Make sure you know these words before reading the dialogues
1) out-of-date - old fashioned, not modern; 2) to swallow up - to take over, to take control of a smaller firm; 3) know-how - special knowledge, expertise; 4) a chat - a friendly talk; 5) to give smth. a go - to try smth.; 6) to build costs into the price- to charge a high enough price; to cover all the producer’s costs; 7) import controls (restrictions) - government controls on imported goods; 8) to push up (prices) - to increase, to make higher
Episode 1 HOMECOMING
S c e n e o n e
Paul Osman, the Sales manager of Jayal Motors, has been on a business course in Dabu for two months. He is coming back home. His wife Tara is meeting him at the railway station. Tara is a daughter of Tom Jayal and one of the shareholders of the company.
Tara:Paul, tell me about this special project you mentioned on the phone. You sounded very excited about it.
Paul:Tara, our little company is in danger. We are out of date, we need to expand. If we don’t, we’ll be swallowed up by one of the larger firms.
Tara:But if we are as small as you say, why should anyone want to take us over?
Paul:Listen, Tara, although we are small, we are the competition to them. The big firms. I am sure, would like to buy up our know-how and expand their sales even more.
Tara:Well, it seems from what you say that there is nothing we can do to stop them... unless ... what about this special project? I want to know how my favourite Sales manager is going to keep Jayal Motors in business!
Paul:Well, it all started with this course. To my surprise, my tutor asked me to do a special project on exporting. It gave me a lot of ideas for Jayal Motors.
Tara:Exporting? Paul, you are not serious?
Paul:That is why I didn’t explain it to you on the phone, you see. Your father would think I was crazy. He could call me back before the end of my project.
Tara:But where can we export to? Our farthest retailer is only forty miles away ... and already, you say, we are threatened by the firms in Dabu. But in an export market, can you imagine? The Japanese ...
Paul:I know, I know. It’s not easy. But even if we succeed only in a small way, it’ll give us an edge on the home market.
Tara:And all the extra costs? Where do we get the money?
Paul:I thought of that. We’ll have to increase the number of shareholders and perhaps borrow money from the bank to get started.
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Tara:Frankly speaking, I am not sure that my father will be delighted at hearing this news.
Paul:We shall see what we shall see.
Ex. 1. Read the following statements and say if they are true or false.
Correct them if necessary.
1. Paul is the founder of Jayal Motors. 2. Paul has been away for more than a month in Japan. 3. Tara thinks that their company is in danger. 4. Paul thinks Jayal Motors should take over another form. 5. Paul thinks Jayal Motors need to grow bigger. 6. Paul says exporting will make Jayal Motors more competitive. 7. Paul proposes to reduce the number of shareholders and borrow money from the bank. 8. Paul is sure that his father-in-law will back up his idea.
Ex. 2. Answer the following questions.
1. Where does Paul Osman work? 2. Paul is the Managing Director of the company, isn’t he? 3. Where has Paul been for two months? 4. Why does Paul think that their company is in danger? 5. What special project does he want to propose for keeping Jayal Motors in business? 6. Why didn’t Paul explain his project on the phone? 7. Where is Paul going to take money for his project from? 8. Does Tara back up the project of her husband? 9. What are Paul’s four main reasons for wanting to export? 10. What are Tara’s two objections to exporting?
S c e n e t w o
Paul is going to see Jack Lom, the Production manager at Jayal Motors. Paul wants to try and win Jack over to his new idea before facing Tom Jayal.
Paul:What’s new, Jack?
Jack:Nothing dramatic, I am glad to say, but there is something you should know about.
Paul:What’s that?
Jack:Well, our rivals are offering extended credit terms to some of the retailers in the area.
Paul:Oh? Which rival is this? We only have two.
Jack: Barratts.
Paul:Oh, them. Well, they are hardly a threat.
Jack:I know they are smaller than us, but we can’t afford to ignore them.
Paul:Yes, you are right, Jack. But I don’t like extended credit. It ties up cash we could put to better use elsewhere. I’ll look into it on Monday. But Jack, there is another reason I wanted a chat with you.
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Jack:Well, go on, surprise me.
Paul:How about selling your new moped in Industria?
Jack:What? You mean export? Paul, I think you’ve been away too long. This is Jayal Motors. We have never sold a bike abroad.
Paul:Don’t worry, Jack, I’m not crazy. I’ve been studying the possibility and I think we should give it a go.
Jack:It’s not as easy as that though, is it? We shall have to reorganise the whole company.
Paul:Don’t be silly. I don’t intend starting next week. We’ll have to plan it properly and there’ll be a few problems.
Jack:A few problems? I can see hundreds! For one thing, transport! I have enough trouble delivering bikes to shops only 40 miles away - never mind 5,000 miles!
Paul:That’s what forwarding agents are for.
Jack:Yes, but all that costs money - a lot of money. Why don’t we just concentrate on expanding here at home?
Paul:Right. Of course we should hold on to our position here and we will. But you must admit the market here is limited.
Jack:Yes, but it is safe. The government keeps out foreigners with import controls.
Paul:But I feel we can compete with the best of foreigners.
Jack:You expect us to make more profit by selling bikes in Industria where we have a cost advantage and can charge higher prices.
Paul:Exactly.
Jack:Ah, but wait a minute. Packaging, shipping, finance, not to mention the need to hire more staff, will push up our costs and we could end up no better off, may be worse off.
Paul:OK, I know there are extra costs involved, but if we do it right, they can be built into the price of the bike and we can still be competitive.
Jack:How sure are you about our chances of success in the market?
Paul:Well, that’s the sticky one. It’s going to need a lot of research. I’m hoping to get the help of the Export Development Office in Dabu... Well, come on, Jack, is it worth it or not?
Jack:There’ll be a lot of problems.
Paul:Nothing we can’t handle.
Jack:Mm, I’m not that hopeful. But yes, I think we should go ahead with a feasibility study.
Paul:Marvelous, Jack, I was hoping you’d be on my side.
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Jack:It’s not just for you. I’ve always wanted to see my bikes match up to competition in the big wide world - a question of professional pride.
Paul:I’m sure, it’ll be a success. I’d like you to look at the production and transportation problems.
Jack:OK, it’s a deal.
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