Final ESP Revision - English for Business Studies PDF

lOMoARcPSD|31525086 Final ESP revision - English for Business Studies English for Business (Trường Đại học Ngoại thương) Scan to open on Studocu Studocu is not sponsored or endorsed by any college or university Downloaded by L...

lOMoARcPSD|31525086 Final ESP revision - English for Business Studies English for Business (Trường Đại học Ngoại thương) Scan to open on Studocu Studocu is not sponsored or endorsed by any college or university Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 REVISION ESP1 UNIT 1 MANAGEMENT 1. The functions of management/ The roles (tasks) of a manager? - Planning (setting objectives) strategies, precise tactics, allocating resources - Organizing analyse and classify the activities; divide the work; sellecting people - Integrating (motivating and communicating) pay and promotion; organize and supervise subordinates - Measuring performance - Developing people 2. The differences between a manager and a leader? Manager Leader - Goal-oriented - Human-oriented - Do the right thing - Do the things right - Boss-subordinate relationship - Teammate relationship - Control risks - Take risks - See performance - See potentials - Set the goal - Set steps to the goal UNIT 2 WORK AND MOTIVATION Vocabulary: - Remuneration (n): total amount of payment for work/services (salary, commission, bonuses, perks) [total compensation] + Remuneration package: salary + other benefits - Pay rise - Performance-related pay: pay depends partly on reaching (meeting/achieving) agreed targets - salary (white-collar jobs): basic salary is before overtime, sales commissions [work on commissions], car allowance, end-of-year bonuses VS wage (blue-collar jobs) - Income = salary + investments, savings, etc. - Payslip: shows your gross pay (before taxes and social security) - Net pay = take-home pay: money actually get in your pocket - Perks VS Benefits: + Perks (perquisite): usually makes the work environment more enjoyable/helps the employees perform a job better (added incentives); employees are not entitled to; exp: game room, gym memberships, remote work options, employee discounts, relocation allowance, free meals,… + Benefits: enhance a person's salary; tend to be fixed and unchanging //(employees are entitled to); exp: childcare, health insurance, pension scheme, paid time off, paid leave, tuition assistance,… Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - Thrive on: to enjoy something or be successful at something, especially something that other people would not like [He thrives on hard work.] 1. The importance of motivation? - Motivation is the driving force that propels us toward something we need or care about. There are “extrinsic motivation”, also known as “carrot and stick” motivation, which can be rewards such as money; and “intrinsic motivation”, which involves the enjoyment or the feeling of satisfaction of completing a task and results in higher levels of employee satisfaction and lower turnover rates. - For the business: + Meet and exceed the company’s goals + Higher productivity and quality: Happy employees experience 31 percent higher productivity + Committed, experienced employees - For individuals: + Self-efficacy and confidence in one’s ability to succeed at challenging work tasks + Increased proactivity and creativity + Optimism and positive attributions about the future of one’s career or company + Hope and redirecting paths to work goals in the face of obstacles + Resilience in the workplace and bouncing back from adverse situations 2. Common types of motivators? - Having a challenging and interesting job - Recognition - Responsibility - Promotion opportunities 3. Theory X and Y? - Theory X: people are lazy, avoid work and responsibility if they can. Consequently, workers have to be closely supervised and controlled, and told what to do. They have to be threatened and rewarded with incentives. lower level - Theory Y: most people have a psychological need to work, and given the right conditions (job security, financial rewards), they’ll be creative, ambitious, self-motivated. higher level 4. Maslow’s hierarchy of needs: 5 levels: - Self-actualization: personal growth and fulfillment - Self-esteem: achievement, status, recognition, reputation, etc. - Love and belonging: family, friendships, intimacy, sense of connection - Safety and security: health, employment, property, family and social ability - Physiological needs: air, food, drink, clothing, shelter, sleep, warmth, etc. satisfiers and motivators????? Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 UNIT 3 COMPANY STRUCTURE: The chain of command, Functional structure, Flattening hierarchies and delegating responsibility, Matrix management, Teams Vocabulary: - Hierarchy or chain of command - Autonomous: independent, able to take decisions without consulting someone at the same level or higher in the chain of command - Line authority: the power to give instructions to people at the level below in the chain of command - Economies of scale: the cost advantages that enterprises obtain due to their scale of operation - Silo mentality: the unwillingness to share information or knowledge between employees or across different departments within a company (divisional structure) a) The chain of command/ Hierarchical structure/ Pyramidal structure: - A hierarchical organizational structure is a direct chain of command from the top of the organization to the bottom. Pros Cons - Control orientation - Poor communication - Clear career and promotion path - Slow decision-making - Clearly defined authority so that - Added costs workers know whom to report a - Centralized power, bureaucracy problem to b) Functional structure: - A business structure that groups employees by specialty skill or related roles. It is based on levels of hierarchy that include different departments under the direction of designated leaders. (works best for larger companies that employ multiple people with similar roles) Pros Cons - Allow members to focus on their - Limited cross-team collaboration roles - Lack of motivation - Increased productivity - Slow decision-making - Increased specialization - Competition between departments - Clear career path, clear hierarchy - Narrow scope and define roles - Minimized cost of operation Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 c) Flattening hierarchies: - An organization model with relatively few or no levels of middle management between the executives and the frontline employees. (popular in the tech industry and startups) Pros Cons - Lower operating costs: no need for - Difficult for large organizations: mid-level managers ratio of employee to manager is - Improved communication disproportionate - Increased employee motivation and - Low employee retention: little scope satisfaction for promotion - Create power struggles: employees do not have an overarching presence of a superior -> confusion, loss of productivity d) Matrix management: - A combination of two or more different kinds of organizational structures, such as project management or functional management. Pros Cons - Encourage collaboration - Unclear managerial and team roles - Increase efficiency - Slow decision-making process - Develop new skill sets - Too much work can cause overload - Difficult to measure performance: team members may be performing more than one role UNIT 4 MANAGING ACROSS CULTURES: Vocabulary: - Glocalization (n): an invented word combining worldwide and regional concerns - Improvise (v): to do something when necessary without having already planned it - Collectivist (n): believing that the group is more important than the individual; người theo chủ nghĩa tập thể - Monochronic (a): doing one thing at a time - Polychronic (a): doing many things at a same - Reactive (a): reacting to events or situations rather than acting first to change or prevent something; thụ động >< proactive - Multi-active (a): chủ động đa phương - Linear-active (a): chủ động đơn phương - Ascertain (v): to discover/make certain of something Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 Words to talk about culture: - National identity: a person's identity or sense of belonging to one state or to one nation - Racism (n) - racist (n) - Melting-pot society/ Multicultural society: where many different people and ideas exist together, often mixing and producing something new - ritual (n): a set of fixed actions and sometimes words performed regularly, especially as part of a ceremony - Adopt (v): adopt a new culture (to accept or begin to use something) - Deep-rooted (a): firmly embedded in thought, behavior, or culture, and so having a persistent influence - cultural degradation: process in which the culture is destroyed or spoiled - cultural assimilation: the process by which a person or a group's language and/or culture come to resemble those of another group; đồng hoá văn hoá - cultural stereotype: A fixed idea that people have about what someone or something is like, especially an idea that is wrong - social norm (n): unwritten rules of beliefs, attitudes, and behaviors that are considered acceptable in a particular social group or culture - microaggression (n): incident (act/statement…) in which someone accidentally (or purposely) makes an offensive statement or asks an insensitive question - inclusive (a): In an inclusive workplace, employee differences are celebrated and uplifted - rigid (a): Rigid company culture leaves little room for improvisation and is very rules or tradition focused. - transparent (a) - transparency (n): A transparent company workplace culture emphasizes clear communication and sharing information. 1. Richard Lewis model of types of culture: Types Linear active Multi-active Reactive Countries Germany, America Italian Japanese, Chinese Vietnamese, Korean Behavior(s) - Do one thing at a - People-oriented - Try to make you speak time. - Emotional first (to establish what - Definite - Try to do many your aim/intention is -> - Plan well ahead things at once modify the reply) - Job-oriented - Get excited (easily) => Create a harmonious response/attitude from the beginning ⇒ Purpose: Response to those cultural categories by adapting to those in a suitable manner. Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 2. Explain the conflict between globalization and localization? (de-globalization) Companies that want to be successful in foreign markets have to be aware of the local cultural characteristics that affect the way business is done. - Economic impact: + Globalization: expansion of multinational corporations → threaten local businesses and industries (meanwhile, localization protect local businesses) - Cultural identity: + Globalization: spread of new cultural values and norms, which can erode local traditions and identities - Environmental concerns: + Globalization: environmental degradation through increased consumption, resource extraction, and pollution. - Political sovereignty: + Globalization: challenge the sovereignty of a nation, as international organizations and agreements may impose regulations and policies that limit local autonomy. UNIT 5 RECRUITMENT: Vocabulary: - Preliminary selection: vòng loại, shortlist - Reference (n): letter/person giới thiệu = testimonial (US) - CV (Europe, Asia) = Resume (US) - Sign off: to give a final message at the end of a letter or when communicating by radio, or at the end of a television or radio programme >< sign on Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - The covering letter explains why you want the job. - Resourceful (a): able to find and use different ways to help achieve your goals (tháo vát, giỏi xoay sở) - Self-starter: someone who can work well alone/ able to work effectively without regularly needing to be told what to do - Interpersonal (a): involving relationships between people - Proficient in sth/ Experienced in sth/ Fluent in sth (languages) - Arbitrate (v): make a formal judgment to decide an argument; phân xử - Reconcile (v): to find a way in which two situations or beliefs that are opposed to each other can agree and exist together; hoà giải - Mediate (v): help solve a disagreement by talking to the separate people or groups involved, or to communicate information between people; trung gian - Coordinate (v): điều phối - Execute (the plan) (v): tiến hành - Win over (v): persuade someone to support you or agree with you, often when they were opposed to you before - Appraise (v): estimate the value, condition, quality, etc. of someone or something after a careful examination (định giá, thẩm định) - Budget (v): calculate how much money you must earn or save during a particular period of time, and plan how you will spend it - Elicit (v): get a student to provide or remember a fact, response, etc. rather than telling them the answer (gợi ra) - Liaise (with) (v): to speak to people in other organizations, etc. in order to work with them or exchange information with them UNIT 8 PRODUCTION: Vocabulary: - Inventory/Stock: a company’s reserves of raw materials, parts, work in process, and finished goods - Component (n): any of the pieces or parts that make up a product or machine - Capacity (n): the (maximum) rate of output that can be achieved from a production process - Plant (n): a collective word for all the buildings, machines, equipment, and other facilities used in the production process - Supply chain: a network of organizations involved in producing and delivering goods or services - Outsourcing (n): buying products or processed materials from other companies rather than manufacturing them - Subcontractors (n): companies providing goods or services for another organization - Retailers: shops and stores which sell to the final customer or end-user Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - Wholesalers: intermediaries between producers and retailers - Utility: services applied to houses, factories and public buildings, such as electricity, gas, water and sewage, and telephone lines [utility bill: hoá đơn tiện ích] - Layout (n): the placement of departments, workstations, machines and so on in a factory - Economies of scale: are the cost savings arising from large-scale production - Diseconomies of scale: occur when a business expands so much that the costs per unit increase - Lead time: the time needed to manufacture or deliver a product - Underutilize (v): tận dụng không triệt để - Cost/competitive advantage - Capacity cushion: the amount of reserve capacity built into your farm business to handle sudden increases in demand or temporary losses of production capacity (công suất dự phòng) - Material flow: the transportation of raw materials, prefabricated, parts, components, integrated objects and final products as a flow of entities - Opportunity cost: the benefits or advantages lost by spending money in one way rather than another 1. The process of industrial production? - The process of industrial production is the process of turning raw materials or parts into finished goods through the use of tools, human labor, machinery, and chemical processing. UNIT 9 LOGISTICS: Vocabulary: - Agile (a): able to move quickly and easily; nhanh nhẹn, lanh lẹ - Manual (a): done with the hands - Freight (n)(v): vận chuyển hàng hoá - Freight forwarder: an intermediary who acts on behalf of importers, exporters or other companies or persons, organizing the safe, efficient and cost-effective transportation of goods (làm nghề dịch vụ giao nhận vận tải) - Payment of freight: thanh toán cước vận chuyển - Shipping line (n): hãng tàu - Consolidation service: dịch vụ gom hàng lẻ vào cùng 1 container và vận chuyển chúng đến cảng đích - Handling costs: include packing, transporting, preparing costs that clients have to pay shipping lines or freight forwarders - Claim an insurance = ask for insurance - Dispatch (n)(v): send off to a destination or for a purpose - Invoice (n): a bill but for large businesses (with more info such as tax codes etc.) Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - Receipt (n): a confirmation that the payment has been already paid: biên lai Definition of Logistics: the overall process of managing how resources are acquired, stored, and transported to their final destination. A logistics management system underpins that effort and includes inbound (đầu vào) and outbound (đầu ra) transportation management, warehouse management, fleet (đội xe vận tải) management, order processing, inventory control, supply and demand forecasting, and managing third-party logistics (3PL) service providers. Logistics management is a part of supply chain management that plans, implements, and controls the effective forward and reverse flow and storage of goods, services and information between the point of origin and the point of consumption. Roles of Logistics: The roles of logistics feature transportation/delivery, storage, packaging, cargo handling, distribution processing, and information processing, and many systems have been put in place to deliver products from the production location or factory to the consumer quickly and on time. Types of Logistics: - Inbound: refers to purchasing and arranging the transportation of products, parts, materials and finished inventory from suppliers to a company’s warehouse or manufacturing plant. - Outbound: refers to the flow of items through a company’s production line, warehouse and ultimately to the customer. 1. Different strategies for stock control and manufacturing (Pull and Push strategies)? - With a pull strategy, a company manufactures according to current demand, which is satisfied from (a small) inventory. When pieces are removed from stock, replacements are automatically ordered from suppliers. - With a push strategy such as Manufacturing Resources Planning (MRP), on the contrary, production is based on estimates of future demand, and begins according to the planned production lead time. 2. Just-In-Time (JIT) production: - Definition: JIT production is an inventory management method that makes and delivers what is needed, when it is needed, in the quantity needed. UNIT 12 MARKETING: Marketing is the process of getting potential clients or customers interested in your products and services. The keyword in this definition is "process." the way of doing business Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 Marketing involves researching, promoting, selling, and distributing your products or services. Vocabulary: - Distribution channel: all the companies or individuals (middlemen) involved in moving goods or services from producers to consumers - Wholesaler: an intermediary that stocks manufacturers’ goods or merchandise, and sells it to retailers and professional buyers - Market segmentation: dividing a market into distinct groups of buyers who have different requirements or buying habits (phân khúc thị trường) - Product differentiation: making a product (appear to be) different from similar products offered by other sellers, by product differences, advertising, packing, etc. - Market opportunities: possibilities of filling unsatisfied needs in sectors in which a company can profitably product goods or services - Market skimming/price skimming: setting a high price for a new product, to make maximum revenue before competing products appear on the market (chiến lược giá “hớt váng”) - Market penetration: the strategy of setting a low price to try to sell a large volume and increase market share - Sales representative: someone who contacts existing and potential customers, and tries to persuade them to buy goods or services - Product features: the attributes or characteristics of a product - Price elasticity (of demand): the extent to which supply or demand (the quantity produced or bought) of a product responds to changes of price; độ co giãn theo giá (của cầu) - Credit term: an agreement on the time of payment between buyer and seller 1. What is a product life cycle and 4 stages? - A product life cycle is the length of time from a product first being introduced to consumers until it is removed from the market. discontinued - A product’s life cycle is usually broken down into four stages: introduction, growth, maturity, and decline. Sales Costs Prices Promotion Introduction Low, customers Costs are high Can choose Aimed at have to be high skim educating persuaded to pricing or low potential try the product. penetration consumers and pricing building Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 product awareness Growth Rises Reduced due to Can remain Aimed at a significantly economies of unchanged much broader scale -> because audience (the profitability demand is majority of the increases increasing but product’s users) not yet competitors Maturity Peaks New costs May have to be Emphasizes added due to reduced product new product’s because differentiation features to competitors are compete established Decline Begins to go too high to Either Virtually no down compared to maintained, or promotion sales -> greatly reduced discontinued to liquidate OR reduced to stock if the a minimum to product is serve loyal discontinued customers 2. What are the four Ps in the marketing mix? Give examples? - Promotion: sales promotion, advertising, public relations, direct marketing - Product: features, quality, branding, packaging, services, warranties - Place: channels, market coverage, assortment, location, inventory, transport - Price: price strategy, pricing, allowances, discounts, payment terms 3. Explain pricing and distribution strategies? - Market skimming: setting a high price for a new product, to make maximum revenue before competing products appear on the market - Market penetration: setting a low price to try to sell a large volume and increase market share Sales-driven companies: Changing customer minds to fit the products - "any color as long as it's black" Customer-driven companies: Willingness to change their product to fit customer's request - "tell us what color you want". Market-driven (successful companies): Adapting the products to fit customer's strategy - "let's figure out together how and whether color matters to your larger goal" Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 roles of marketing are inform the customer about the existence of a products and persuade them to UNIT 13 ADVERTISING: buy it Advertising is a marketing tool that lets you communicate with potential customers about your products or services through paid channels. The goal of advertising for a small business may be to build brand awareness, improve your image, boost engagement, generate leads, or convert potential leads into sales. Vocabulary: - Hoardings (GB) = Billboards (US) - Point-of-sale (POS)/Point-of-purchase: điểm bán hàng (điểm bán lẻ) - Publicity: notice or attention given to someone or something by the media P2P, Word-of-mouth Roles of Advertising: - Marketing role - Communication role: Advertising is a form of mass communication. - Economic role: improves standard of living and the economy by generating material consumption. - Societal role: informs us about new and improved products, teaches us how to use these innovations, etc. 1. Different kinds of sales promotions: - Radio/television commercials - Advertisements in the cinema/in newspapers and magazines - Posters on advertising billboards - Free samples/free gifts - Telephone marketing - Pop-up pages on the Internet - Spam emails Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - Product discounts/coupons - Buy one get one (BOGO deals) - Loyalty program; Flash sales; Giveaways 2. Conditions to make a successful advertising campaign? - Carefully defined target market/ target audience - Measurable, clear goals - A compelling and consistent message (communicate how the product or service fits into consumers’ lives/work to make them better → why they should purchase) - Appropriate platforms/channels to best deliver your message to your target market - Attract the customer’s attention (catchy slogan, jingles, memorable,...) - Increased revenue UNIT 23 THE BUSINESS CYCLE: An economic cycle/a business cycle: refers to economic fluctuations between periods of expansion and contraction (the rise and fall of economic activities). Factors such as gross domestic product (GDP), interest rates, total employment, and consumer spending can help determine the current economic cycle stage. Understanding the economic period can help investors and businesses determine when to make investments and when to pull their money out, as each cycle impacts stocks (cổ phiếu) and bonds (trái phiếu) as well as profits and corporate earnings. Vocabulary: - Alternately: luân phiên; contract (v): thu hẹp - Endogenous (a): nội sinh >< exogenous (a): ngoại sinh - A long period of expansion → a boom - A downturn that lasts more than 6 months → a recession/ lasts for a year or two → a depression or a slump - Downturn (n): a decline in economic activity - Upturn (n): an increase in economic activity - Balance of payments (BOP): the difference between all money flowing into the country in a particular period of time and the outflow of money to the rest of the world (cán cân thanh toán) - Gross domestic product (GDP): the total market value of all the goods and services produced in a country during a given period - Demand (Cầu) (n): the willingness and ability of consumers to purchase goods and services - Supply (Cung) (n): the willingness and ability of businesses to offer goods and services for sale - Equilibrium (n); a state of balance, for example when supply is the same as demand (điểm cân bằng thị trường) Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - Deficit (n): thâm hụt: an amount of money that is smaller than is needed (e.g. when spending exceeds revenues) - Surplus (n): thặng dư: an excess (a quantity that is larger than is needed) - Monetary policy: government or central bank (ngân hàng trung ương) actions concerning the rate of growth of the money in circulation - Money supply: the total amount of money available in an economy at a particular time - Keynesianism: the economic theory that government monetary and fiscal policy should stimulate business activity and increase employment in a recession (suy thoái kinh tế) - External/Exogenous factors (factors that are not inherent to the economic system): wars, technology, natural causes, population expansion. - Internal/Endogenous factors (factors that are within the economic system): changes in demand, fluctuations in investments, macroeconomic policies, supply of money. - Fiscal policy (chính sách tài khoá): the means by which a government adjusts its spending levels (public/government expenditure: chi tiêu công/chi tiêu của chính phủ) and tax rates (taxation) to monitor and influence a nation's economy - Monetary policy (chính sách tiền tệ): a set of actions to control the level of the money supply (nguồn cung tiền) and changing interest rates - Keynesianism (học thuyết Keynes) focuses on government spending to control the economy. Fiscal and monetary policy are the primary tools recommended by Keynesian economists to manage the economy and fight unemployment. - Monetarists believe in fighting inflation by adjusting the amount of money in circulation. Monetarism (chủ nghĩa tiền tệ) focuses on controlling the money supply to control the economy. Phase Description Expansion When real GDP is increasing and unemployment is decreasing Peak The turning point in the business cycle at which output stops increasing and starts decreasing Recession When output is decreasing and unemployment is increasing Trough The turning point at which recession ends and output starts increasing again 1. What is a business cycle? What are the four phases of a business cycle? Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - The business cycle, also known as the economic or trade cycle, represents economic growth and decline through distinct phases. - 4 phases: expansion, peak, contraction, trough 2. What are the causes of the business cycle? External (endogenous) factors Internal (exogenous) factors - Wars/ Political shocks - People’s spending/ consumption - Technological interventions decisions (changes in demand) - Natural disasters - Fluctuations in investments - Population expansion (demographic - Macroeconomic policies changes) - Supply of money UNIT 24 CORPORATE SOCIAL RESPONSIBILITY: - Undermine (v): to gradually weaken or destroy sb/sth - Free enterprise: an economic system in which anyone can raise capital, form a business, and offer goods or services - Conform to (v): comply with or follow (rules, etc.) - Custom: a usual way of behaving - Insofar as: to the degree or extent that - Proponents = supporters - Stakeholders: các bên liên quan >< Shareholders: cổ đông, own a share of a company → A shareholder is a stakeholder, and not vice versa. Examples of CSR companies: - LEGO: The toy company has invested millions of dollars into addressing climate change and reducing waste. LEGO’s environmentally conscious efforts include reduced packaging, sustainable materials, and investments in alternative energy. - Starbucks: The global coffee chain has implemented a socially responsible hiring process to diversify its workforce. Its efforts are focused on hiring more veterans, young people looking to start their careers, and refugees. - Pfizer: The pharmaceutical company’s focus on corporate citizenship is reflected in its healthcare initiatives, which include spreading awareness about non-infectious diseases and providing accessible health services to women and children in need. Challenges of CSR: - CSR Costs Money to Implement: The main disadvantage of CSR is that its costs fall disproportionately on small businesses. Major corporations can afford to allocate a budget to CSR reporting, but this is not always open to smaller businesses with Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 between 10 and 200 employees. A small business can use social media to communicate its CSR policy to customers and the local community. But it takes time to monitor exchanges and could involve hiring extra personnel that the business may not be able to afford. - Conflicts with the Profit Motive: A company's management has a fiduciary duty to its shareholders, and CSR directly opposes this, since the responsibility of executives to shareholders is to maximize profits. A manager who forsakes profits in favor of some benefits to society may expect to lose his job and be replaced by someone for whom profits are a priority. This view led Nobel-Prize winning economist Milton Friedman to write a classic article with the title: "The Social Responsibility Of Business Is to Increase Its Profits." - Consumers are Wise to Greenwashing: Greenwashing is a term used to describe corporate practices that appear to be environmentally responsible without actually representing a change in how a company conducts its business. For example, a product may be labeled as "All Natural", even though it is being manufactured just as it always has. Some dry cleaning services label their operations as "Organic" which sounds similar to "organic food" but really carries no specific meaning. Some customers may react positively to these types of claims, but others are wary of corporate greenwashing. CSR vs Business Ethics DEI environment, 17 SDGs, circular/linear economy, Corporate social responsibility (CSR) applies to businesses that put policies and practices in place that will have a positive impact on the environment and community. Business ethics deals with moral principles and is based on the premise of good and bad behavior – right versus wrong. When you incorporate ethics into business, you’re working to apply good ethical decision-making practices in the workplace (doing what is best for the employees, stakeholders and the consumers alike – not just the shareholders.) 1. What are the responsibilities of businesses? - Make profits for companies’ owners and stakeholders - Responsible to customers (no cheating) - Social responsibilities (to their staff, to the society, to the environment): + Economic responsibility: maximizing profits consistently was the firm's responsibility. Business practices that not only help maximize profits but help make an impact. + Environmental responsibility: Efforts made by companies to adopt business practices keeping in mind their environmental impact. This could include companies committed to shirking their carbon footprint or working in other ways to mitigate adverse impacts of global warming and climate change. Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 + Ethical responsibility: Efforts made by companies to adopt fair and ethical business practices. That could mean anything from offering equal to or better than minimum wages to employees, to using ethically sourced raw material. + Philanthropic responsibility: Some companies may opt to give away a portion of their earnings or executive time to charities or towards charitable causes. 2. What are the benefits of CSR (list 2-3 benefits)? - Enhanced relationships with stakeholders - Attracting and maintaining a happy workforce - Media interest and a positive reputation - Access to funding opportunities - Enhancing your influence in the industry - Increase in customer retention - Winning new businesses - Differentiating yourself from the competitor - Saving money on energy and operating costs 3. What are some illegal acts (non-ethics business practices)? - Bribing corrupt foreign officials in order to win foreign orders, on the grounds that where bribery is a way of life, you have no alternative if you want to win a contract. - Industrial espionage: spying on competitors’ research and development departments with concealed cameras and microphones, bribing their employees, etc., rather than doing your own expensive R&D. - Selling supposedly durable goods with “built-in obsolescence”, i.e. which you know will not last more than a few years. - Spending money on lobbying, i.e. trying to persuade politicians to pass laws favorable to your particular industry. - Telling only half the truth in advertisements, or exaggerating a great deal, or keeping quiet about the bad aspects of a product. - “Whistle blowing”, i.e. revealing confidential information to the police or to a newspaper, e.g. that a company is breaking health and safety regulations and therefore putting people’s lives in danger. UNIT 27 INTERNATIONAL TRADE: Vocabulary: - Free trade means imports and exports of goods and services without any government restrictions. (no tariffs, no quotas - hạn ngạch, or no subsidies - trợ cấp from gov) + WTO (World Trade Organization) highly contributed to the development of free trade. Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 - Protectionism: restricting imports by way of trade barriers such as tariffs, quotas, embargoes (stop trading with another country), subsidies to domestic industry, licenses to import goods + Trade barriers: government policies or regulations that restrict international trade + A tariff: a tax charged on imports + A quota: a maximum quantity of goods of a specific kind that can be imported into a country → Free trade is the opposite of protectionism, a defensive trade policy intended to eliminate the possibility of foreign competition (restricting imports by trade barriers). → Examples of free trade agreements: + NAFTA (North American Free Trade Agreement) - the goal was to eliminate barriers to trade and investment between the United States, Canada and Mexico. + EVFTA (European Union–Vietnam Free Trade Agreement): a free trade agreement between the European Union and the Socialist Republic of Vietnam. - Absolute advantage: a country’s ability to produce goods at a lower cost than any other country. - Comparative advantage: a country’s ability to produce particular goods more efficiently (using fewer resources and at a lower cost) than some other countries. - An infant industry: an industry that is in an early stage of development and which cannot survive competition from foreign companies. - A strategic industry: an industry that is particularly important to a country’s economy. PROS & CONS of FREE TRADE PROS CONS stimulates economic growth (more Threats to domestic industries (local competition, prevent monopolies) producers) It reduces local revenues of small/ weak businesses. helps consumers: higher quality goods and Difficult establishment of developing and services, cheaper/competitive price, new industries greater variety of products increases foreign investment. Reduced tax revenue for the government Downloaded by LYNN 10 ([email protected])  lOMoARcPSD|31525086 Promotes cooperative relationship Unfair competition (dumping: bán phá giá) - It encourages technology transfer - reduces possibility of war Increased job opportunities Risks of losing domestic jobs (outsourcing manufacturing jobs to other countries with cheaper labor wages) - Generic (a)(n): a cheaper copy of a product that is not marked with the producer’s name - Trademark (n): a name or a symbol showing that a product is made by a particular producer and which cannot be legally used by anyone else - Dumping: selling unwanted goods very cheaply, usually in other countries, in order to stop companies in that country from being able to compete (bán phá giá) - Copyright: the legal right to control the production and selling SAMPLES QUESTIONS 1. The WTO tries to encourage free trade and reduce protectionism: restricting imports in order to help local products. (1 word) 2. A limit to the quantity of goods that can be imported is a quota. (1 word) 3. Inventory or stock is a company’s reserves of raw materials, parts, work in process and finished products. (1 word) 4. Free trade means imports and exports of goods and services without any government restrictions. (2 words) 5. Government policies or regulations that restrict international trade are called trade barriers. (2 words) 6. Revealing confidential information to the police or to a newspaper is whistle blowing. (2 words) 7. Dividing a market into distinct groups of buyers who have different requirements or buying habits is market segmentation. (2 words) 8. People such as employees, customers, suppliers, local communities who are involved with an organization, society, etc. and therefore have responsibilities towards it and an interest in its success: stakeholders (1 word) 9. Economics of scale are the cost savings arising from large-scale production. (3 words) 10. Traditionally, organizations have had a hierarchical structure with one person or a group of people at the top, and an increasing number of people below them at each successive level. (2 words) Downloaded by LYNN 10 ([email protected])