WHAT IS A BUSINESS?
29 de septiembre 2015
A set of texts and exercises that will help students to improve their skills on listening and speaking. These texts will be read by the Language Assistant.
TEXTS AND EXERCISES M´ª Isabel Pérez Ortega
TEXT ONE: WHAT IS A BUSINESS? The economy is divided into different business sectors: agriculture, fishing, manufacturing, etc. The businesses exist to provide goods or services to our society. All businesses have inputs and outputs and must add value during production. A business is any organization that makes goods or provides services. There are many types of business; from small firms owned and run by just one selfemployed person till large companies with many of workers. Businesses are very important because they rely on society’s necessities. If there is a necessity, then we can start up a business. Sometimes we can also create a specific necessity to people. For example, nowadays everybody has a mobile phone although 25 years ago you would not need it at all. Therefore it is said that business must be part of our society to fulfil those necessities and to provide goods and services needed. Goods are physical products such as burgers or cars. Services are nonphysical items such as hairdressing. Customer needs are the wants and desires of buyers. Nearly half a million businesses start up each year. A business start- up is a new firm operating in a market for the first time. Most of the businesses are very small and operate in the service sector. Businesses buy the products they need from suppliers – firms selling products to other businesses - and sell to customers. The individual who uses the product is called a consumer. Businesses sell to customers in markets. A market is any place where buyers and sellers meet to trade products-Businesses are likely to be in competition with other firms offering similar products.
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
2
The language assistant will try to give us a definition of five words in bold and students will have to find those words within the text. EXERCISE 1 # VOCABULARY. Match every word with its meaning WORD
MEANING
Business To provide Goods and services Inputs and outputs To value To own To run a business The wants and desires A business start-up Supplier
Suministrador Valorar Tener, poseer Bienes y servicios Entradas y salidas Negocio Proporcionar Empresa que comienza Llevar un negocio Lo que se quiere y desea
3
EXERCISE 2 # VOCABULARY. Fill in the gaps with one suitable word that are below Provides, divided, sector, firm, self-employed
1-The economy is ________________ into different business sectors. 2-A business is any organization that makes goods or ____________ services. 3-Small firms owned and run by just one _________ person and large companies with many of workers. 4- A business start- up is a new ______ operating in a market for the first time. 5- Most of the businesses are very small and operate in the service _________. EXERCISE 3 # VOCABULARY. Read the sentences slowly and write down if they are right or wrong R/W 1 Nearly half a million businesses start up each year. 2 Suppliers are ordinary people who buy things to sell them to the customers 3 Goods are non-physical items. 4 Small firms are owned and run by one self-employed. 5 Business exits to fulfil God’s desire
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
AUDIO 2: ADDING VALUE In order to create goods and services, a business buys or hires inputs such as raw materials, equipment, buildings and staff. These inputs are transformed into outputs called products. These products are the goods and services that consumers use and need. Production is the business activity of using resources to make goods and services. A business adds value when the selling price of an item produced is higher than the cost of all the resources used to make it. Think of a pair of designer sunglasses which sell for £100. If the cost of the materials, employees, marketing and all other inputs used in making one set of sunglasses is just £20, then £80 worth of value has been added by the firm during production.
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
4
The language assistant will try to give us a definition of five words in bold and students will have to find those words within the text. EXERCISE 1 # VOCABULARY. Match every word with its meaning WORD
MEANING
To hire Raw materials Buildings staff Inputs Outputs Resources To add Designer To value
Valorar Personal Entradas Recursos Añadir Materias Primas Contratar Edificios Salidas Diseñador
5
EXERCISE 2 # VOCABULARY. Fill in the gaps with one suitable word that are below Business, produced, consumers, transformed,
1-Inputs are ______________into outputs called products or services. 2- Products are the goods and services that ___________use and need. 3- Production is the _____________activity of using resources to make goods and services. 4- A business adds value when the selling price of an item _______________ is higher than the cost of all the resources used to make it EXERCISE 2 # VOCABULARY. Read the sentences slowly and write down if they are right or wrong R/W 1 Inputs are transformed into outputs called products. 2 Raw materials are an example of inputs in business. 3 Production is the business activity of using resources to make goods but not services. 4 Adding value is not an important item in the business world.
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
AUDIO 3: PRIMARY, SECONDARY AND TERTIARY SECTORS There are three main types of industry in which firms operate.
Primary production: this involves looking for raw materials. For example, metals, coal, oil, wood, foodstuffs farmed and fish. This is sometimes known as extractive production. Secondary production: this is the manufacturing and assembly process. It involves converting raw materials into components, for example, making plastics from oil. It also involves assembling the product, eg making cars, building houses, bridges and roads. Tertiary production: this refers to the commercial services that support the production and distribution process, eg insurance, transport, advertising, and other services such as teaching and health care. The chain of production shows interdependence: firms rely on other businesses in different sectors for raw materials, components or distribution.
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
6
The language assistant will try to give us a definition of five words in bold and students will have to find those words within the text. EXERCISE 1 # VOCABULARY. Match every word with its meaning WORD
MEANING
Main Firms To operate To involve Manufacturing Assembly Tertiary Chain Interdependence To rely on
Actuar/operar Principal Implicar Terciario Cadena Depender de Montaje Fabricación Firmas comerciales Interdependencia
7
EXERCISE 2 # VOCABULARY. Fill in the gaps with one suitable word that are below Manufacturing, on, production, Involves, known 1- Primary production ______________looking for raw materials. 2- Coal, oil, wood, foodstuffs farm and fish are sometimes ---------------------as extractive production. 3- Secondary production is the__________________ and assembly process. 4- Tertiary production refers to the commercial services that support the _________________and distribution process. 5- Firms rely ____________other businesses in different sectors for raw materials, components or distribution. EXERCISE 2 # VOCABULARY. Read the sentences slowly and write down if they are right or wrong R/W 1 Looking for metals is an example of Primary production. 2 Making plastics from oil is an example of Secondary production. 3Building houses and bridges are example of Tertiary production. 4 Transport and insurance are example of Primary production 5 Advertising and teaching are example of Tertiary production
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
AUDIO 4: WHY SET UP A BUSINESS? An entrepreneur knows that setting up in business is a risk. Entrepreneurs need a robust business plan detailing market research, competitor analysis and a good knowledge of the market. 8
Why start a business? The skill involved in wanting to start and run a business is called enterprise. The individual who sets up their own business is called an entrepreneur. There are several reasons why entrepreneurs are willing to take a calculated risk and set up a business. Possible motives include:
Making a profit. A business does this by selling items at a price that more than covers the costs of production. Owners keep the profit as a reward for risk-taking and enterprise.
The satisfaction that comes from setting up a successful business and being independent.
Being able to make a difference by offering a service to the community such as a charity shop or hospice. A new business needs its own name and a product. The challenge is to make goods and services that satisfy customers, are competitive and sell at a price that more than covers costs.
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
The language assistant will try to give us a definition of five words in bold and students will have to find those words within the text. EXERCISE 1 # VOCABULARY. Match every word with its meaning WORD
MEANING
Entrepreneur To set up Risk Robust Detailing Research Enterprise To be willing to Profit Items Reward Charity shop Hospice
Beneficio Robusto Comenzar, instalar Investigación Hospicio Estar deseando que Premio Artículo, producto Tienda para la caridad Emprendedor, empresario riesgo iniciativa, empresa detallando
9
EXERCISE 2 # VOCABULARY. Fill in the gaps with one suitable word that are below Competitor, Risk, take, Making, own, 1- Setting up a business is a ______________. 2- You need a robust business plan detailing market research and ____________ analysis. 3- An entrepreneur is an individual who sets up his__________ business 4- Entrepreneurs are willing to _________ a calculate risk. 5-____________ a profit is the only goal of every single business. EXERCISE 2 # VOCABULARY. Read the sentences slowly and write down if they are right or wrong R/W 1 Profit is seen as a reward for risk-taking 2 t isn’t a great satisfaction to get a successful business and being independent 3 A new business needs its own name and a product 4 to make goods and services that satisfy customers is not a challenge at all 5 being successful need not require selling at a price that more than covers costs.
Mª Isabel Pérez
E.I.E-Inglés
2015-2016
AUDIO 5: TAKING A CALCULATED RISK A new business starts out with few, if any, customers and it will be difficult to face competition from existing firms. To succeed it needs to plan its launch carefully and work out how to create a competitive advantage over its rivals. To gain this advantage, it needs to offer a product which customers prefer to a rival's product. Setting up a business involves risks and reward. Profit is the reward for risktaking. Losses are the penalty of business failure. An owner may decide to close a business if losses are being made, or if the level of profit is not enough to make trading risks or hours worked worthwhile. A business plan Most small businesses have very limited resources. Research is expensive and some entrepreneurs feel that it is wasting time. Some entrepreneurs ignore planning and analysis and prefer to rely on their instinct. They launch products they believe customers want and competitors cannot match. Poor planning is a major cause of business failure. There is an alternative. A business plan is a report by a new or existing business that contains all of its research findings and explains why the firm hopes to succeed. A business plan includes the results of market research and competitor analysis. Analysis is when a business interprets information. Starting up a business plan obligates owners to think about their aims, the competition they will face their financial needs and their profits. Business plans help to reduce risk and reassure the banks.
MÂŞ Isabel PĂŠrez
E.I.E-InglĂŠs
2015-2016
10
The language assistant will try to give us a definition of five words in bold and students will have to find those words within the text. EXERCISE 1 # VOCABULARY. Match every word with its meaning WORD
MEANING
To start out Likely To face Launch To work out Rivals To gain Losses Penalty Failure worthwhile
Probable Hacer frente Comenzar fracaso pérdidas Resolver, calcular Obtener, ganar, Rivales, competidores Lanzamiento Castigo, sanción Vale la pena, merece la pena
11
EXERCISE 2 # VOCABULARY. Fill in the gaps with one suitable word that are below entrepreneur, risks, reward, launch, penalty.
1- A new business needs to plan its ________carefully and work out how to create a competitive advantage over its rivals. 2- A new __________needs to offer a product which customers prefer to a rival's product. 3- Starting up a business involves _______ and reward. 4- Profit is the ________ for risk-taking. 5- Losses are the __________ of business failure. EXERCISE 2 # VOCABULARY. Read the sentences slowly and write down if they are right or wrong R/W 1 Most small businesses have unlimited resources. 2 Some entrepreneurs feel that researching is wasting time. 3 Starting up a business plan obligates owners to think about their aims. 4 Business plans don’t help to reduce risk and reassure the banks.
Mª Isabel Pérez
E.I.E-Inglés
2015-2016