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Unit 6 RiskStarting upC- D1 doing nothing2 credit or guarantee risk3 political risk4 risk of catastrophe or disruption (= the risk of not being able to continue business as usual because of some unforeseen event).Vocabulary: describing riskAPredict MeetAssess Manage foreseenencounter facecalculateestimate prioritiseeliminateminimizereducespreadB1e 2f 3g 4d 5c 6b 7aCHigh: great; huge; serious; significant; substantial; terrible; tremendousLow: faint; low; negligible; remote; slightListening: managing riskA1 doing nothing2 credit or guarantee risk3 political risk4 risk of catastrophe or disruption1 a) true b) true c) false2. 1) The company will end up with an obsolete product in an obsolete market. 2) The customer may not pay. 3) Government actions may change the situation. 4) A company may encounter fraud or criminal damage.B1. Companies should have good quality, up-to-date and reliable information available.2. They should have a good management team in place to identify and deal with risks.3. There should be good lines of communication between the people in the company who will pay an important role in dealing with any risk.C1. A printing press was using out-of-date technology. It had a skilled workforce, but hadnt kept up with the market and had to close down. Lesson: Companies must keep up with evolving technology and market demands or go out of business.2. Companies sold goods on credit and were never paid. Lesson: Check the credit status of the companies you trade with, or demand payment up front.Reading: Risks from globalizationAPair 1Pair 2Pair 3Russia The Middle EastNorth AfricaLatin AmericaB1e 2g 3d 4f 5a 6c 7bCRussiaThe Middle East/North Africa/Latin America/D1 globalisation 2 the development of communication technologiesEa) terrorism, kidnapping, petty crimeb) direct action by pressure groups, consumer activism, human rights demandsc) international sanctions, currency devaluationd) organised crime, fraud, corruption, extortion, petty crimeFFor example, the Ss might mention oil companies and environmental protest, pharmaceuticals companies and protestors against testing drugs on animals, or an economic recession that particularly affects certain types of company.Language review: Intensifying adverbsMost adverbs are formed by adding ly to the adjective. For adjectives ending in ic, for example dramatic or economic, add ally. AIntensifying adverbsweakModerateStronga bit slightlyfairly increasingly moderately quite rather reasonably somewhatEntirely exceptionally extremely highly totally veryBPossibly answers:1 exceptionally, extremely, very2 exceptionally, extremely, highly, totally, very3 fairly, moderately, quite, rather, somewhat4 entirely, totally5 fairly, moderately, quite, reasonablyCS1: What did you think of the presentation?S2: Fascinating. And the speaker was incredibly well-prepared. All the equipment worked first time and the handouts were very useful.Skills: reaching agreementAIdeasApproved yes/noCommentsOn-line promotionYesOne of the first organizations with a website, cheap form of promotion, must be focusedTV advertisingNoExpensive, no experience of using it, competitors use it a lot, risky to put so much money into one thingSponsorshipNoCould be more easily focused on target audience, but expensiveAdvertisements in journalsYesAs long as it is focusedUsing established contactsYesImportant to build on these, not expensiveNewspapers/magazinesYesKnow the readership, successful in the past, wide audienceB1 Disagreeing 2 Giving opinions 3 Giving opinions, Disagreeing 4 Agreeing 5 Agreeing 6 Agreeing, Emphasising 7 Giving opinions, Emphasising 8 Making suggestions 9 Giving opinions 10 Summarising C1 to 1This role play can be done 1 to 1. ask the students to choose one of the roles. You take one of the others. Dont forget to note language points for praise and correction afterwards.Case studyStage 1Company typefamily businessActivitymakes fashionwearBrandnameETCImagefashionable clothing at competitive pricesMain productsjeans and trainersCurrent consumer perceptionsproducts are loosing their appealCompanys current situationStruggling, out of touch, losing direction. Management consultants, City Associates, brought in to advise.Examples of possible explanations:Assets, other than stock, have declined in value, by 20 percent. Perhaps they have sold some equipment or property, or the overall value of its equipment has fallen because it is not being replaced.S
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