OVERVIEWV

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Vocabulary Describing relations Listening

Relationships in a

global market
Reading
AIG knows everyone

Language review Multi-word verbs

Skilts
Networking Case study Getting to know you

Oiscuss these questions.

r
z

what are the most important relationships for you a) at your place of work or study? b) outside your place of work or study?
What benefits do you get from each retationship?

wara Lincoln,.Business Retations Manager with an internationat training organisation, is tatking about areas for companies to consider in order to buitd strong business relationships. what factors do you think he witt mention?

C ! 3.1 Listen to the interview and check the predictions you made in Exercise B.
@
lnswer the questions in the quiz. Then turn to page 153 to find out how good you are at building retationships.

c)
you

O" you think smalltatk is

a) enjoyable? b) a waste of time? c) difficult to do well?

3 Buitdingrelationships
rl' .Y Do you,prefep
.l:

a) not to socialise with colleagues? b) to socialise often with colleagues?

,1

&_ F Do you like to have conversaiions a) with people who share your interests? b) with almost anyone? c) with people who are your social equals?

S
Describing relations

fne verbs betow are often used with the word relations.
Use them to complete the table.

+reaKe+f Ot*++up cement foster::' cut off develop disrupt :i encourage esta'btish eqdanger - ,', improve jeopardise maintain promote strerlgthen ,.ildr. ,.rt*. darnage ,dw underfriine
Positive meaning

build up reldtionb

breaK

off re[ationt

@ Choose the correct verb in each sentence. r Sates staffwho are impolite to customers
of a company.

disrupt I damage the reputation

z We are planning to promote I establish branch offices in Singapore. 3 By merging with a US company, we greatly strengthened I maintained our
sales force.

4 Our image has been fostered I undermined by poor after-sales service.

5 Thanks to a new communications system, we are souring retations with supptiers. 6 A strike at our factory resumed

I improving

7 We could not agree on several regarding a joint venture.

I disrupted production for several weeks. points so we broke off I cut offlalks

8 The success of our new product launch was resumed I jeopordised by an unimaginative advertising campaign.

9 ln orderto gain market share in China, we are building up I cutting offa

sales network there.

ro Relations between the two couniries have been endangered I fosteredby official visits and trade delegations.

tvtatctr the fottowing sentence hatves. Then make five more sentences with the verbs in Exercise A and B.

r
z 3

Widespread rumours of a hostile take-over bid are certain

The Accounts Department's very

a) are a credit to its highty effective PR

Department.
b) have cemented relations between

slow payment of invoices

The [ong-term contracts, which will run for the next five years, relations the company enjoys with the local

the two companies. its close relations with several major foreign investors have been ieopardised. d) is causing stormy relations with some of the company's suppliers.
e) to strain retations between the two leading French software companies.

4 The excellent
community

As a result of the government's

imposition of currency controls,

I
ring relationships

@A
Relationships in a global market

3.2 Listen to the first part of the interview with Agnes Chen, a Chinese business executive, who travets frequentty on overseas trips. Make-notes on the fotlowing points.

r
z
3

Doing business in South America Doing business in China

The best way to buitd a business retationship

@n

33 Listen to the second part of the interview and give an oral summary of

^& Agnes Chen

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AIG knows

everyone

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_

skim the articte [Link] to find the answer.

@ wnr,

do the fottowing numbers in the article refer to?

:'66 7992 7979 8o,ooo 13o

@ @
W6o are the fottowing peopl.e mentioned in the article: Mourice Greenherg, Cornelius Vander Storr, Edmund Tse? Rccording to the article what are the main factors responsible for AIG's success in Asia? nead the articte and answer these questions.

r
z

What objective does AIG have in China? What does Mr Greenberg see as his role in the company?
Why is Asia important to AIG?

I
@ @

f ina three verbs in the articte which combine

with the noun relationships to

mean develop.

fina phrases (adiective and noun) in the article which

1"

mean the following.

unused possibilities (paragraph 3) 2 continuing in the same place for a great length of time (paragraph 5) 3 unlimited entry (paragraph 8) 4 representatives connected to a company (paragraph ro) 5 devetoping sales areas (paragraph rz)
6 important talks (paragraph r3) 7 most important countries (paragraph r3)

oiscuss these questions. t What can spoil relations between companies?

2 A foreign company is opening a branch in your country. What factors should

it consider?
ln your experience are certain nationalities better at buitding relationships than others? lf so, which ones? How can you build good business retationships?

Building relat,

:iri

one in Asia
By Shawn Donnan et al
AIG,. American International Group, has grown from a small Shanghai-based underwriting agency into the world's largest 5 insurer by market value. It has a capitalisation of $166bn, and is fiimly embeddedin Asia's corPorate culture. Indeed. with roots

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dating back more than half a century, and the constant focus on the region bY Maurice Greenberg,

its Chairman, AIG has an unrivalled scale of oPerations and a wealth of political and business
insurers, the company is both a benchmark and a Powerful com-

15. connections.

For other US and EuroPean

petitor. 'TheY know anYone who is

2o anyone in Asia.'

However, in order to continue to prosper, AIG will have to succeed in China - Probably ihe insurance market with the 25 biggest untapped potential in the world.

Mr Greenberg, AIG was the first foreign insurer to be allowed into 30 China, in 1992. It now oPerates in eight cities but admits rnaking onty 'a small Profit' in the coun' try. Today, turning its Pioneering presence into a commercial suc35 cess is AIG's biggest challenge. In China as with the rest of

[Link] 1? years of lobbYing bY

ing presence. The grouP was 40 founded in Shanghai in 1919 bY

Cornelius Vander Starr, az1-Year' olcl American entrePreneur. d

Asia, AIG's main advantage over its competitors is its long-stand-

Mi Greenberg knows quite 'a access to its vast insurance m-arThat historical accident, and few people. His style has alwaYs rememalwaYs 'The Chinese ket. quest to ttre to exPand Mr Starr's gs been to discuss big issues - corpo45 rest of Asia in the ensuing 10 70 ber good fti-ends;' says Mr Tse..l( rate, political and economic with 'friendshiP' But years, are still benefiting the comwith anyone he meets. One anathe tap to enough is not China pany. Over the Past nine deQades, lyst refers to AIG as a'sovereign l-os9

.tewarded'with

unrestricted

licence in 1992.

if its

'

atC Uuitt on those foundations

50 relationships with Asia's golern; ments, regulators and Powerful

through endlessiY Puisuing close

its main
without

country's Potential, AIG maY

a strcng Asia; AIG

growth engine. And

in high-level discus. sions. 'If you're deaiing with the businessmen. premrer o-i president of a country, [Link] Tse, who runs the he is not thrilLed to have a dePutY 130 countrieq but mrrg|r in agents assur: life and Asian operations conr.e and see him. Even if a Qou!1; individ105 to 80 down is its success of 55 anae worldwide, says AtrG's policy try is not one of the leading relationships. ual is to build relationshiPs with as nations in the world, that countiY relationshiPs those sf Many as many influential PeoPle Possiis important. It's imPortant to Maurice bY forged been have ble. llf you wanf to do business, him and it's important to us.' . ' : chairthe [Link]'s Greenbelg, you have to be friends with senior 60 ieaderc,' he says., lYou need to be 85 man and chief executive. From the Fit?ancial Times ' Mr Greenbers sayqthat Ptaying friends with the head-of state, the game has given AIG an long the minister the minisler of finance, edlge, particularlY in terms of of trade, the lcentral] bank gover: investiirg in emerging marketsnor and the insuralce regulator.' for 17 65 AIG believes its three d99_ad9s 90 He courted the Chinese FTNANCIAL TIMES granteil
be a much weaker company. AIG may be a comPanY of 80,000 ernployees -and 359,000 .affiliated

?5

:,iorporate nation' as Mr Greenwould rm berg insists on representing the company

spent 'corirting China

wilt

be

years before being

Jing relationships

Multi-word verbs

Multi-word verbs are particularly cularly common in spolcen English. They are made -uA" $ with a verb and particles such rch as at, qway, down dowi and off. oy. {our iour t),fles ryp., are: ur., F I Wirhout an object l'm going to be tied up in meetings etinss au att day. 2 With an object - separable [n rhe excitement of [Link] off ,fith, the competirion, ,o*prtilion, managers become carried away. away. I In the excitement of beating the he compefirion competition o[f, off, managers manigers become carried awiy. awiy,. H E 3 Wirh an object - inseparable l'll look into the mafter immediately. 4 Wirh rwo particles Organisations are beginning to wake up to these lost opportunities.

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page 13l

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@ ! 3-4 Two managers are tatking about buitding retationships with agents. Put the conversation in the correct order. Then tiiten and checkyou, ",L*"r, r) welt, I hopeyou geta result. r mustbegoing. E r'vegottodrawupan

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I results were terrible. we tried to buitd up market share I o just but it fes. Q1r I []

agency agreement mysetf, I've put it off far too long Ol What exactty was the

probtem?

already.

E I I I I I
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didn't happen. we just managed to hotd on to what we had. al unfortunately, our agent let us down. we thought we could count on him to boost sares but he had no commitment, no motivation. He shoutd be. He's got a very good track record. wed set up a meeting "l on Friday, but he had to catt it off _ something came up. tl How's it going in France, Gina? we didn't do too wertthere last year. d Wel[, I suppose you terminated his contract then. ttl Good. Let's hope he'[ be better than the last one. il Att the best. Speak to you soon.
Yes, there was no way we could renew it. we sounded out a few

possible reptacements and found someone else. we get on reatty wett.

Unaertine att the multi-word verbs in the conversation in Exercise A. Then match each one to a verb phrase with a simitar meaning below.

have a friendly retationship

z depend on / reiy on 3 make bigger / stronger 4 keep / maintain 5 postpone / detay

6
7

find out opinions disappoint

arrange compile

/ intentions

8 9

/ write down

(!

Rephrase these comments using the

;:dffil

verbs from Exercise A.

We can't hotd the meeting tomorrow. We'll have to call the meeting off tomorrow.

z Let's have the presentation next week - we're too busy at the moment. 3 We always know our suppliers will meet their deadlines.
4 we have now estabrished a first crass distribution networr< in Europe. 5 Coutd you please prepare a contract as soon as possibte? 6 Coutd you fix a meeting with them for next week? 7 We've kept the same market share as we had last year. 8 The new sales manager is very popular with his team.
261

f:Ii,=iit:

Buitding rela

good business @ G 3.5 Networking is a vitat part of estabtishing at business conferences.

For each retationships. Listen to four conversations or false. true are one decide whether the statements r a) The first speaker introduces herself straightaway. b) The second speaker doesn't remember her untiI she introduces herself. z a) The second speaker knows that Henry Wittis is in New York. b) The second speaker offers to contact the NewYork office.

3 a) Both speakers know Jon Stuart.

b) The second speaker isn't abte to offer any hetp. zl a) Both speakers have been doing business in Asia for some time. b) ln the end they establish an area of common interest.

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3.6 Listen to the tetephone conversation, then answer the questions. What is the purpose of the cat[? Does it have a successfut outcome? Why? Why not? 3.6 Now listen again and comptete the extracts from the conversation. . Silvana I ...... . me .......... .... you don't .
said it would probabty be 0K.
ls it a

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. time to ring or could I ca[[

you
...

.. at a .. me on

better time?

Silvana
fran ch isi n g contracts.

.. that you might be able to .. , ..

Mmm, I don't know. I coutd maybe give you a littte hetp, but I know someone
in that area. You haven't got her phone number
?

Work in pairs and rote ptay these situations. The owner of a department store visits Moscow to find a supplier of amber jewellery. Hei She phones a Russian contact recommended by a cotteague. The owner wants to find out if the Russian is interested in doing business

with hisi her company. You are networking at a conference about sports goods. You are either a Sales Manager, turn to page 146 or a Sports Goods Wholesaler, turn to page 155.

Useful tanguage I
Mentioning people you know
Harry Kaufman suggested I gave you a call. I was given your name by Jon Stuart.

Asking for hetp / contacts Can I mention your name when I calt him? He mentioned that you might be able to help me. You haven't got his phone number by any chance? ls this a convenient time or shatl I cal[ back later?
Referring to previous meetings Haven't we met somewhere before? We both went to that presentation ...

Giving advice
I suggest you give her a call. You coutd try to track him down through our New York office.

Estabtishing common interests Maybe we could help you out there. Are you in sales or product development?

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Backgnound
Kimsoong, a Korean car manufacturer, has its European headquarters near paris. It has rerail sales lranchisr coun rri es whi ch :,T "" have servicing accessories but also facilities. The larger outlets also offer furr_frrti.rs ot tyres and exhausts, and deal in used Jars. Over th.e last ten years Kimsoong, with its reptrtation for reliability at low prices,
have built up market share at the lower end of the marker. Their basic modets l,[Link] many'extras' which other -unrlfu.t,rr"r, charge for. Kimsoong also makes [Link] to environmental groups ind is seen as an organisation with a social conscience. Furthermore, its R&D Departmenr is developing an .eco_car., which uses an alternaiiuelo*"r rorr...

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Problenns
Intense competition is forcing Kimsoong to consider new ways of generating business. Management believe that if the company looks after existing customers well, they may buy three or four Kimsoong vehicles over a ten-year period. Therefore, Kimsoong's new strategy is to hold on to existing customers and increase customer loyalqr They also hope to develop a more accurate buyer profile (At present, data is from questionnaires sent to customers following sales trut only 40% are returned). However, because of pressure on profits, they need to achieve these objectives at a low cost.

Sotutions
A customer loyalty programme will be: developed by the Customer Services Department at head office. It witl be available to all European franchises and costs will be shared 50/50 with head office Its aims are: r to build up long-term customer relationshi ps, thereby in creasing profits r to increase customer loyalty . to draw up an:, ..:ii*irBl r to enQ.BF_r?i.9O [Link] up gr
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Work in sma[[ groups. You work in Customer Services at head office.

Think of five ideas to include in Kimsoong's customer loyatty programme. 3.7 Listen to two directors of the company exchanging ideas about how to foster customer loyatty. Make notes on the five suggestions they make.

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, O 3 4

Writin$
Choose a company you are farniliar with. Write a sales letter to Roger Eastwood, one of a group of priority customers. Outline a special offer which you are

Consideryour ideas and those ofthe directors. Choose the best four ideas to include in the company's programme.
Meet as one group. Discuss your ideas and decide on the best four to include in the customer services programme.

making to this priority customer group. Make your letter appear as personalised
as possible.

Wri.t;n.o filpnq<te 1?R

retationshi
@
Stuay how Speaker B responds to what Speaker A says. Focus on the words
in italics.

A: lt's good to hear that they're thinking of resuming diplomatic relations, isn't it?
B: Yes. That's great. Restoring relations is probably the best decision they

could make.
Now take Speaker B's part. Use the correct form of a verb from the box in

your response.

e++danger maintain strengthen

foster

build

up

sour

rA:
zA:
3A: 4A: 5A:
B:

l'm afraid lack of communication is nowleopardising our relations.

B: I agree. I

think it reatty

...q(1.4A!1gef0

. future cooperation.

Getting rid of those trade barriers should cement the friendship

between our countries.

B: Absolutely.'.

Their firm has developed considerably.

.

B: Yeah.

The key question is, how can we encourage cooperation between our organisations? What do you reckon damaged our relations with GlenStar?

B: Definitety.

Well,.
Do you think we should stay in close contact with those suppliers?

6A:

B: Yes.

Complete the foltowing sentences with the best word.

Relations between them are rather

.etq![Link],.

They don't seem to like or

trust each other.

a)

amicable

b) cordiat

c) strained

Their continual interventions

.. a) corrupted b) broke off

a)

.. the whole meeting.

c) disrupted

Their working retationship was often argument and criticism.

... , with lots

of angry

stormy

b) coot

c) close

They may be our competitors, but we want to with them. a) in b) on c) over

stay

....

good terms

lf you want to do business with someone, first you shoutd try to

a rapport,

a) improve

h)

estabtish

c) promote

Buitding relationshiy

Comptete the short article betow with an appropriate form of a verb from

the box.

buitd

deal

face

implement

pifipif,+

understand

Over 55 per cent of major retailers have seen their profits reduced because they are faiting to adjust to new customer shopping trends and the move towards internet buying, according to a recent report. l two key elements for a successful strategy. First, it The report . says retailers need to the value of each customer. Second, retailers need to acquire and .3 a relationship with the customer across a range of channels including the internet.

BtCIPa0t\..

..... ...

Apparently, many of the major retailers have not .4 strategies that * including . ... s with customers who routinely use a range of channels phone, internet, catatogue and in-store visits - before they buy. The report adds that without a change in strategy, . . ..6 the risk of losing their relationship with the new'networked consumers'.

...

retailers

tvtatctr the foltowing sentence halves, as in the example.

They're going to be sharing

this office,
Customers willtolerate a tittte detay
3 They didn't hit it off at first,

but are untikely to put up with rudeness.

b) so it came as a surprise when they felt out over such a trivial

incident.
c) a customer who has a problem.

4 They'd always seemed to be on good terms,

5 They

d) so they'd better learn to get on

wilt never let down 6 You should be able not onty to relate to your employees,

together.
e) but also to hotd on to them.

f) but tittle by tittte they came to

be friends.

@ tvtatctr each item on the left to a suitable item on the right to make complete
sentences that make good sense. They've put off the date of signing the contract till 3o October although
2 They hit it off straight away atthough

a)
b)

come and see me at ro.3o. we'd allagreed on r5 November. but she doesn't mind uncomfortable hotels.
I

3 Even though they've let us down on a number of occasions,

c) d)
e)

think we should give them another chance.

4 l'm going to be tied up in a meeting till [Link], so 5 They just don't seem to get along although 6 She can put up with almost anything

they have exactly the same tastes. but she can't stand untidiness.
we should,definitety look for another supplier. they don't seem to have anything in common. come and see me round about n.3o.

0
g) h)

i)

D we'd a[[agreed on r5 October.

Complete each of the fottowing sentences with the appropriate form of a suitable phrase from the box. rc*efea+rrcg-away to cut something down to sound somebody out

to get wrapped up
to turn something

/ somebody into

to wake up to something

He ...TatA... so . . .&fflqd.q4qy.... in the excitement of securing orders and delivering the product that sometimes he actuatly neglects the customers themselves.

Organisations are just beginning to opportunities that faiture to retain customers represents.
As a manager, you have to think of ways of a client, then a supporter and an advocate.
.

.. the lost

.. to

a customer

lf we want to improve our performance, we need number of customers we lose.

..... . the

It's easy to get so ... .. in your products and services that you forget about the people who buy them.
We are definitely going to create a new post, so I suggest we should

.......

a few peopte about it.

Complete each sentence with the correct tinker.

Sanlito and RKB have only been doing business for a couple of months. ..N,eVgfthglgl{.. , santito;s *anug"rent has atready given RKB their full
confidence. a) Despite

b) Neverthetess

c) Besides not to do

z
3

Their prices are very business with them.

competitive. ....... , we have decided

b) Although

a)

Nonetheless

c) Furthermore

We reached out to customers with special offers, continuity programmes

and appreciation

letters

a) However

b) Despite

. , customer retention did not improve. c) Even though

4 5

Negotiating prices and securing orders is very .. r.... , ensuring that the customer remains a customer can be less stimulating.
a) Moreover

exciting.

b) ln spite of

c) On the other hand

.

He likes keeping himself to entertaining suppliers.

himself.

..... . he spends
c) Yet

a lot of time

a) As wetlas

b) Besides

Stuay these sentences; then decide whether the three statements betow are true or false.

Although their prices are very competitive, we have decided not to do business with them.
Their ads are hardty noticeable. Nevertheless, they keep attracting new customers. however, yet and on the other hand are alt used to contrast ideas.

a) Although, even though, in spite of, despite, nevertheless, nonetheless, b) Although, even though, in spite

of and despite are used to link parts of a

sentence together.

c) Nevertheless, nonetheless, however, yet and on the other hand are used to tlnk ldeas across sentences.

i-

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[Link].

nships

A sates

letter O

Read the direct marketing letter below and cross out the one sentence which

does not

fit in.

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SuPPLltS INTIRNATI(}NAI

I (OnnaUght plaie [dinburgh tHI lty Tel / [ax 0ltl lll t650

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[-.

Potler

[u1uro Off]ce
98 Artillery Lane
l'-larefleld, Uxbridge

Middlesex U87 5LS

I September

Dear Mr Potter;
Thank you for doing business with us for over three years.

continues

We continue to be one of the world's leading business-to-business suppliers of offlce products and services, and our motto to be')ur job is to moke your job eosiei.
Now, be prepared to be surprised about our latest additions to our wide range of products: Morrison's combined PXL- 100 Laser Copier / Printer / Scanner - it does what none of the competition

is able

to do

in the

. .

same way

our new colledion of 'Wizard'offce chairs

our recently expanded colleclion of 'Avalon'seminar chairs,

For more information, calll FREEFONE 0800 123 9876 or visit our website: [Link]

to provide you with more information and to serve you betten Let us know what you think about [Link] company runs other funds that would have competed with the joint venture. Register with our site by I October and win an ergonomic desk chair worth {300.
You will notice that our site has been completely redesigned

We would also like

. .

to draw your atlention to our special offers for

regular customers like you:

up to 30% discount offthe normal purchase price on ALL orders placed in October free consultations

We look forward to continuing our business with you.

Best regards,

Fvv"^^-L^4.--r
Frank Lindsey

General Manager: Morrison UK

Vou work for Futuro Office. Write a short repty (roo

15o words)

to Morrison

Office 5u pplies lnternationat.

Express interest in one of the three products mentioned in their letter and
req uest fu

rther information.

o
e
UsefuI language
Thank you for your letter of ...

Enquire about the exact discount for that particular product.

Te[[ them what you

think about their new website.

We wsuld like to take this opportunity to ...

Could you please let us have further details of ... Could you please specify...
We would welcome more information

Meanwhile, we would like to.,.

We look forwa,rd to hearing from you.

about...

We took forward to your letter. Yours sincerely,

As regards your ... Regarding vour

...

Best regards,