The world of business = Деловой мир

The Ministry of Education and Science of the Russian Federation 
Kazan National Research Technological University 
 
 
 
 
 
 
 
L. Y. Khafizova  
 
 
THE WORLD OF BUSINESS 
 
Тutorial  
 
 
2nd edition, enlarged 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Kazan 
KNRTU Press 
2018 
 

UDK 802.0(07)
BBК 81.2 Англ: 65.9(2)30

 
Published by the decision of the Editorial Review Board 
of the Kazan National Research Technological University 
 
 
 
 
 
Reviewers: 
Ph. D. in Philology L. G. Dunyasheva  
General Manager “Pulsar Venture” LTD P. V. Korolyev 
 
 

Khafizova L. Y.
The world of business : tutorial / L. Y. Khafizova; The Ministry of 
Education and Science of the Russian Federation, Kazan National 
Research Technological University. – 2nd edition, enlarged. – Kazan :
KNRTU Press,  2018. – 156 p.
ISBN 978-5-7882-2435-0

 
The purpose of this publication is to acquaint readers with the main and 
most relevant concepts of the business world in English. It consists of 10 Units, 
which contain the basic theoretical material on the most pressing issues of a 
business nature and a complex of assignments for translation and work with 
terminology, both for individual and group work. 
This training manual is intended for all students who receive additional 
qualification "Interpreter in the field of professional communication", as well as to 
develop skills of writing and speaking in Business English in groups of 
undergraduates and graduate students. 
The manual is prepared at the Department of Foreign Languages in 
Professional Communication. 
 
 

 

ISBN 978-5-7882-2435-0
© Khafizova L. Y., 2018
© Kazan National Research Technological

University, 2018

UDK 802.0(07)
BBК 81.2 Англ: 65.9(2)30

CONTENTS: 

Introduction………………………………………………………….
4

UNIT 1. BUSINESS ORGANIZATION………………………..……
6

UNIT 2. MANAGEMENT …………….……….................................
15

UNIT 3. ORGANIZATION STRUCTURE …………………………
27

UNIT 4. MARKETING …….……………………………………......
35

UNIT 5. MONEY AND CURRENCY……………………………….
47

UNIT 6. BANKS AND BANKING …...……………………………..
56

UNIT 7. STOCKS AND SHARES …………………………………..
67

UNIT 8. INFLATION …………………….………………………….    77
UNIT 9. GLOBALIZATION ………………………………………...
UNIT 10. INNOVATION AND INVETION………………………...
Supplement  …..……………………………………………………

83
93
101

References…………………………………………………………...
155

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Introduction 
 
 
The manual is the second, supplemented publication of the training 
manual "The World of Business" by L.Y. Khafizova. The manual is 
intended for university students receiving additional qualification 
"Interpreter in the field of professional communication", as well as for 
undergraduates and postgraduates studying business literature in English. 
 
In order to compete in the labor market, an interpreter in the field of 
professional communication needs not only excellent knowledge of the 
language material in his professional field, but also a clear understanding of 
the subject of the discussion or translation. Practical translation in a specific 
subject area requires knowledge and understanding of terminology, 
language cliches and speech standards necessary to achieve the adequacy of 
translation. 
Similar to the first edition, the materials of this manual are divided 
into lessons (Units) on the most important and relevant topics of business 
discourse. Each block contains text, which is a general description of a 
certain economic phenomenon, and a set of tasks. The main goal of the 
exercises is to practice the use of business terms and expressions. We offer 
tasks for training and development of all speech skills. It is necessary to 
answer the final questions at the end of each block, which are to control the 
accumulation and consolidation of knowledge. 
When selecting texts for reading and developing oral skills, the 
authors sought to acquaint readers with the main and most interesting 
phenomena in the business world, as well as to present samples of business 
literature, where the learners can find functional-style features of modern 
business English. Due to constantly changing economic and political 
conditions, it is obvious that there is a need to update a number of topics 
proposed for study. 
This publication is supplemented with the 10th lesson (Unit) 
"Innovation and Invention", containing, similarly to the remaining lessons 
of the manual, theoretical material on the topic and a set of exercises and 
tasks for working out terminology. The materials for the final testing, which 
are collected in the supplement in the form of standard exercises, translation 
tasks and tests, which are divided into topics according to the lessons are of 
the manual. The materials of the supplement can be used not only to control 
knowledge assimilation, but also as additional tasks for practicing the 
studied vocabulary. Also, the lesson 4 "Marketing" is supplemented with 

theoretical material, an exercise in translation and new vocabulary on the 
topic. Exercise for translation in the lesson 3 "Organization Structure" is 
supplemented by new sentences with new additional vocabulary. 
This publication will provide practical assistance to students who 
receive an economic specialty, as well as to other students wishing to learn 
business English. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Unit 1 
BUSINESS ORGANIZATIONS 
 
Exercise 1. Read and translate the text. 
 
Business Organizations 

Organization by forms of business Sole proprietorship 

Partnership 
Corporation

Kinds of business organization
Joint stock organizations 
Holdings 
Limited partnerships 
Franchises 
Joint ventures 
Cooperatives

Basic structures of business 
organization

Line structure 
Functional structure 
Line and staff organization structure 
Departmentalization by product, 
territory or customer 
Matrix organization structure

Styles of business organization
Bureaucratic 
Contingency 
Just-in-Time 

Sole Proprietorship (A sole trader): A sole proprietorship is one 
person alone. He or she will have unlimited liability for all debts of the 
business or loss. All the income goes to the owner. Although proprietorship 
avoids the expense of forming a partnership or corporation, many start 
businesses this way because they are unfamiliar with the other forms of 
organizations.  

Partnership: A partnership is an agreement in which two or more 
persons combine their resources in a business with a view to making a 

profit. In order to establish the terms of the business and to protect 
partners/shareholders in the event of disagreement or dissolution of the 
business, a partnership/shareholders agreement should be drawn up, usually 
with the assistance of a lawyer. Partners share in the profits according to the 
terms of the agreement. 

Corporation (Joint-stock companies): A corporation is a legal 
entity that is separate from its owners, the shareholders. No shareholder of a 
corporation is personally liable for the debts, obligations or acts of the 
corporation. Directors, officers and insiders can bear some liability for their 
involvement with the corporation. The shareholders each receive one 
dividend (part of the profit) per share.  

a. Private Corporation (Private Limited Company (Ltd.): A 
private corporation can be formed by one or more people. The shares of a 
private limited company are held by specially chosen persons or companies, 
which means a private corporation cannot sell shares or securities to the 
general public and it isn’t listed on the stock exchange.  

b. Public Corporation (Public Limited Company (plc)): 
Generally, a “public corporation” is one that offers its securities to the 
public, so it can be listed on the stock exchange, although it doesn’t have to 
be. The capital for this type of company is raised from members of the 
public.  

Franchises: Franchising is a method of product or service 

distribution that is governed by a contract. A franchise is a license to 
operate an individually owned business as if it were part of a large chain of 
stores. 

Franchises have many advantages. The franchisee is the one who 

purchases the franchise and enables the franchiser, the corporation that sells 
its franchises to others, to expand operations at little cost to itself. 
Franchisers also benefit because franchisees, as business owners, have an 
incentive to increase efficiency, sales, and profits. 
Those who buy franchises benefit as well. Many franchisers 
provide training programs, financial assistance, and other kinds of help in 
operating and managing the business. Advertising campaigns, name 
recognition, and reputation bring increased sales to franchisees as well. 

Form of 
business

Advantages
Disadvantages

Sole proprietor
1) easy to start;
2) flexible;
3) is owned by one 

person, which has a 
total control;

4) profits belong to the 

owner.

1) limited resources;
2) difficulties in raising 

capital, hiring 
professionals, and in 
management;

3) personal responsibility 

and financial liability 
are unlimited;

4) instability, great risk 

of losing capital.

Partnership 
1) capabilities are 

expanded because of 
more than one owner;

2) ability to share capital,

experience, pressure 
and work;

3) financial liability is 

limited.

1) difficulties in 

supporting of 
uniformity in 
management;

2) distinction in duties 

and profits is not easy 
to define (conflicts);

3) difficulties in getting 

loans from the bank.

Corporation 
1) limited financial 

liability;

2) ability to borrow 

money from bank;

3) delegation of 

authority;

4) succession;
5) synergy and high 

salaries.

1) not easy to organize 

and “untwist”;

2) “double taxation” 

(corporate tax);

3) strict legal regulation.

 
 
Exercise 2. Find English equivalents of the following words and 
expressions  in the text:  
 
товарищество, акционерная компания, совместное предприятие, 
частный предприниматель, неограниченная ответственность, 

доходы, расходы, открыть свое дело, объединить ресурсы, 
согласно условиям договора, нести ответственность за долги, 
частная компания с ограниченной ответственностью, ценные 
бумаги, 
быть 
зарегистрированным на фондовой 
 бирже, 

открытая компания с ограниченной ответственностью, прибыль, 
наращивать капитал, рекламная кампания, продажи.   
 
Exercise 3. Translate the following expressions from the text into 
Russian: 
 
organization by forms of business, sole proprietorship, partnership, 
unlimited liability, loss, income tax, expense of, forming a partnership, 
combine their resources, terms of the business, share in the profits, terms of 
the agreement, liable for the debts, bear some liability, stock exchange, 
securities, capital, service, at little cost, distribution, incentive, to operate 
some business, to increase efficiency.  
 
Exercise 4. Put a tick next to the sentences which are true, and correct 
those which are false. 
  

1. A private corporation can be formed by two or more people. 
2. A sole proprietorship is operated by two people. 
3. Public corporation is one that offers its securities to the public. 
4. A franchise is a license to operate an individually owned business 

as if it were headquarters of the company. 

5. Those who buy franchises don’t benefit. 
6. Partners in a partnership share in the profits according to the terms 

of the agreement. 

7. A partnership is an agreement in which two or more persons 

combine their resources in a business with a view to making a profit. 

8. Each shareholder of a corporation is personally liable for the debts, 

obligations or acts of the corporation. 

10. Many start corporations because they are unfamiliar with the other 

forms of organizations. 

 
 
 
 

Exercise 5. Match the names forms of business organization with their 
definitions. 
 

Forms of business organization
Definitions


Franchising


Joint stock company 


Holding 


Partnership


Enterprise


Joint venture


A business or a project that is 
begun 
by 
two 
or 
more 

companies


A formal permission of a 
company to smb. who wants to 
sell its goods or services in a 
particular area


A company or a business


A number of shares smb. has in 
a company


A company whose stock is 
owned 
jointly 
by 
the 

shareholders


Business or firm owned and run 
by two or more partners

 
Exercise 6. Cross out the odd word.  
 

1. franchisee, corporation, proprietorship, cooperative 
2. entrepreneur, sole trader, owner, joint venture 
3. to have, to own, to limit, to possess 
4. legal entity, artificial person, shareholder, juridical entity 
5. profit, limited liability, income, capital 
6. corporation, proprietorship, holding, partnership