Vocabulary Focus

9. Fill in the table with the missing derivatives from the text.

Noun	Verbs	Adjectives
advertisement
	exhibit
representative
		complicated

10. Match the halves of the phrases.

1. to sell goods	a) the market potential
2. to assess	b) publicity brochures
3. to promote	c) an advertising campaign
4. to hand out	d) in a new market
5. to start	e) replacements and spare parts
6. to supply	f) a model

11. Paraphrase the following sentences in italics using the active vocabulary of the text.

1. Our company has started to publicize a new product.

2. Companies take a stand at a Trade Fair in order to define the response they get from prospective customers.

3. It is quite difficult to widen market share because of hard competition between companies.

4. The company is going to launch the promotion plan for a new product.

5. Customers prefer to deal with companies which can deliver all the individual parts and components.

6) At the Trade Fair our company representative gave out promotion booklet representing our goals.

A springboard for discussion

1. Your company is going to exhibit a new product. Suggest your ideas about the ways of promotion. Should the company invite any marketing agency?

2. Your company is going to take part in the international Trade Fair. In groups or pairs discuss what should be done. Think about your exposition, booklets, brochures, and so on. How are you going to appeal to prospective customers?

11. Trade Restrictions

Starting up

Discuss the following questions:

1. How can the governments help their start-up companies?

2. How can the governments protect their producers?

3. What is the role of the Customs and Excise department?

Reading

1. Go through the following vocabulary notes to avoid difficulties in understanding.

impose (v.) - enforce	consulate (n.) - the business premises or residence of a consul
infant (adj.) - undeveloped	loan (n.) - credit

2. Read and decide whether these statements are true (T) or false (F).

1. One way a country can control its economy is by imposing import restrictions.

2. Taxes on imported goods are called duty or tariffs.

3. Trade restrictions are enforced by the Finance department.

4. Importers don’t fill out customs declaration form which declares the value of the goods.

5. Under trade agreements certain goods from certain countries may be exempt from some of the taxes, or they may be allowed bigger quotas.

III. Now read the text and check your answers to the statements from ex. II.

One way a country can control its economy is by imposing import restrictions (or controls). If an industry is just starting up (when it is called an infant industry) the government may help it because it makes the country richer and provides employment. The government сan help аn infant industry by subsidizing it or by imposing import restrictions. To subsidize an industry means to give it grants or loans. Import controls can protect it from competition by stopping or limiting the importation of the goods the infant industry produces. The government might also impоse taxes on imported goods. These taxes are called duty or tariffs.

Import controls may only be selective or temporary. If they only apply to certain goods or certain countries, they are selective. If they only apply for a limited time, they are temporary. Traders may require a licence to import goods. A licence is a certificate which gives permission to do something. Traders may also be limited to a quota of goods. A quota is a maximum number.

Trade restrictions are enforced by the Customs and Excise department. Importers have to fill out customs declaration form which declares the value of the goods so that the customs men can calculate the tariffs (taxes) they must pay. To make the job of the customs department easier, the invoice for the goods is sometimes certified by the consulate of the importing country before the goods leave the exporting country. The invoice is then called a consular invoice. The consular invoice is sometimes also used as a certificate of origin (although this may be a separate document).

The certificate of origin is a certificate, which shows where the goods come from originally (this is necessary if they have traveled through another country). It can be important to show the origin of goods when the importing and exporting countries have special trade agreements, because traders may pay less duty. A government often makes trade agreements with its trading partners (countries with which it trades regularly). Under trade agreements certain goods from certain countries may be exempt from (they do not have to pay) some of the taxes, or they may be allowed bigger quotas.

Text Comprehension

4. Answer these questions using the active vocabulary of the text.

1. How can a country control its economy?

2. What is an "infant industry"?

3. How can the government help "infant industry"?

4. What may import controls be?

5. What is the difference between selective and temporary controls?

6. Why are taxes imposed on imported goods?

7. Who are trade restrictions enforced by?

8. How can the job of the customs department be made easier?

9. What is "the certificate of origin"?

10. Why is it important to show the origin of goods?

4. Read the article and find the synonyms of the following words.