the stages of a high-tech company in a logical order:

- leading stage;

- delegation phase;

- autonomy crisis;

- creativity stage

GET TALKING

12. Speak on:

1. The causes of company’s rise and fall.

2. A vital management formula.

13. Work in pairs. Read and act out the dialogue:

A: As it’s known, many western companies make investments into Central and Eastern countries. Does the Company Xerox take part in this process?

B: More than 12 billion of foreign investment reached the region in 2005, mostly to Hungary and Poland. Our two-year Project program is gradually moving financial management out of Xerox’s UK headquarters.

A: What’s your marketing policy?

B: More than over now I’m sure that this is the right course: we’ve restructured local offices to equip them with the skills and tools to manage and control their own business. Customers and business both benefit. We’re also a partner of international companies in their market and a leading vendor of efficient, global document management solutions (технологии обработки документов).

A: How do you contribute to new business culture?

B: our top priority is a motivated and skilled workforce. The company’s philosophy is to hire locally wherever possible, right up to the country general manager. By investing in people’s development and training, we are doing our best and contributing to new business culture.