COMPETITIVE STRATEGIES IN THE MARKET PLACE

1. Competitive strategy is a long term, action plan that is devised to help a company gain a competitive advantage over its rivals. Typically there are four types of market dominance strategies these are market leader, market challenger, market follower, and market nicher positions.

2. A Market leader is a company that has the largest market share in an industry, and which can use its dominance to affect the competitive landscape and direction the market takes. A market leader may be the first to develop a product or service. This allows it to define what the ideal product characteristics are, and to become engrained in the public eye as the brand that consumers associate the product itself with.

3. A market challenger is a company aggressively working to obtain the market share of its competitors. A market challenger is a current non-market leader actively trying to move up within their industry. Market challengers are able to jockey for industry leadership several ways: challenging the market leader on price (direct approach), increasing product differentiation or improving customer service (indirect approach), or launching an entirely new product or service in order to change the field (radical approach).

4. A Market follower is a firm that replicates what a particular business does. It does not take any risks, rather it waits and observes the others’ strategies and implement only the successful ones. But in doing so the firm loses on a potential revenues which otherwise could have been got had it tried to make the first move.

5. Market nichers are one of the players in a market whose products/ services are focused to meet specific demand of customers which are not met by mainstream production. In case of nichers, the target customer base is defined well and is known. Hence all the marketing efforts are directed towards this target only. Since the demand of these customers is unique and can be fulfilled only by the niche products, the price charged is significantly higher than that of the costs. This is the reason why market nichers have high profit margin.

Вправа № 6

Дайте відповідь на запитання до тексту:

1. What is a competitive strategy?

2. What advantages does a market leader have over its competitors?

3. In what ways is a market challenger able to jockey for industry leadership?

4. What is the difference between market followers and market nichers?

Варіант 3

Вправа № 1

Вставте дієслово to be, to haveабо to do в потрібній формі (активній або пасивній) та в потрібному часі. Перекладіть речення.

1. What … you going to do while you … waiting?

2. Do you … any information to help me with this problem?

3. I'm sorry, but it's too late to … anything about it now.

Вправа № 2

Перекладіть речення та поставте всі види запитань до них.

1. Modern money is very durable.

2. Prices play an important role in all economic markets.

3. Miguel Perez studied business at Santiago de Compostela University in Spain from   1999 to 2002.

4. We employ over 3000 people.

5. She has had three jobs since she left university.

Вправа № 3

Заповніть пропуски в реченнях словами “little”, “a little”, “few”, “a few”, “much” або “many”. Речення перекладіть.

1. You can’t do without … cash on hand when you go to a retailer shop.

2. He hasn't had … luck with finding a job.

3. How are we going to finish when we have got only ... time and ... people to do it?

4. I'm afraid he's had … experience as a bartender.

5. Some of the houses have got bathrooms but … do not.

Вправа № 4.

Зробіть одне речення з двох та перекладіть його. Використовуйте слова who/that/which.

1. The office is close to the National Bank. He works in it.

2. She is a kind, friendly lady. She likes talking to people and making new friends.

3. You gave a CD for my birthday. It’s my favourite now.

Вправа № 5

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WHAT ARE THE EFFECTS OF RECESSION?

1. Most economists suggest that the primary effects of recession are declining stock markets, loss of personal wealth and an overall slowdown of economic growth. From these three main factors many other effects soon follow. These would typically include rising unemployment, declining real estate values and rising government deficits. Another effect, which some economists say can be a good thing, is a decrease in the rate of inflation.

2. Many experts claim that healthy inflation occurs when wages keep pace with the rising price of various goods and services. When prices continue to go up but are not followed by a rise in wages, this could be one of the causes of a recession. After an economy has entered into a downturn, people typically do not buy as many products and, as a result, prices usually begin to drop. Experts warn, however, that too steep a decline in prices can lead to deflation, which can lead to a situation in which the prices of products are actually less than the cost involved in producing them.

3. Statistics seem to indicate that one of the most debilitating effects of recession is the rise of unemployment. When people are unemployed, it tends to have a domino effect on economies because it leaves people with less disposable income; therefore, they generally spend less money.

4. Some countries offer government programs aimed at lessening the effects of recession. These programs might include unemployment compensation, food and housing supplements as well as programs to retrain unemployed workers. The cost of these programs can often lead to budget deficits.

5.One of the earliest effects of recession is usually a fall in the value of stocks. Similarly, stock markets sometimes regain stability well ahead of other indicators. Though stocks usually begin to recover when companies begin hiring, in some cases, markets can rise ahead of jobs. This type of situation is what economists generally refer to as a jobless recovery.

Вправа № 6

Дайте відповідь на запитання до тексту:

1. What are the primary effects of recession?

2. How can the notion of healthy inflation be defined?

3. Why do some programs aimed at lessening the effects of recession sometimes lead to a budget deficit?

4. What type of a situation is generally referred to as a jobless recovery?

Варіант 4

Вправа № 1

Вставте дієслово to be, to haveабо to do в потрібній формі (активній або пасивній) та в потрібному часі. Перекладіть речення.

1. Mr Lazy … shocked when he joined our busy company because he … used to doing much work everyday.

2. The problem was too complicated to solve on my own but I … to do it.

3. I … my homework last night and then went out with my friend.

Вправа № 2

Перекладіть речення та поставте всі види запитань до них.

1. Most bank deposits return to the community in the form of loans.

    2.The government fixes the prices.

    3. IKEA opened its first store in Sweden in 1958.

    4. Miro is 28 years old.

    5.We’re entertaining the suppliers tomorrow evening.

Вправа № 3.

Заповніть пропуски в реченнях словами “little”, “a little”, “few”, “a few”, “much” або “many”. Речення перекладіть.

1. Very … financial institutions nowadays keep off technical innovations in the banking industry.

2. This year we have grown three times as ... cotton as last year.

3. He has .... knowledge of the subject; you’d better ask somebody else.

4. There are so … things we disagree about.

5. … over half the class can swim.

Вправа № 4.

Зробіть одне речення з двох та перекладіть його. Використовуйте слова who/that/which.

1. The town has existed since Roman times. It is known throughout Wales for its colourful well-kept gardens.

2. My aunt loves olives. She has moved to Honduras.

3. His new car cost him a fortune. It was really stunning.

Вправа № 5

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Пояснення до тексту:

COMPETITION IN BUSINESS

1.Competition occurs when two or more organizations act independently to supply their products to the same group of consumers. There are two bases on which firms can compete: these are price and differentiation.

2. In case firms are selling identical or very similar products, they must compete on price with each firm trying to undercut the others. Successful price competition depends on cost leadership the ability to supply the product at a lower cost than any other competitor.

 3. Non-price competition depends on making a product different from those of competitors and by giving it distinctive qualities that are valued by the target market. These might include branding, styling, special features or higher levels of customer service. Such factors can allow a premium price to be charged while still offering target customers competitive value-for-money. In practice, many firms compete on a mix of price and differentiation, aiming to attract customers with a superior overall proposition.

4. Every business has both direct and indirect competitors. One of the primary differences between direct and indirect competitors is the business type. In order to be considered a direct competitor, the competing business must be in the same specific industry as the company under consideration. In addition, direct competitors serve the same customer base. Indirect competitors, on the other hand, would be companies that offer the same product or service, but not as their primary one. For instance, in the case of a fried chicken restaurant, this might include the prepared foods section of a grocery store.

5. The effect of competition is to bring the consumer a greater variety of products at a lower price. All firms aim to add value. Retaining some of that value as profit is their incentive to produce efficiently, to improve quality and to innovate continuously.

Вправа № 6

Дайте відповідь на запитання до тексту:

1. Under what circumstances does competition occur?

2. In what cases do firms compete on the basis of price?

3. In what cases do firms compete on the basis of differentiation?

4. What is the effect of competition?

Варіант 5

Вправа № 1

Вставте дієслово to be, to haveабо to do в потрібній формі (активній або пасивній) та в потрібному часі. Перекладіть речення.

1. Oranges used to cost very little in Florida, but now they … quite expensive.

2. It was only after he … signed the contract that he changed his mind.

3. Tom’s boss said to him “You didn’t … the work properly.”

Вправа №2

Перекладіть речення та поставте всі види запитань до них.

1.When the level of supply is large in relation to demand , wages are generally low.

2.“Perishable” goods are goods which cannot be stored for any length of time without   going bad.

3.Six months ago my brother got a permanent position in a shipping company.

4.All our catalogues will be online by next year.

5.She hasn’t had any experience in marketing.

Вправа № 3.

Заповніть пропуски в реченнях словами “little”, “a little”, “few”, “a few”, “much” або “many”. Речення перекладіть.

1. Do you get … chance to travel in your job?

2. … people know as much about computers as Tomas does.

3. I'm visiting … friends in Chicago next week.

4. It does us … good when the banking system collapses.

5. Susan speaks … French.

Вправа № 4.

Зробіть одне речення з двох та перекладіть його. Використовуйте слова who/that/which.

1. Your mother lent you some money. What did you do with it?

2. This is my son’s teacher. She told me my son has been misbehaving in class.

3. The house was destroyed during the earthquake. It has now been rebuilt.

Вправа № 5

Перепишіть та перекладіть письмово 1-3 абзаци тексту.

Пояснення до тексту: