Giáo trình thương mại điện tử

Vietnam – Korea Friendship Information Technology College
INTRODUCTION
This material is written for students who major in E-commerce. The topics selected mostly
deal with basic areas of business and economics. They are presented in an order from a sole
proprietorship to a multinational corporation. Each lesson is introduced and related to the previous
lesson. Besides, students also have chance to deal with several topics related to information
technology which has a very close relationship with e-commerce.
To help students understand the text as well as do the tasks given effectively, we
recommend that students should begin each lesson by looking at the glossary and the vocabulary
exercises.
This course aims to:
• Provide students with key words and concepts of business, economics and information
technology
• Develop students’ comprehension of business, economics and information technology in
business
• Develop students’ basic English language skills such as writing, speaking, translating…
especially reading comprehension
• Provides a good foundation for further studying
English For E-Commerce 1

CONTENTS
Introduction..................................................................................................................................1
Unit 1: Wap Phones.....................................................................................................................3
Unit 2: Security and Privacy on the Internet................................................................................6
Unit 3: Online Services................................................................................................................10
Unit 4: Legal Forms of Organization...........................................................................................14
Unit 5: Production........................................................................................................................20
Unit 6: Personnel..........................................................................................................................25
Unit 7: Marketing.........................................................................................................................30
Unit 8: Distribution......................................................................................................................35
Unit 9: Promotion........................................................................................................................41
Unit 10: International Business....................................................................................................48
References....................................................................................................................................54


UNIT 1
WAP PHONES
Task 1: Answer the questions

• Have you got a mobile phone?
• What do you use it for?
• How often do you use it per day?
• What additional functions does it have?
Task 2: Study these examples of abbreviations used in mobile phone text messages. Try to
guess their meanings
1 2DAY today 15 ATB

2 2MORO 16 BCNU
3 ASAP 17 CU
4 2NITE 18 CU L8R
5 B4 19 Luv
6 BTW 20 Msg
7 F2F 21 NE
8 HAND 22 NE1
9 PCM 23 NO1
10 SOM1 24 PPL
11 KIT 25 RUOK
12 ILU 26 THNQ
13 X 27 Wknd
HOPE 2 C U @
14 GR8 28
PARTY L8R
WAP PHONES
Wap stands for “wireless application protocol” which allows users to send emails and
access information from the internet on a mobile phone. This has been made possible by
technological advances in “bandwidths”, the amount of data that can be received or sent within a
fraction of a second. This means that it can be used for many more purposes than were previously
imagined, including video transmission.
Some analysts reckon that Wap phones will overtake PCs as the most common way of
surfing the internet, although PCs will still be used for more complex applications such as
spreadsheets and video players.
Some industry experts believe that Wap will have a limited lifespan and will quickly be
replaced by more sophisticated technology, such as General Package Radio Service (GPRS) and
the Universal Mobile Telecommunication Systems (UMTS). GPRS increases the bandwidth still
further and allows you to send up to ten times more information than Wap technology. However,
users will still be limited by the size and resolution of the screen on which the data is received.
One analyst, Jakob Nielsen, advises companies to forget Wap and plan, instead, for the next
generation of phones. He believes that mobile phones are going to become more like palmtop
computer.
A Wap phone cannot dial into every website. The language of the web is HTML-hypertext
markup language. Wap operates on WML-wireless markup language, so Wap phones can only
read pages written in WML. Because the screen on a Wap phone is so small that you are unable to
read a normal webpage, WML pages tend to consist of small chunks of information. Soon,
however, most web pages will be written in XML-extensible markup language. This can be
programmed to ensure that every phone or PC receives transmissions in the language it
understands.
Wap allows you to deliver online services to a handheld computer. People are also
expected to use Wap to access online news and financial services, sports scores and entertainment
information, most of which you should be able to reach by scrolling down a set menu bar. You
will also be able to book tickets by Wap.
Sending emails is likely to be the application that is used most often, as people will be able
to pick up messages at any time from anywhere in the world.
Gambling and games, some of which can be downloaded, are also expected to be popular
with users. But you can, of course, use the Wap to make regular phone calls.
Task 3: What do these abbreviations mean?

1. GPRS…………………………………………………………………………………………….
2. HTML……………………………………………………………………………………………
3. SMS………………………………………………………………………………………………
4. Wap………………………………………………………………………………………………
5. WML……………………………………………………………………………………………..
6. XML……………………………………………………………………………………………...
Task 4: Match the paragraph with its main idea
Paragraphs Main ideas

Paragraph 1 Spread
Paragraph 2 Internet
Paragraph 3 Games
Paragraph 4 Email
Paragraph 5 What is Wap?
Paragraph 6 Language
Paragraph 7 Lifespan

1. What make people access information from the internet on a mobile phone?
2. Cannot Wap phones access all websites? Why (not)?
3. What advantages and disadvantages do Wap phones have?
Task 6: Decide whether the following statements are True or False

1. ……We can send emails and access information from the internet on a Wap.
2. ……A Wap phone can dial to every website.
3. ……People like Wap phone because of its size and resolution of the screen.
4. ……Wap phones are able to read pages written in XML-extensible markup language.
UNIT 2
SECURITY AND PRIVACY ON THE
INTERNET

1. Is it technically possible for computer criminals to infiltrate into the Internet and steal
sensitive information?
2. Can virus enter you PC from the Internet?
Task 2: Consider these examples of computer disasters. How could you prevent them or
limit their effect? Compare answers within your group.
1. You open an email attachment which contains a very destructive virus.
2. Someone guesses your password and copies sensitive data.
3. Your hard disk crashes and much of your data is lost permanently.
4. Someone walks into your computer lab and steals the memory chips from all the PCs.
5. Your backup tapes fail to restore properly.
Task 3: Match the text with the correct picture

A B
Web browsers warn you if You have to type your
the connection is not user name and password to
secure; they display a assess a locked computer
message when you try to system or network.
send personal information
C D
Private networks use a An open padlock in
software and hardware Netscape Communicator
mechanism called a indicates the page is not
“firewall”, to block secure; a closed padlock
unauthorized traffic from indicates the page is
the Internet. encrypted.
1 2

3 4
SECURITY AND PRIVACY ON THE INTERNET
There are a lot of benefits from an open system, like the internet, but we are also exposed
to the hackers who break into the computer system just for fun, as well as to steal information or
propagate viruses. So how do you go about making online transactions secure?
The question of security is crucial when sending confidential information such as credit
card numbers. For example, consider the process of buying a book on the Web. You have to type
your credit card number into an order form which passes from computer to computer on its way to
the online bookstore. If one of the intermediary computers is infiltrated by hackers, your data can
be copied. It is difficult to say how often this happens, but it’s technically possible. To avoid
risks, you should set all security alerts to high on your Web browser, Netscape Communicator,
and Internet Explorer display a lock when the Web page is secure and allow you to disable or
delete “cookies”. If you use online bank services, make sure your bank uses digital certificates. A
popular security standard is SET (security electronic transactions).
Similarly, as your email message travels across the net, it is copied temporarily on many
computers in between. This means it can be read by unscrupulous people who illegally enter
computer systems. The only way to protect a message is to put it on a sort of “envelope”, that is,
to encode it with some form of encryption. A system designed to send email privately is Pretty
Good Privacy, a freeware program written by Phil Zimmerman.

Private networks connected to the Internet can be attacked by intruders who attempt to
take valuable information such as Social Security numbers, bank accounts, or research and
business reports. To protect crucial data, companies hire security consultants who analyze the
risks and provide security solutions. The most common methods of protection are passwords for
access control, encryption and decryption system, and firewalls.
Viruses can enter a PC through files from disks, the Internet, or bulletin board systems. If
you want to protect your system, don’t open email attachments for strangers and take care when
downloading files from the Web (Plain text email alone can’t pass a virus). Remember also to
update your anti-virus software as often as possible, since new viruses are being created all the
time.
Task 4: Match the word in A with its corresponding definition in B
A B
Hacker Files that identify user and Web servers on the net, like digital identification
Cookies The process of encoding data so that unauthorized users can’t read them
Certificates A person who obtains unauthorized access to computer data
Encryption The process of decoding encrypted data transmitted to you
Decryption Small files used by Web servers to know if you have visited their site before
Task 5: Match the paragraph with its corresponding main idea

Paragraph 1 Email privacy
Paragraph 2 Network security
Paragraph 3 Introduction
Paragraph 4 Virus protection
Paragraph 5 Security on the Web
Task 6: Complete the sentence by using a term from the text

1. Users have to enter a p……………to gain access to a network
2. You can download a lot of f……………..or public domain programs from the internet.
3. Hundreds of h………………..break into computer systems every year.
4. A computer v………………can infect your files and corrupt your hard disk.
5. The process of encoding data so that unauthorized users can’t read the data is known as
e…………………
6. A f……………is a device which allows limited access to an internal network from the
internet.
7. You can include an a………………….as part of your email massage.
8. This company uses d………………techniques to decode (or decipher) secret data.

1. Why is security so important on the Internet?
2. What security features are offered by Netscape Communicator and Internet Explorer?
3. What security standard is used by most banks to make online transactions secure?
4. How can we protect and keep our email private?
5. What methods are used by companies to make internal networks secure?
6. Which ways can a virus enter a computer system?
UNIT
3
ONLINE SERVICES

• What online services are available in your country?
• What kind of facilities do online services provide?
ONLINE SERVICES
I’m frequently asked which online service is “best”, but the answer is there is no best.
Rating a particular service over another is entirely subjective. Price is important to some people,
while the number of files available for download is important to others. Because of these and so
many other different judgments, there can be no absolute. It all comes down to individual needs
and preferences.
Still, users tend to be fiercely loyal to their “home” online service – which is usually the
first online service they ever used. They tend to judge all other online services based on this first
service – often preventing themselves from seeing the advantages of a specific service. For my
part, I like all the services I use and I’m on two dozen.
Each offers one or more products or features that either do not exist elsewhere or are
superior to the same features on other services. And I’ve a really subjective reason for being on
one service – I use it to send monthly articles to magazines in Japan.
So, the real answer to the question is simple: the best online service is the service that has
what you want and is easy for you to use. The point? Keep an open mind when checking out an
online service. Judge it based on what it offers and how it meets your needs – not in comparison
to what you’re used to using. (It takes a couple of sessions to shake preconceived notions of what
an online service “should” be.)
Eventually, we’re all going to be interlinked, no matter which service we use, in what
DIALOG’s Richard Ream calls a “network or networks”.
Until then, most of us have to go to more than one service to find everything we need.
And now, the news…
BIX Minitel Link to Compuserve
TAB Book Clubs Online: You’ve Compuserve boistered its
probably seen magazines ads for position in Europe by making
The Computer Book Club and The some of its services
Computer Professionals’ Book available via France’s
Society. These are sponsored by national Minitel system in
TAB Books. This division of July. French Minitel users
McGraw – Hill (BIX’s parent have access to an extracost
company) is now online on BIX, service that is essentially
takingFor
English E-Commerce
orders and answering a “limited edition”, 10
questions from members and Englishlanguage version of
prospective members. The club Compuserve. Among the
Compuserve DELPHI
Hobby Group Expands: DELPHI’s
Dell Computer Forum: Dell
Hobby Shop specialinterest
Computer Corporations has group continues to expand its
areas of interest. The most
opened a product support area
recent additions to the
on Compuserve. The Dell area is database and group topics are
Antique Auto, which focuses
part of the PC Vendor D Forum.
on classic vehicles, and
Type GO DELL or GO PCVEND to Autotech, where you can learn
1. Do you think the English in the text is

• Formal?
• Neutral?
• Informal?
2. Do you think this article originally appeared in

• A computer magazine?
• A general magazine for young people?
• A general magazine for adults?
• An online bulletin board?
• The science page of a newspaper?
Give reasons for your choice
Task 3: Make these words negative by adding the appropriate prefix from those given
below. The first one has been done for you.
in- un- im- dis-
infrequently …loyal …advantages …specific
…like …real …probably …available
Task 4: Match the word in A with its synonym in B
A B
But Ultimately
While However
Still Whereas
For my part Nevertheless
Eventually Personally
Until then Meanwhile
Task 5: Decide whether the following statements are True or False, and correct the false
ones
1. Most people choose an online service because of the price or the number of available files.
2. Everybody has one service which he/she likes more than all the others.
3. You should judge each service according to whether it is better or worse overall than the
service you are currently using.
4. Eventually, all services will be accessible from the service you are using.
5. McGraw-Hill is owned by BIX.
6. Tammy Ray and Jeanette Shearer think the BIX service is average.
7. French Minitel users have free access to an English-language version of Compuserve,
although they cannot use the email facility.
8. DELPHI’s Hobby Shop now has two special-interest areas: one on classic vehicles, and
one on new cars and technology.
Task 6: Fill in the gaps in this summary of the first part of the text. Each clue is an
anagram. The first and last letters are correct.
In my opinion, there is no single “best” online service. The choice depends on
your……………………(prltacuair) needs and references. Most users have their own
………………….(ftrvaioue), but this can prevent them from seeing the…………………………...
(agtvndaaes) of their services. Each one offers something which is either………………..(uqinue)

to that service, or which is …………………….(bteetr) than the same features on other services.
So, when considering an online service, decide whether its features……………………….
(cosrernopd) to what you need. Until all services are……………….(iilktneernd), most of us will
need to…………………..(cunoitne) using more than one.


UNIT
4
LEGAL FORMS OF
ORGANIZATIONS
This lesson deals with three basic forms of business ownership. Two different approaches
are used to present this text. First, the types of business ownership are described using definitions
and explanations. Second, the different forms of business ownership are compared and contrasted.
The advantages and disadvantages of each form are included in the comparison and contrast.
HOW A BUSINESS IS ORGANIZED?
In business there are many legal forms of organization. The form of organization means
the type of ownership. The main differences between the types of ownership are in their ability to
raise capital, the size and continuity of the enterprise, the disposition of profits, and the legal
obligations of in the event of bankruptcy. Each form has certain advantages and disadvantages.
The three forms discussed in this lesson are the sole proprietorship, the partnership and the
corporation.
The form which acquires the least amount of capital and personnel is the sole
proprietorship. Sole means single, and the proprietor is the owner. Therefore, a sole proprietor is a
business owned and operated by a single person. This single person can start a business by simply
purchasing the necessary goods and equipment and opening up shop. There are very few
government and legal regulations to comply with. The sole proprietor owns all the business assets,
makes all the decisions, takes all the risks and keeps all the profits of the business. The business
itself pays no tax, but the owner must pay personal income taxes on his profits. If a sole proprietor
is successful, he takes a lot of personal satisfaction in his enterprise. If he is not successful and he
wants to close his business and start a new one, he simply has to sell his inventory and equipment,
pay his bills, close up shop, and begin a new activity.
There are good and bad aspects to the sole proprietorship form of organization. The sole
proprietor has the opportunity to be successful, but he also runs the risk of financial ruin. The sole
proprietor owns all the assets of the business, but he also has to supply all the capital, and his
ability to borrow is limited to his personal amount of money and wealth. The owner enjoys his
freedom to make decisions about his business, but he alone takes the responsibility for incorrect
choices. He has the right to keep all the profit of the business. However, if he suffers a loss, he
still owns all the debts, and his legal liability to pay them may be more than his investment in the
business. He must use his personal property to settle the debts of the business if he goes bankrupt.
A partnership presents a completely different set of problems. A partnership consists of
two or more people who share the ownership of a business. A partnership should begin with a
legal agreement covering the various aspects of the business. Two important items that need to be
covered are exactly which assets each partner is contributing, as well as how the partnership can
be changed or terminated. This agreement is called the articles of co-partnership. It is not as
complicated as the articles of incorporation. However, the articles of co-partnership indicate that
the initiation of a partnership is not as easy as the beginning of a sole proprietorship. Partners are
like sole proprietors because they own all the assets, owe all the debts, make the decisions, and
share the profits. They pay only personal income taxes on their share of the profits. If each partner
has a different expertise in an important business area, the partnership has an advantage over the
sole proprietorship in managerial ability.
A partnership usually has more capital than a sole proprietorship. In a partnership the
personal wealth of all the partners can be used to secure loans and credit. This personal wealth
may also be used to settle the debts of the business. Like the sole proprietorship, the partnership
has unlimited financial liability in the event of bankruptcy. Unlike the sole proprietorship, where
one owner-manager makes all the decisions, the smooth operation of a partnership requires both
owners to agree on management policy. If a partnership wished to cease doing business, the
owners would have to agree on how to dissolve it.
The corporation is very different from both a sole proprietorship and a partnership. First of
all, the corporation is a legal entity which is chattered by the state in which it is incorporated. In
other words, a Los Angeles corporation is incorporated under the laws of the State of California.
As a legal entity, the corporation can own property that is not the personal wealth of its owners. It
also means that the corporation can enter into business agreements on its own. Forming a
corporation is not easy. There are many legal procedures to follow. A corporation raises capital in
a different way from the proprietorship or partnership. The ownership of the corporation is
divided into shares of stocks. One stockholder or shareowner can buy, sell and trade his shares
without permission from the other owners. A corporation can raise large amount of capital by
selling shares of stock. The stock owners vote for a board of directors who hire a president or
chief executive officer to run the company. The board of directors also decides what to do with
the corporation’s profits. It usually retains part of the profits for reinvestment in the company and
distributes the other part to the shareholders as dividends. Unlike the sole proprietorship and the
partnership, the liability of a corporation is limited to the value of the assets of the company. The
personal wealth of the stockholders cannot be used to pay debts in case of bankruptcy.
Corporations do not operate like other forms of business because the ownership can be easily
transferred through stock sales.
There are favorable and unfavorable points to consider with regard to the corporate form
of ownership. The corporation has access to large amounts of capital and has limited liability, but
its activities are closely monitored by government agencies. The Securities and Exchange
Commission regulates the stock trades. A large corporation has a lot of managers who can
specialize in different aspects of the business. However, the corporation must have good
organization for efficient operation. Another important disadvantage of the corporation is that its
profits are taxed twice. The profits are taxed once as corporate profits and then the individual
stockholders pay personal income taxes on their dividends.
The three types of legal organization discussed in this lesson show different possibilities
and limitations. The best form for a particular enterprise depends on its capital requirements and
the number of owners.
A. PHONETICS
Choose the word whose underlined part is pronounced differently from that of the others
1. A. dissolve B. filed C. income D. bills
2. A. corporation B. group C. forms D. board
3. A. bankrupt B. company C. purchase D. run
4. A. profits B. dividends C. entity D. chief
B. VOCABULARY
I. Match the word with its definitions
Words Definitions
1. sole proprietorship a. goods
2. purchases b. one-owner business
3. assets c. things of value to a business
4. inventory d. business
5. enterprise e. buys
II. Choose the word that has the closest meaning to the underlined word
1. The sole proprietor is liable for all the debts of his enterprise. He owns all the assets, but he
owns all the liabilities.
A. inventory B. proprietorship C. capital D. debts
2. When the sole proprietor stops doing business, he simply sells his inventory and equipment.
A. labor B. machines for making goods C. debts D. profits
3. A partnership does not have some of the disadvantages of a sole proprietorship, but it shares
some similarities.
A. benefits B. problems C. agreement D. association
4. If the owners of a partnership wished to stop doing business, both managers would have to
agree on how to dissolve the partnership.
A. partners B. corporations C. shops D. profits
C. READING COMPREHENSION
I. Skim the reading and give appropriate paragraphs to the following main ideas
Paragraph … • the corporation in comparison with the sole proprietor and the partnership
Paragraph … • advantages and disadvantages of the sole proprietor
Paragraph … • choices of the types of ownership
Paragraph …
• types of ownership
Paragraph …
• advantages and disadvantages of the corporation
Paragraph …
• the partnership
Paragraph …
• the sole proprietorship
Paragraph …
• advantages and disadvantages of the partnership
II. Answer the questions

1. What are types of ownership?
………………………………………………………………………………………………………
2. What are the main differences between the types of ownership?
………………………………………………………………………………………………………
3. What are the similarities and differences between the sole proprietor and the partnership?
………………………………………………………………………………………………………
D. WRITING
Write a paragraph about the corporation
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
E. TRANSLATION
Translate into English
1. Ông ta được giao giữ toàn bộ lợi tức doanh nghiệp.
………………………………………………………………………………………………………
2. Tài sản riêng của ông ta có thể dùng để thanh toán nợ nần.
………………………………………………………………………………………………………
3. Vị nghiệp chủ quyết định mọi vấn đề tài chính riêng của mình.
………………………………………………………………………………………………………
4. Hầu hết các nhà cung cấp muốn ông quyết toán trong vòng 30 ngày.
………………………………………………………………………………………………………
GLOSSARY
1. Ability (n): khả năng
2. Access (n): phương tiện tiếp cận
3. Articles of co-partnership (n): điều lệ hợp doanh
4. Articles of incorporation (n): điều lệ công ty
5. Asset (n): tài sản (của công ty)
6. Board of directors (n): ban quản trị
7. Chief executive officer (CEO) (n): giám đốc công ty, người điều hành cao nhất
8. Comply (v): tuân thủ
9. Corporation (n): công ty kinh doanh
10. Dissolve (v): giải thể
11. Dividend (n): tiền lãi cổ đông
12. Enterprise (n): doanh nghiệp tư nhân
13. Entity (n): đơn vị pháp nhân
14. Equipment (n): thiết bị
15. Expertise (n): kiến thức hoặc khả năng chuyên môn
16. Financial (adj.): thuộc tài chính
17. Income tax (n): thuế thu nhập
18. Inventory (n): hàng hoá tồn
19. Liability (n): khoản nợ, khoản trách nhiệm pháp lý
20. Limited (adj.): hữu hạn
21. Ownership (n): quyền làm chủ
22. Partnership (n): doanh nghiệp hợp doanh
23. Profits (n): lợi nhuận
24. Proprietorship (n): quyền làm chủ doanh nghiệp nhỏ

25. Purchase (v): mua
26. Satisfaction (n): sự hài lòng, mãn nguyện
27. Securities and Exchange Commission (SEC) (n): Hội đồng giám sát chứng khoán và
giao dịch thương mại

UNIT
5
PRODUCTION
This lesson deals with two methods of production. They have opposite methods and
purposes. The meanings of the words used to describe each method production contrast as sharply
as the methods themselves; for example, continuous as opposed to intermittent. While reading the
students should be aware of general ideas incorporated in topic sentences and the examples that
follow. By concentrating on the two methods of production and systematizing ideas according to

each of the methods, students are encouraged to develop their analytical skills and increase
comprehension and retention.
THE TWO BASIC METHODS OF PRODUCTION
Production is the process of making something of value. It means bringing together

materials, machinery, and workers to make goods. Production changes the value of materials by
changing their form. The process of production makes the materials more valuable.
There are four types of production: analysis, synthesis, extraction, and fabrication.
Analysis is the process of separating a raw material in several parts. For example, in petroleum
refining, oil is separated in gasoline, kerosene, fuel oil, asphalt, and many other products.
Synthesis is the process of putting together two or more raw materials into one finished products.
For example, glass is made by joining together lime, soda, potash, and other chemicals. All of the
raw materials used in production are extracted from the land, the sea, or the air. Mining and
petroleum production extract raw materials from the earth. Fish and minerals such as magnesium,
sodium, chlorine, and bromine are extracted from the sea. Nitrogen and oxygen are extracted from
the air. Fabrication is the process of making products of more value from already manufactured
materials. The materials may be cut, machined, woven, knitted, shaped, or put together with other
materials. For example, cloth is made from thread. Automobiles are made from already
manufactured parts.
There are two basic methods of production: intermittent and continuous. In intermittent
production, several of the same types of items are produced. Then production of that item stops
and production of another item begins. Labor and equipment work on one particular product for a
short period of time. The company makes a product either because a customer has ordered it or
because they think the customer will order it. Machinery is set up and adjusted for a specific job.
With intermittent production many designs and styles are possible, so a large variety of
goods can be produced. The design can easily be changed to suit each individual customer. When
goods are made to customer specifications, they are called custom-made. Only a limited number,
perhaps only one, of each specification are made. Therefore, automatic machines have limited
use, and increased labor is necessary, which makes custom-made goods expensive. However, one
of the reasons that custom-made goods are popular is that they are expensive; if someone owns
one, it shows that he has money.
In continuous production, labor and equipment work continuously, making one type of
product for a long period of time. The company buys specialized machinery, or they adjust their
machinery for a production period that will probably continue for months. The products must be
standardized and the volume must be large. The assembly line method of manufacturing is one
way of using continuous production. Coordination is more necessary in continuous production
than in intermittent production, because if there is a break at any step in production, it can halt the
whole process.
Continuous production is generally less flexible than intermittent production.
Standardization is necessary in order to get the greatest benefit from continuous production.
Therefore, there can be only a few models, styles, and designs. To say it another way, if the
number of models and styles of a products increases, the volume must also increase in order to
use the continuous process efficiently. Because the major automobile manufacturers have a very
large volume of production, they can produce several body designs, engine sizes, and style series
and still use the continuous process of manufacturing. In addition to car manufacturers, many
other factories use continuous production. For example, it is used in making consumer appliances,
producing cement, making paper, refining sugar, refining petroleum, weaving cloth, and grinding
grain.
Standard goods are generally manufactured using the continuous type of production
process. They are made to the manufacturer’s specifications, not the customer’s. In order to sell
goods, it is necessary to make items that the customers will buy; however, standard goods are
made not for a specific customer, but for a group of customers. We can say that standard design
tries to please the average taste. When a large volume of each design is produced, as a practical
matter it is necessary to make goods to suit the average customer. Standard goods usually carry
the manufacturer’s brand and are advertised over a large area to reach many customers.
In deciding on the type of production to use in a plant, the important factors are volume
and the number of models and designs. Intermittent production can be used if volume is small and
there are many designs. Often a company begins production with job lots using intermittent
production. As the company grows and the volume increases, it is more efficient to use
continuous production.
A. PHONETICS
1. A. goods B. job C. lot D. process
2. A. style B. synthesis C. buy D. analyze
B. VOCABULARY
Match the word with its definition
Words Definitions
1. cont a. design or fashion
inuo b. the process of removing materials from the land for the purpose of
us production

2. extr c. the quantity produced in a certain amount of time
acti d. nonstop
on e. starting and stopping, not operating continuously
3. inte f. products designed for the general market, not for a certain customer
rmit g. materials in their natural state
tent
4. raw
mat
erial
s
5. stan
dard
6. styl
e
7. volu
me
I. Read paragraphs 3, 4, 5 and 6 and list the contrasting aspects between intermittent and
continuous production
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
II. Read paragraphs 6, 7, and 8. Then look at the sentences below and select the word which
best explains the underlined word
1. In continuous production labor and equipment work continuously making one type of product.
A. unit B. style C. job D. material
2. Products must be standardized and the volume must be large.
A. number of units B. loudness C. cost D. efficiency
3. Standardization is necessary in order to get the greatest benefit from continuous production.
A. advantage B. output C. series D. style
4. Continuous production is used in making consumer appliances.

A. for the home B. industrial C. expensive D. customer
D. WRITING
I. Make sentences from cues
1. when / job / finished / machinery / reset / produce different items / fill another order.
………………………………………………………………………………………………………
2. Production volume / refer / number / units / produced / given / period / time.
………………………………………………………………………………………………………
3. keep / production / most efficient / need / produce / highest / volume / using / least amount /
machines / labor.
………………………………………………………………………………………………………
II. Write a paragraph

Using the list of differences from the reading comprehension exercise, write a paragraph
contrasting the production of custom and standard goods.
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
E. TRANSLATION
1. Máy này dùng phim chuẩn 35 mm.
………………………………………………………………………………………………………
2. Nước khoáng chế tạo từ nước ngầm qua phương pháp phân tích.
………………………………………………………………………………………………………
3. Lô sản phẩm này gồm 50,000 áo đầm phụ nữ.
………………………………………………………………………………………………………
4. Công ty sản xuất hàng vì có người đặt.
………………………………………………………………………………………………………

GLOSSARY
1. Analysis (n): phương pháp phân tích
2. Appliance (n): thiết bị gia dụng
3. Consumer (n): người tiêu dùng
4. Continuous (adj.): liên tục
5. Coordination (n): sự điều phối
6. Custom-made (adj.): theo đặt hàng
7. Design (n): mẫu thiết kế, mẫu mã
8. Efficiently (adv): một cách hiệu quả
9. Extraction (n): sự khai thác
10. Fabrication (n): sự lắp ráp
11. Flexible (adj.): linh hoạt, dẻo
12. Intermittent (adj.): không liên tục, gián đoạn
13. Job lot (n): lô hàng
14. Machine (v): làm bằng máy
15. Production (n): việc sản xuất, sản lượng
16. Specification (n): chi tiết kỹ thuật
17. Standard (adj.): tiêu chuẩn, chuẩn
18. Standardized (p.p.): được chuẩn hoá
19. Style (n): kiểu, thời trang, mốt
20. Synthesis (n): sự tổng hợp
21. Volume (n): khối lượng

UNIT
6
PERSONNEL
Both student and businessman are likely to enter into situations where they will need to
deal with personnel either as employees or employers. This lesson begins with a definition of
personnel and its importance to business. The following paragraphs discuss internal and external
recruitment, the preparation of the job description, the method of selecting applicants, and the
development of personal policies.
THE IMPORTANCE AND ROLE OF PERSONNEL DEPARTMENT
Personnel refers to all the people who work for a firm. Most large companies have special
personnel departments which are responsible for employer-employee relations. The personnel
department is a staff department, which means that it is not directly involved with production, but
that it provides a service to the managers. The most important services which the personnel
department provides are recruiting, that is, finding new workers or managers for the company,
deciding which applicants are most suitable for employment by the firm, and developing and
implementing personnel policies and procedures for the benefit of the company as well as the
employees.
Most businesses continually need to recruit good personnel to replace workers who retire
or quit and to fill new jobs created when the company expands. After management has determined
the goals of the company and the positions needed, the personnel department must find qualified
people to fill those positions. Depending upon the management policy and the nature of the
position, recruiting may be done internally or externally. Internal recruitment means that the
person chosen for the position is selected from the current employees of the company. This is
either by promotion or transfer. Promotion means an employee receives a job with more authority
and responsibility than his present job. The employee usually expects to receive an increase in
salary along with the new position. A transfer refers to a job or department change for a worker. A
transfer without promotion is a lateral transfer. It may involve different working conditions or
different hours. Company that recruit internally often promote internally, which means that the
managers have worked their way up from lower positions. It may also mean that the company
may hire new employees only at lower positions.

External recruitment means that the company is looking for new employees from outside
the firm. All companies do some type of external recruitment. If they are looking for employees
with special training or education, they will often recruit at university campuses. They make
arrangements with the placement office at the campus to interview graduating students.
Sometimes they are seeking top level managers who they will recruit from other firms, often form
their competitors. Other methods of recruiting involve the use of advertising in newspapers and
professional publications, and even paying a fee or commission to an executive placement
service.
Most recruiting involves a job announcement containing a description of the job. The
personnel department produces a formal job description. If the firm is not well known, the job
description may begin with some basic information about the company and its products. This is
usually followed by the title of the position the company wants to fill, for example, Senior Design
Engineer or Vice President in charge of Finance. Then the duties and responsibilities of the job
are given, as well as where that position fits in the organizational charts (that is, who the person
reports to and who the person supervises). Next appear the qualifications for the job, such as the
professional training or skills needed. The salary and fringe benefits paid for by the company
should also be mentioned. Finally, the job description will tell the applicant exactly what to do if
he is interested in the position.
The personnel department should have a method for choosing the best candidate among
the applicants for the position. In some companies this may involve testing prospective
employees. Civil service or government jobs often require applicants to compete with each other
on written tests. Those applicants with the highest scores are selected for an interview. Other
companies may assign points for certain items on the application form, such as experience or
education. They may then total the points and select the applicants with the highest totals. After
the applicants have been evaluated, the best qualified applicants invited to an interview. In the
interview the applicant’s personality and ability to work with others may be judged.
Some people feel the most important function of the personnel department is the
development of personnel policies. For efficiency and fairness, a company should have a specific
formal written procedure for dealing with its employees. Otherwise, decisions must be made on a
case by case basis, and this could adversely affect employee moral. These procedures should state
working conditions, salary scale, and fringe benefits such as paid vacation, paid sick leave, group
insurance, pension or retirement plan - all things received in addition to pay. Part of the policy
may also include a procedure for notifying employees of openings or promotional opportunities.
In addition, there is often a procedure for handling grievances, which an employee can use if he
feels that he has been treated unfairly by the employer. All of these items may be part of a union
contract between the employer and the employees who are members of a union.
A. PHONETICS
A. expand B. staff C. lateral D. transfer
A. manager B. grievance C. giant D. fringe
B. VOCABULARY
Match the word with its definitions
Words Definitions
1. applicant a. job opening
2. fringe benefit b. complaint of unfair treatment
3. goals c. purposes, what a company wants to accomplish
4. promote d. looking for new employees
5. vacancy e. a person who is seeking a job and has taken some actions to get the job
6. retire f. get a more important job
7. recruitment g. what is received in addition to salary
8. grievance h. stop working after a certain age
I. Choose the answer that best completes the meaning of the sentence
1. The personnel department must decide which applicants are the most suitable
for………………
A. benefits B. employment C. employee D. promotion
2. To fill the vacancy in the accounting department, they are seeking the person who is best
…………………
A. promoted B. competitive C. qualified D. authorized
3. The person being promoted receives more……………….
A. authority B. responsibility C. salary D. all of these
4. If a company is recruiting new employees, they might……………………….
A. advertise in newspapers B. promote a new employee
C. qualify for a job D. none of these
5. The job description tells about a job opening at a company. It would most likely
state………………..
A. the supervisor’s name B. the duties and responsibilities
C. what the applicant looks like D. the applicant’s name
II. Answer the following questions

1. What can interviews reveal about the applicants?
………………………………………………………………………………………………………
2. What are fringe benefits?
………………………………………………………………………………………………………
3. According to the article, what is the function of a union?
………………………………………………………………………………………………………
D. WRITING
Make sentences from cues
1. sales / manager / hire / three / new / salesmen
………………………………………………………………………………………………………
2. goal / year / increase / sales / ten / percent
………………………………………………………………………………………………………
3. new / personnel / policy / implement / July / 1
………………………………………………………………………………………………………
E. TRANSLATION
1. Cô-ca và Pepsi là hai đối thủ cạnh tranh trong doanh nghiệp nước ngọt.
………………………………………………………………………………………………………
2. Những người tìm việc có điểm số cao nhất sẽ được chọn để phỏng vấn.
………………………………………………………………………………………………………
3. Tuyển dụng là tìm nhân viên hay giám đốc mới cho công ty.
………………………………………………………………………………………………………
4. Những người xin việc sẽ được tuyển theo kinh nghiệm và năng khiếu.
………………………………………………………………………………………………………
GLOSSARY
1. Applicant (n): người nộp đơn, ứng viên
2. Competitor (n): đối thủ cạnh tranh
3. Duty (n): nhiệm vụ

4. Employee (n): nhân viên
5. Employer (n): chủ nhân, công ty thuê người
6. Evaluate (v): đánh giá
7. Expand (v): phát triển, mở rộng
8. Experience (n): kinh nghiệm
9. Fringe benefit (n): phúc lợi
10. Goals (n): mục tiêu
11. Grievance (n): khiếu nại
12. Implement (v): thực thi
13. Interview (n): cuộc phỏng vấn
14. Lateral (adj.): theo hàng ngang
15. Manager (n): giám đốc, trưởng bộ phận
16. Organizational chart (n): sơ đồ tổ chức
17. Personnel (n): nhân sự
18. Promotion (n): sự thăng chức
19. Qualify (v): có đủ năng lực
20. Recruit (v): tuyển dụng
21. Responsibility (n): trách nhiệm
22. Salary (n): lương
23. Staff (n): nhân viên hành chính
24. Suitable (adj.): phù hợp
25. Training (n): việc đào tạo
26. Transfer (n): sự thuyên chuyển

UNIT
7
MARKETING
Marketing is an aspect of business that has worldwide importance. This chapter deals with
the changing notions of marketing and how marketing relates to all aspects of any business. The
market is not merely a location for buying and selling products; it is also a concept influencing
many other business decisions.
THE CHANGING CONCEPT OF MARKETING
The term market and marketing can have several meanings depending upon how they are
used. The term stock market refers to the buying and selling of shares in corporations as well as
other activities related to stock trading and pricing. The important world stock markets are in
London, Geneva, New York, Tokyo, and Singapore. Another type of market is a grocery, which is
place where people purchase food. When economists use the word market they mean a set of
forces or conditions that determine the price of a product, such as the supply available for sale and
the demand for it by consumers. The term marketing in business includes all of these meanings,
and more.
In the past, the concept of marketing emphasized sales. The producer or manufacturer
made a product he wanted to sell. Marketing was the task of figuring out how to sell the product.
Basically, selling the product would be accomplished by sales promotion, which included
advertising and personal selling. In addition to sales promotion, marketing also involved the
physical distribution of the product to the places where it was actually sold. Distribution consisted
of transportation, storage, and related services such as financing, standardization and grading, and
the related risks.
The modern marketing concept encompasses all of the activities mentioned, but it is based
on a different set of principles. It subscribes to the notion that production can be economically
justified only by consumption. In other words, goods should be produced only if they can be sold.
Therefore, the producer should consider who is going to buy the product – or what the market for
the product is – before production begins. This is very different from making a product and then
thinking about how to sell it.
Marketing now involves first deciding what the customer wants, and designing and
producing a product that satisfies these wants at a profit to the company. Instead of concentrating
solely on production, the company must consider the desires of the consumer, and this is much
more difficult since it involves human behavior. Production, on the other hand, is mostly an
engineering problem. Thus, demand and market forces are still an important aspect of modern
marketing, but they are considered prior to the production process.
Because products are often marketed internationally, distribution has increased in
importance. Goods must be at the place where the customer needs them or brought there. This is
known as place utility; it adds value to a product. However, many markets are separated from the
place of production, which means that often both raw materials and finished products must be
transported to the points where they are needed.
Raw materials requiring little or no special treatment can be transported by rail, ship, or
barge at low cost. Large quantities of raw materials travel as bulk freight, but finished products
that often require special treatment, such as refrigeration or careful handling, are usually
transported by truck. This merchandise freight is usually smaller in volume and requires quicker
delivery. Merchandise freight is a term for the transportation of manufactured goods.
Along all points of the distribution channel various amounts of storage are required. The time and
manner of such storage depends upon the type of product. Inventories of this stored merchandise
often need to be financed.
Modern marketing is therefore a coordinated system of many business activities, but
basically it involves four things: (1) selling the correct product at the proper place, (2) selling it at
a price determined by demand, (3) satisfying a customer’s need and wants, and (4) producing a
profit for the company.
A. PHONETICS
1. A. convey B. promotion C. stock D. consumer
2. A. sales B. task C. exchange D. place
3. A. exchange B. grading C. barge D. geographical
B. VOCABULARY
Words Definitions
1. stock exchange a. stores of unsold goods; supplies on hand
2. market forces b. business activities with the goal of increasing sales of the product
3. consumer c. place to buy and sell shares
4. consumption d. a place where shares of corporations and other securities are bought and sold
5. inventories e. supply and demand
6. stock market f. a person or company who buys a product for his own use
7. sales promotion g. purchase
I. Choose the answer that best completes the meaning of the sentence
1. In the past, the main objective of marketing was sales promotion. Marketers were people who
………………….
A. bought and sold stock B. consumed
C. tried to sell products D. supplied and demanded
2. Modern marketing aims to satisfy the wants of the consumer. Marketing personnel should
consider first of all…………………………
A. how to advertise the product B. what products the customers desire
C. how to distribute the product D. engineering problems
3. Modern marketing is a coordinated system of business activities because………………..
A. it involves solving design problem to meet consumer demands.
B. it involves having the product at the right place at the right time.
C. it considers the profitability of the company.
D. all of the above

1. List at least three types of market.
………………………………………………………………………………………………………
2. What aspects does money have?
………………………………………………………………………………………………………
3. What are three aspects of distribution?
………………………………………………………………………………………………………
4. What activity of marketing deals with the need for goods to be at the place where customers
can use them?
………………………………………………………………………………………………………
5. What are three characteristics of bulk freight transport?
………………………………………………………………………………………………………
D. WRITING
1. there / worldwide / market / American / agricultural / products.

………………………………………………………………………………………………………
2. advertising / price / reductions / examples / sales / promotion.
………………………………………………………………………………………………………
II. Put the following words in a correct order to make meaningful sentences
1. inventories / materials / Continuous / of / requires / adequate / production / raw.
………………………………………………………………………………………………………
2. of / last / because / year / harvest / weather, the / the / poor / was / grain / supply / bad / and /
world / of / less / than / it.
………………………………………………………………………………………………………
E. TRANSLATION
1. Một trong những thị trường chứng khoán quan trọng nhất thế giới là New York.
………………………………………………………………………………………………………
2. Quảng cáo gợi nhớ tên sản phẩm cũng như quyền lợi người tiêu dùng khi mua và sử dụng
sản phẩm.
………………………………………………………………………………………………………
GLOSSARY
1. Advertising (n): quảng cáo
2. Barge (n): xà lan
3. Consumer (n): người tiêu dùng
4. Consumption (n): việc tiêu thụ
5. Coordinated (p.p.): được phối hợp
6. Demand (n): nhu cầu
7. Design (v): thiết kế
8. Desires (n): mong muốn, nhu cầu
9. Determine (v): xác định
10. Distribution (n): việc phân phối
11. Emphasize (v): nhấn mạnh, chú trọng
12. Finance (v): tìm vốn cho, tài trợ
13. Grading (n): việc phân loại, xếp hạng
14. Inventories (n): hàng tồn kho
15. Market (n): thị trường
16. Market forces (n): lực tác động thị trường
17. Marketing (n): tiếp thị
18. Personal selling (n): việc chào hàng trực tiếp
19. Place utility (n): tiện ích cho một nơi hoặc một thời điểm nào đó
20. Principle (n): nguyên tắc
21. Sales promotion (n): sự khuyến mãi
22. Standardization (n): sự chuẩn hoá
23. Stock market (n): thị trường chứng khoán
24. Supply (n): nguồn cung ứng
25. Task (n): công việc
26. Transportation (n): sự vận chuyển

UNIT
8
DISTRIBUTION
Distribution is a major business activity because virtually everyone from the producer to
the customer is involved in it. This lesson deals with the steps involved in distribution.
METHODS AND ROUTES OF DISTRIBUTION
After a product has been manufactured, the next step is to find out which methods and
routes should be used to bring it to market. This involves channels of distribution.
The channel of distribution or trade channel refers to the route the product takes on the
way from the manufacturer or producer to the ultimate customer. The simplest form of
distribution is direct sale. For example, a grower sells products directly to a customer at a roadside
stand. However, most often the channel of distribution involves middlemen. Middlemen are
people who take possession of merchandise and take title to it or arrange for transfer of
ownership. The reason middlemen are needed is that a particular customer or consumer desires
many products, which come from many manufacturers, and it is impossible for the customer to
purchase every product from the producer. For example, in offices, pencils, paper, desks, chairs,
lamps, cabinets, and many other products are used. Each of these products may be manufactured
in a different part of the country. The office purchasing agent needs to be able to purchase
different quantities of these items at one place that is convenient for him.
The job of the middleman is to collect the different products from the various
manufacturers, and then to divide them into amounts which the customers require. The
middleman gives the products place utility by delivering or transporting them to where they are
needed. Two types of middlemen are merchant middlemen, who actually take title to the
merchandise, and agent middlemen, who arrange for the transfer of title between manufacturer
and wholesaler. An example of a merchant middleman might be a person who owns a warehouse,
buys large quantities of goods from manufacturers, and then distributes them to companies who
purchase smaller quantities. An example of an agent middleman would be a broker who earns a
commission by putting buyer and seller in contact with one another.
The channel of distribution selected for customer products sold on the retail market
depends upon the type of product. Some items are considered convenience goods. They are
generally products which have a low price can be found at several convenient locations. Examples
are chewing gum, cigarettes, and soft drinks. One generally goes to the closest place to buy these
kinds of products. In this case, convenience is more importance than price. The customer is
willing to pay for the place utility. Convenience goods are found at supermarkets, convenience
stores, and even in vending machines. These goods must be widely distributed. They may,
therefore, go through several middlemen before they arrive at the place where the consumer
purchases them.
Other consumer products are classified as shopping goods. These are products which
generally cost more than convenience goods and require more consideration of price and quality
than do convenience goods. A customer shopping for a television set or other major home
appliance would probably consider several different products and shop at several different
locations to compare quality and price before making a decision about a purchase.
Shopping goods can be found at various retail outlets. A full service retail store is one
where sales staff wait on customer and can explain to them the various aspects and features of the
product. The product is generally on display. The cost of space and the sales and commission are
added to the cost of the product.
Discount houses are another type of retail outlet. Products are offered for sale at a lower
price because there is a small sales staff or the retailer has been able to reduce overhead in another
manner. For example, the store could be in a warehouse or some place where rents are lower.
Discount houses usually carry only merchandise that moves in high volume. They may not have
the large selection of brands and lines available at a full service store. Sometimes they can receive
discounts from wholesalers by purchasing in quantity or by purchasing discontinued models, and
sometimes they can deal directly with manufacturers, eliminating the middleman.
Two of the larger types of retail distributors are franchise stores and chain stores. A
franchise store is a store that is independently owned, but operates under a franchise or license
from a parent company. The franchise pays a fee for the license and a certain percentage of the
total sales to the parent company. In return for this, the parent company supplies the products and
promotes sales through advertising. Franchise stores are particularly popular in the fast food
industry. McDonald’s and Kentucky Fried Chicken have franchises worldwide. Franchise stores
and chain stores are similar in the ways they are run and the fact that the same merchandise is
generally carried throughout the chain or franchise. The main difference between a chain store
and a franchise store is that the chain store is owned by the parent company. Some supermarkets,
such as Safeway, are operated as chain stores. Department stores such as Sears are also chain
stores. The advantage that chain stores and franchise stores enjoy in distribution is that they are
often vertically integrated. This means the parent company controls the warehouses, the trucking
lines, and sometimes the manufacture of the product. Vertical integration should allow a parent
company to control costs and maximize profits. However, sometimes vertically integrated
organizations become so large that they actually cost more to operate. A large expensive
bureaucracy is needed to run a large organization.
A. PHONETICS
Choose the word whose underlined part is pronounced differently from that of the others:
1. A. warehouse B. route C. outlet D. mouse
2. A. stand B. chain C. retail D. agent
B. VOCABULARY
Words Definitions
1. distribution a. a small, open-air shop for the purchase of convenience goods
2. parent company b. a merchant middleman who sells goods to retailers in large quantities
3. retail c. the business activity that delivers products to the place convenient for the
4. stand customers
5. warehouse d. a large corporation which may own several smaller companies or stores
e. purchase of products for personal use
6. wholesaler
f. a building where merchandise is stored
I. Choose the answer that best completes the sentence
1. A grower selling fruit at a roadside stand is an example of …………………..
A. a middleman B. a convenience good
C. producer selling directly to consumer D. manufacturer selling directly to middleman
2. A middleman who takes title to the merchandise is an example of…………………..
A. a merchant middleman B. an agent middleman
C. a distributor D. a customer
3. The best channel of distribution depends on ………………………….
A. the type of product B. the price of the product
C. where the product will be sold D. all of these
4. Franchise and chain stores benefit from…………………….
A. the sale of licenses to their stores B. locating away from the main business area
C. vertical integration D. the ability to advertise on a large scale
5. The difference between chain stores and franchise stores is…………………………
A. chain stores are individually owned
B. franchise stores are individually owned
C. they do not handle similar products
D. franchise stores enjoy an advantage in distribution

1. Why do we need middlemen?
………………………………………………………………………………………………………
2. What are three specific activities of the middleman?
………………………………………………………………………………………………………
3. What are convenience goods?
………………………………………………………………………………………………………
4. What advantages do franchise stores and chain stores enjoy?
………………………………………………………………………………………………………
III. Skim the reading and give appropriate paragraphs to the following main ideas
Paragraph … • An introduction to distribution
Paragraph … • Discount houses
Paragraph … • Convenience goods
Paragraph …
• Franchise and chain stores
Paragraph …
• Middleman and his necessity
Paragraph …
• Shopping goods
Paragraph …
• Location of sales
Paragraph …
• Middleman and his activities
D. WRITING
1. agent / middleman / arrange / buyers / sellers / get / together / conduct / business.
………………………………………………………………………………………………………
2. K-Mart / Senars / two / the world / largest / retail / chains.
………………………………………………………………………………………………………
II. Put the words in a correct order to make a meaningful sentence

1. merchant / takes / middleman / merchandise / The / actually / title / the / to.
………………………………………………………………………………………………………
2. stores / purchase / a / advertising / in / Retail / lot / newspapers / of / space / usually.
………………………………………………………………………………………………………
3. of / drink / goods / convenient / chewing / and / are / cigarettes / Examples / gum / soft.
………………………………………………………………………………………………………
E. TRANSLATION
1. Trái cây, rau quả tươi phải chuyển thẳng đến người tiêu dùng để tránh trường hợp bị hư
hại.
………………………………………………………………………………………………………
2. Người bán hàng cho biết họ không còn máy giặt trong kho hàng mà còn một ít trong kho
công ty.
………………………………………………………………………………………………………
3. Tôi mua báo ở quầy báo; anh có thể mua pizza, côca ở căn tin.
………………………………………………………………………………………………………
GLOSSARY
1. Agent (n): đại lý
2. Broker (n): người môi giới
3. Bureaucracy (n): cơ chế hành chính quan liêu
4. Chain (n): chuỗi liên hợp
5. Channel of distribution (n): tuyến phân phối
6. Commission (n): tiền hoa hồng
7. Convenience goods (n): hàng tiện dụng
8. Distribution (n): việc phân phối
9. Features (n): đặc điểm
10. Flexibility (n): tính linh hoạt
11. Franchise (n): giấy cấp quyền kinh doanh
12. Home appliance (n): thiết bị gia dụng
13. Inflexibility (n): tính không linh hoạt
14. License (n): giấy phép kinh doanh
15. Maximize (v): gia tăng tối đa
16. Merchandise (n): hàng hoá (để bán)
17. Middleman (n): người trung gian
18. Outlet (n): nơi bán
19. Overhead (n): tổng chi phí
20. Ownership (n): quyền làm chủ, quyền sở hữu
21. Parent company (n): công ty mẹ
22. Possession (n): quyền sỡ hữu
23. Produce (n): sản phẩm trồng trọt, rau quả tươi
24. Promote (v): khuyến mãi
25. Retail (n): bán lẻ
26. Route (n): tuyến, lộ trình đi
27. Shopping goods (n): hàng mua sắm
28. Stand (n): sạp bán hàng
29. Title (n): chứng nhận quyền sở hữu
30. Transfer (v): chuyển nhượng
31. Ultimate consumer (n): người tiêu dùng sau cùng
32. Vending machine (n): máy bán hàng
33. Vertical integration (n): cấu trúc kinh doanh theo hàng dọc
34. Volume (n): khối lượng
35. Warehouse (n): nhà kho
36. Wholesaler (n): nhà buôn sỉ

UNIT
9
PROMOTION
The lesson on promotion begins with a discussion of the theoretical basis for promotion. It
is related to the basic economic law of supply and demand. Practical application of the law is then
discussed. Many fields can be used in promotional activity, for example, statistics and
psychology.
THE ROLE AND ACTIVITIES OF PROMOTION
Promotion is the aspect of marketing concerned with increasing sales. Marketing must be
considered in making production decisions, and promotion must be considered in the overall
marketing process. Promotion attempts to persuade and influence the customer’s attitude in
various ways. It is oriented toward producing a customer for the product rather than a product for
the customer. Economists believe price should be determined by supply and demand. Promotion
attempts to demand for a product and thereby increase sales. It wants to make the demand for a
product inelastic when prices increase and elastic when prices decrease. In other words, through
promotion, companies try to keep demand and sales constant when prices increase. They do not
want an increase in the price of their product to result in lower sales; instead they want it to result
in an increase in profits. However, if the price decreases, they want demand for the product to
increase, hoping that an increase in sales volume will offset the decrease in price.
The main promotional activities are advertising, personal selling, and sales promotion.
Advertising is a nonpersonal presentation of goods, services, or ideas aimed at a mass audience. It
is particularly suited for products that are widely distributed, such as convenience goods. There
are several methods of advertising and several media. The method selected depends upon the
product, the distribution of the market, and the type of information which the company wishes to
convey about its product. For example, television advertising reaches a large audience. It has the
advantage of appealing to the emotions of the audience through the senses of sight and sound.
Television advertisements are expensive to produce and must be repeated thousands of times in
order to justify the cost of production. Newspaper advertisements, on the other hand, can appear
on a particular day in a particular geographic area. A newspaper advertisement can contain a lot of
written detail that appeals to the logic of the reader. It explains why he should purchase a
particular product or service.
In general, advertising works best when the demand for a product is increasing. It also
works well when there are real differences between two or more similar products such as the
different types of cars. Using advertising, a company can emphasize the differences between its
product and that of the competition. The purpose of advertising is to communicate information
that convinces a customer to buy a specific product.
Personal selling involves a salesperson trying to convince customers directly to buy a
product. Personal selling is very effective when there is a concentrated market for a product – in
other words, the product is not for general consumption by the public. There would be little point
in advertising them on television. The same is true for many industrial goods. A sales
representative usually gets a commission. If the product has a high unit value, in other words each
individual item is very expensive, the cost of the product justifies the commission paid to the sales
representative for his or her work. If the product must be individually tailored to the purchaser,
the salesperson must be able to sell exactly what the customer needs. Sales staff are also needed to
demonstrate a product. This is particularly important for new products which may be unfamiliar
to the customer. Finally, personal selling is necessary when there is negotiation about the price of
the product, for example, when a trade-in is involved.
Sales promotion involves several activities. It is becoming increasingly important in the
self-service environment where there is often no sales staff. Sales promotion activities are of two
types: information and stimulation. Examples of information promotion are a pamphlet or booklet
about the product, a demonstration, market research information telling about the nature of the
customers, and dealer training and managerial advice from producers. Stimulation promotion can
be accomplished by the distribution of samples, reduced price promotions, premiums, and
coupons. A premium is something that the customer receives as a bonus when he purchases a
product. For example, a customer purchasing a razor might receive a free package of razor blades.
A coupon is a certificate which entitles the customer to purchase the product at a reduced price.
Sales promotions also involve displays of the products. Displays can increase sales as well. A
customer might make a decision to buy a particular product like a convenience item simply on the
basis of a display that makes the item easy to see and reach.
Basically, there are two ways to increase sales of products: find new market and increase
market share. A company seeking new markets can expand its geographical sales area or try to
sell its products to a different segment of the population. In this case promotion may involve
increased advertising to spread information about the product. Personal selling at the wholesaler
level can encourage additional retailers to carry the product.
A different market situation requires a different method of promotion. When a market is
saturated, it means that there are no new customers to be found. A company then needs to lure
customers from the competition and gain a greater share of the total market. To increase market
share, the marketing department of a company must design a total program of promotion for a
particular product. Such a program may involve increased advertising to remind the customer of
the name of product. In advertising the company will also emphasize the superiority of its product
by comparing it with the competition’s product. A program to increase market share may also
include convincing a retailer to allow more shelf space in the store for the product. Sales
promotions may include contests, coupons, and price discounting. Increasing market share
involves more stimulation of the buyer’s emotions than does finding new markets where simply
furnishing information about the product may increase sales.
A. PHONETICS
1. A. lure B. value C. curve D. unit
2. A. demonstrate B. display C. share D. sales
3. A. medium B. free C. shelf D. receive
4. A. discount B. service C. justify D. wide
B. VOCABULARY
Words Definitions
1. lure a. quantity of items available for sale
2. discount b. usefulness at a certain time
3. supply c. attract
4. offset d. maximum number of viewers or readers
5. mass audience e. a reduction in the price, usually for the purpose of increasing sales
6. time utility f. compensate for
I. Choose the answer that best completes the sentence
1. Promotion attempts to increase demand for the product. Effective promotion therefore
…………………….
A. increase sales B. decrease supplies
C. aims at a mass audience D. decrease price
2. Promotion should shift the demand curve so that……………………….
A. supplies increase B. prices increase
C. customers want to buy the product more than before D. demand stays constant
3. If customers increase purchases of the product when prices decrease,………………..

A. sales volume increase B. the demand is elastic
C. increased volume may offset lower prices D. all of the above
4. Advertising is aimed at a mass audience. Advertisers hope……………………
A. that it will be convenient for the customer to purchase the product
B. that a very great number of people will see or hear their message
C. that reducing prices will increase sales
D. to sell similar products
5. A customer can be stimulated to make a purchase through…………………….
A. a free sample B. a reduced price
C. an attractive and convenient display D. all of the above

1. Which promotional activity is best suited for convenience goods?
………………………………………………………………………………………………………
2. Who should receive the advertiser’s message?
………………………………………………………………………………………………………
3. Why is personal selling effective in a concentrated market?
………………………………………………………………………………………………………
4. What’s the difference between a premium and a coupon?
………………………………………………………………………………………………………
5. What are two sources of new customers for a product?
………………………………………………………………………………………………………
III. Skim the reading and give appropriate paragraphs to the following main ideas

Paragraph … • ways of increasing sales
Paragraph … • types of promotional activities
Paragraph … • personal selling
Paragraph …
• ways to increase market share
Paragraph …
• promotion and its goals
Paragraph …
• the best situation for advertising and the purpose of advertising
Paragraph …
• sales promotion activities
D. WRITING
1. Displays / method / stimulating / sales / self-service / stores.

………………………………………………………………………………………………………
2. When / prices / increase / we / want / sales / remain / constant.
………………………………………………………………………………………………………
3. Commercial / messages / television / seen / viewers.
………………………………………………………………………………………………………
II. Put the following words in a correct order to make meaningful sentences
1. at / is / Advertising / readers / aimed / many / and / listeners
………………………………………………………………………………………………………
2. information / conveys / about / advertising / product / the
………………………………………………………………………………………………………
3. convenience / A / manager / items / displays / store / usually
………………………………………………………………………………………………………
4. Supermarkets / of / examples / sell / stores / are / service
………………………………………………………………………………………………………
E. TRANSLATION
1. Ở Mỹ tháng này có 100,000 ô tô bán ra. Trong đó có 32,000 chiếc do hãng General Motors
sản xuất.
………………………………………………………………………………………………………
2. Bạn được tặng thêm hai cuộn phim khi mua máy ảnh này.
………………………………………………………………………………………………………
3. Nếu quảng cáo gây được ấn tượng tên sản phẩm trong trí nhớ khách hàng thì họ sẽ được
kích thích mua khi thấy hàng.
………………………………………………………………………………………………………
GLOSSARY
1. Aim at (v): nhằm vào
2. Certificate (n): giấy chứng nhận
3. Commission (n): tiền hoa hồng
4. Competition (n): sự cạnh tranh, công ty đối thủ
5. Concentrated market (n): tình trạng ứ đọng thị trường
6. Constant (adj.): không đổi, ổn định
7. Convey (v): truyền đạt
8. Coupon (n): phiếu giảm giá

9. Demand curve (n): đường vẽ trên đồ thị cho thấy quan hệ giữa
giá và nhu cầu; đường biểu diễn số cầu
10. Demonstrate (v): trình bày, giảm giá
11. Discount (n): sự giảm giá
12. Display (n): trưng bày
13. Effective (adj.): có hiệu quả, hữu hiệu
14. Elastic (adj.): có thể thay đổi, co giãn
15. Free sample (n): hàng mẫu (để tặng miễn phí)
16. General public (n): công chúng
17. Geographic (adj.): thuộc địa lý
18. Industrial goods (n): hàng công nghiệp
19. Inelastic (adj.): không thể thay đổi, co giãn
20. Influence (v): tác động, gây ảnh hưởng
21. Justify (v): chứng minh, biện giải, nêu rõ
22. Lure (v): thu hút, nhử
23. Market research (n): nghiên cứu thị trường
24. Market share (n): thị phần
25. Medium (pl, media) (n): phương tiện truyền thông
26. Negotiation (n): sự thương lượng
27. Offset (n): bù lại
28. Pamphlet (n): tập sách nhỏ
29. Persuade (v): thuyết phục
30. Premium (n): hàng tặng kèm
31. Promotion (n): hoạt động khuyến mãi
32. Sales (n): lượng bán, doanh số
33. Sales volume (n): khối lượng hàng bán
34. Saturated (p.p.): bão hoà thị trường
35. Segment (n): khu, vùng
36. Self-service (n): cửa hàng tự phục vụ
37. Shelf space (n): chỗ trên kệ để bày hàng
38. Stimulate (v): kích thích
39. Tailored (p.p.): thiết kế cho thích ứng, làm cho phù hợp
40. Trade-in (n): hàng (cũ) đổi bù (lấy hàng mới)
41. Unfamiliar (adj.): không biết, chưa quen
42. Unit value (n): đơn giá
43. Wide audience (n): đông đảo khán thính giả

UNIT 10
INTERNATIONAL
BUSINESS
International business is a dynamic activity which changes, adapts, and responds
according to conditions. This lesson discusses four aspects of international business. The first
deals with the reasons for the existence of international trade and how it is a logical response to
the free market. The second section deals with government regulation of this free market. Next,
the lesson discusses the present method of monetary exchange made necessary by the control
governments exert over currencies. Finally, the concept of a multinational corporation is derived
as a response to the effects of the other three factors.
BASIC FCATORS AND IDEAS IN INTERNATIONAL BUSINESS
Most countries realize the advantages of world trade. Countries have developed their
economies, increased production of goods, and met market demands through increased world
trade. The interdependence among trading nations has provided increased business opportunities.
International trade develops because certain countries are able to produce some goods
more efficiently than other countries. They exchange goods to satisfy their needs and wants.
Efficient production may be the result of several factors. A certain climate in a particular country
may allow that country to grow agricultural products in abundance. For instance, the climate in
the United States and Canada are suitable for production of large amount of wheat. Natural
resources such as oil or coal are abundant in other countries. Countries with a large pool of
unskilled laborers are able to produce products which are labor intensive more cheaply than
countries with highly paid, skilled labor forces. Another factor is geographical location. Countries
like Singapore or Panama engage in banking and trading because they are located in world trade
routes.
There are several reasons why governments try to control the imports and exports of a
country. One reason is that a country enjoys an advantage if it exports more than it imports.
Wealth accrues to the exporting country. Some countries have special programs to encourage

exports. They may be programs that provide marketing information, establish trade missions,
subsidize exports, and provide tax benefits or incentives. Government subsidies allow company to
sell products cheaply. Sometimes these subsidized companies export their products and sell them
cheaply overseas. This practice is known as dumping. Dumping is selling on a foreign market at a
price below the cost of production.
On the other hand, governments impose taxes and quotas to restrict imports of certain
products. For example, to protect Japanese farmers, Japan limits the amount of produce that can
be imported. Sometimes governments want to protect a domestic industry because that industry
provides employment for the population. Not only the industries, but also the labor unions
encourage the government to enact protectionist controls.
Protectionist measures are in the form of duties which eliminate the comparative
advantage, or quotas which restrict the import of the product altogether. There are two forms of
import tariffs: specific and ad valorem. A specific tariff is a certain amount of tax for each unit of
the product, for example $500 for each automobile. An ad valorem tariff is based on the value of
the product, for example 5% of its value.
In order to import and export products, there needs to be a system of international
monetary exchange. While a few products like oil are always priced in dollars, most products
must be paid for with the legal tender of the producing country. International trade involves the
exchange of one currency for another. Most currencies are now exchanged on a floating rate basis.
There are no official exchange rates. The rates fluctuate according to market forces. If large
amounts of a country’s currency are being exchanged, the exchange rate may vary greatly because
demand, and therefore, the price of a currency is either rising or falling. Sometimes these great
fluctuations in value threaten economic stability; then central banks change market forces by
purchasing a foreign currency to support its price and maintain stability.
The amount of money that goes in and out of a country is referred to as the balance of
payments. If a country is exporting more than it imports, it is receiving foreign currency and has a
balance of trade surplus. If it is importing more than it exports, it is sending money out of the
country and has a balance of trade deficit. Continued surpluses or deficits change the demand for
the currency of a country and cause its value to float either upward or downward.
The comparative advantage which exporting countries enjoy sometimes changes. If
transportation cost increase or currency exchange rates change, it may become cheaper to produce
the product in the market country, especially if large amounts of exports are involved.
Exporting companies sometimes set up subsidiaries in the market countries. The largest
company is referred to as the parent company. Some countries have laws restricting the foreign
ownership of factories or other production facilities, while others encourage foreign investment. A
large company that sets up production facilities in several different countries is referred to as a
multinational. Multinational corporations develop a global philosophy of management, marketing,
and production. They choose to operate in those countries that afford them comparative
advantages.
A. PHONETICS
1. A. tender B. legal C. receive D. free
2. A. factor B. balance C. trade D. ad
B. VOCABULARY
Words Definitions
1. domestic a. branch company
2. dumping b. home
3. tariff c. a company with a worldwide management and production
4. ad valorem tax d. below cost foreign sale
5. balance of trade deficit e. tariff based on value
6. subsidiary f. duty or tax
7. multinational g. excess of imports over exports
I. Choose the answer which is consistent with the meaning of the sentence.
1. International trade develops because certain countries are able to produce some goods more
efficiently than other countries. They exchange these goods in order to satisfy their needs and
wants.
A. Countries import the goods which they produce efficiently.
B. Countries probably export the goods which are not efficiently produced.
C. Countries probably exchange goods which they produce efficiently for goods which other
countries produce efficiently.
D. Efficient exchange results from international trade.
2. A certain climate in a particular country may allow that country to grow agricultural products
in abundance.
A. This country probably has a comparative advantage in agriculture.
B. This country most likely exports farm products.
C. This country can grow food efficiently.
D. All of the above
3. A country can accrue wealth if it exports more than it imports.
A. This country has a balance of trade deficit.
B. Demand for this country’s currency will fall.
C. This country receives money from countries which import its products.
D. All is the above
4. Selling products abroad at prices lower than the cost of production is known as dumping.
A. Dumping is always against government policy.
B. Dumping is always beneficial to the importing country because buyers pay lower than prices.
C. Exporters dump products on foreign markets to lower domestic employment.
D. Some reasons for dumping could be inventory reduction, maintenance of domestic
employment, and continuation of high production level.
5. Multinational companies set up production facilities in countries where production is most
efficient.
A. All countries allow foreign ownership of production facilities.
B. The larger company is called the parent company, the production facilities are referred to as a
subsidiary.
C. Subsidiary companies eliminate the problem of worldwide competition.
D. Each subsidiary needs to consider only local market conditions.

1. How could unskilled laborers be an advantage to a country?
………………………………………………………………………………………………………
2. Why do governments try to control imports?
………………………………………………………………………………………………………
3. Why would a country object to foreign countries dumping goods?
………………………………………………………………………………………………………
4. What are two forms of protectionism?
………………………………………………………………………………………………………
5. Why might a country encourage foreign investment or the establishment of subsidiaries of
foreign countries?
………………………………………………………………………………………………………
D. WRITING
Make sentences from cues
1. country / exports / than / imports / balance / trade / surplus.
………………………………………………………………………………………………………
2. new / tariffs / make / imported / products / expensive / consumers.
………………………………………………………………………………………………………
3. Countries / export / than / import / rich.
………………………………………………………………………………………………………
4. developing / countries / encourage / multinational / companies / build / production / facilities.
………………………………………………………………………………………………………
5. government / established / quota / imported / beef / order / protect / domestic / beef / producers.
………………………………………………………………………………………………………
E. TRANSLATION
1. Ngoại thương tạo lợi cho các quốc gia buôn bán.
………………………………………………………………………………………………………
2. Công ty chính vừa mở một chi nhánh ở nước ngoài.
………………………………………………………………………………………………………
3. Các quốc gia bán ra nước ngoài sản phẩm hữu hiệu nhất trong nước.
………………………………………………………………………………………………………
4. Hãng Ford sản xuất phụ tùng ô tô ở một số nước ngoài.
………………………………………………………………………………………………………
GLOSSARY
1. Abroad (adv): ở nước ngoài
2. Accrue (v): tích luỹ
3. Ad valorem (adj.): dựa theo giá trị
4. Advantage (n): lợi thế, sự thuận lợi
5. Balance of payments (n) = balance of trade: cán cân mậu dịch
6. Currency (n): tiền tệ
7. Deficit (n): sự thâm hụt
8. Division of labor (n): sự phân bố lao động
9. Dump (v): sự hạ giá hàng xuất khẩu
10. Duty (n): thuế nhập khẩu
11. Exchange (n): đổi
12. Export (v), (n): xuất khẩu, hàng xuất khẩu
13. Free market (n): thị trường tự do
14. Global (adj.): trên qui mô thế giới, toàn cầu
15. Import (v), (n): nhập khẩu, hàng nhập khẩu
16. Interdependence (n): sự phụ thuộc lẫn nhau
17. Labor intensive (adj.): tận dụng lao động chân tay
18. Legal tender (n): tiền tệ chính thức của một nước
19. Multinational (adj.): đa quốc gia
20. Protectionism (n): luật bảo hộ mậu dịch
21. Quota (n): hạn ngạch
22. Subsidiary (n): công ty con
23. Subsidize (v): trợ vốn, bao cấp
24. Surplus (n): thặng dư
25. Tariff (n): khoản thuế đánh vào hàng nhập
26. Trade (n): trao đổi mậu dich, giao dịch thương
mại
27. Unskilled (adj.): không chuyên môn, giản đơn

REFERENCES
• ENGLISH
1. Boeckner, K. and Brown, P. C. (1993); Oxford English for Computing, Oxford University
Press.
2. French, J. T. (2001); You’re in Business!, NXB TPHCM.
3. Glendinning, E. H. and McEwan J. (2000); Basic English for Computing, Oxford University
Press.
4. Glendinning, E. H. and McEwan J. (2002); Oxford English for Information Technology,
Oxford University Press.
5. Grant, D. and McLarty, R. (2004); Business Basics, NXB Đà Nẵng.
6. Jones, L. and Alexander, R. (1996); New International Business English, Cambridge
University Press.
7. Jones S., Macziola and White G. (2000); Further ahead, Cambridge University Press.
8. Jones S., Macziola and White, G. (2000); Getting ahead, Cambridge University Press.
9. Lawrence E., Corbitt B., Fisher J., Lawrence J. and Tidwell A. (1998); Internet Commerce
– Digital Models for Business, John Wiley and Sons Australia Ltd.
10. Mackenzie, L. (2001); English for Business Studies, Cambridge University Press.
11. Moore, C. J. and West, J. (2005); Enterprise 1, 2, 3, A division of Heinemann Publisher Ltd.
12. Norman, S. (1983); We’re in Business, Longman.
13. Santiago and Esteras, R. (1999); Infotech-English for Computer Users, Cambridge
University Press.
14. Sweeney, S. (2000); Communicating in Business, Cambridge University Press.
• VIETNAMESE
15. Bộ Thương mại (2006); Báo cáo Thương mại điện tử Việt Nam 2005.
16. Thạc Bình Cường (2005); English for IT and Computer Learners, NXB Khoa học và Kỹ
thuật.
17. Lê Văn Được (2003); You’re in Business! Textbook – Workbook and Answers (Adapted from
“You are in Business!” by John Thomas F
rench), NXB Thống Kê.
18. VN-Guide (2002); English for Computer Science, NXB Thống kê.
19. Quang Minh (2004); 28 Basic Lessons for Information Technology English, NXB Thanh
niên.

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Vietnam – Korea Friendship Information Technology College

technology which has a very close relationship with e-commerce.

This course aims to:

• Develop students’ comprehension of business, economics and information technology in

especially reading comprehension

• Provides a good foundation for further studying

English For E-Commerce 1

Unit 1: Wap Phones.....................................................................................................................3

Unit 2: Security and Privacy on the Internet................................................................................6

Unit 3: Online Services................................................................................................................10

Unit 4: Legal Forms of Organization...........................................................................................14

Unit 10: International Business....................................................................................................48

English For E-Commerce 2

Task 1: Answer the questions

1 2DAY today 15 ATB

Task 3: What do these abbreviations mean?

Task 4: Match the paragraph with its main idea

Paragraphs Main ideas

Task 5: Answer the questions

Task 6: Decide whether the following statements are True or False

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Task 3: Match the text with the correct picture

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Task 4: Match the word in A with its corresponding definition in B

Task 5: Match the paragraph with its corresponding main idea

Paragraphs Main ideas

Task 6: Complete the sentence by using a term from the text

Task 7: Answer the questions

Task 1: Answer the questions

Task 2: Answer the questions

1. Do you think the English in the text is

2. Do you think this article originally appeared in

Task 4: Match the word in A with its synonym in B

(agtvndaaes) of their services. Each one offers something which is either………………..(uqinue)

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II. Answer the questions

24. Proprietorship (n): quyền làm chủ doanh nghiệp nhỏ

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Production is the process of making something of value. It means bringing together

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II. Write a paragraph

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II. Answer the following questions

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II. Answer the following questions

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II. Answer the following questions

II. Put the words in a correct order to make a meaningful sentence

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II. Answer the following questions

Paragraphs Main ideas

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II. Answer the following questions