Pre-Text Exercises. 9.1.1 Memorize the following words and word-groups from the texts of the unit:

9.1.1 Memorize the following words and word-groups from the texts of the unit:

price pricing pricing policy supply and demand pure marketplace rough measure value money's worth consumer preference to charge completion supporting service quality guarantee discount allowance dimension objective percentage of sales profit sales growth cost costs markup

- цена - ценообразование - ценовая политика - предложение и спрос - чистый - рынок (место; помещение) - приблизительный показатель - оценивать, ценность, стоимость -стоимость, выраженная в деньгах - потребительское предпочтение - назначать цену - завершение - услуга по поддержанию чего-либо - гарантия качества - скидка - зачет; скидка (с учетом чего-либо) - параметр - цель - процент от продажи - прибыль - рост объема - себестоимость - издержки; затраты - наценка

9.1.2 Read and translate the following words into Russian without using a dictionary:

- basic; - economic; - extreme; - economy; - mixture; - to produce; - production; - sector; - to distribute. - final

- result; - balance; - coordination; - activity; - individual; - institution; - physical; - guarantee; - system. - planner

9.1.3 Give the initial forms the following words are derived from

Model: choices - derived from "choice"

- planned; - economic; - apparently; - getting; - various.

- exchanged; - thinking; - specific; - consciously; - policies.

9.1.4 Pick out all the adjectives from the following list of the words:

kind; entirely; particular; market; through; possible; rapid; faster; specific; avoid; common.

9.1.5 Translate the following groups of nouns into Russian

Model: price - цена; list price - прейскурантная цена; guarantee - гарантия; quality guarantee - гарантия качества.

- government planners; - market price; - dollar "votes"; - production sector; - consumption sector; - consumer preference; - channel members;

- capital investment; - price policies; - dollar sales; - sales growth; - price structure; - dollar amount; - market forces.

9.1.6 The following sentences begin with an introductory phrase or clause followed by the main part of the sentence:

a) define the subject of the sentence;

b) rewrite the sentence by moving the introductory information to an appropriate position in the sentence. Translate the sentence into Russian

Model: In a pure market-directed economy consumers make a society's production decisions by making their choice in the marketplace. Consumers make a society's production decisions in a pure market-directed economy by making their choice in the marketplace.

Потребители принимают решения по производству общественных товаров в условиях идеальной рыночно-управляемой экономики, делая свой выбор этих товаров на рынке.

In a planned economic system government planners decide what and how much is to be produced.

No matter how great, a product won't be purchased unless customers can find it.

Instead of letting daily market forces decide their prices, most firms set their own prices.

While doing this the manager should be aware of legislation.

9.1.7 Make up sentences according to the model. Pay attention to the use of the Gerund

Model:

I suggest charging a higher price forthe product.

Prompts: - the new package;

- transporting the cars;

- storaging the cars;

- training the sales staff;

- insurance on cars;

- a lawyer's advice;

- dry cleaning.

9.1.8 Translate the following sentences paying attention to the functions of the Gerund:

You must be careful about setting price.

Allowances are given to final consumers for doing something.

Marketing managers are responsible for making decisions in the firm.

Lowering a price below its minimum may be dangerous for the company.

Some customers pay list price without obtaining discounts.

Most retailers and wholesalers set prices by using a markup.

Marketing plays an important role in providing consumers with need-satisfying goods and services.

9.2 Text A. Price. (Read the text and do the assignments that follow)

There are two basic kinds of economic systems: planned systems and market-directed systems.

Actually, no economy is entirely planned or market-directed. Most are a mixture of the two extremes.

In a planned economic system government planners decide what and how much is to be produced and distributed by whom, when, and to whom. Prices are set by the government planners and tend to be very rigid - not changing according to supply and demand.

In a pure market-directed economy, consumers make a society's production decisions when they make their choices in the marketplace. They decide what is to be produced and by whom - through their dollar "votes".

Prices in the marketplace are a rough measure of how society values particular goods and services. If consumers are willing to pay the market prices, then apparently they feel they are getting at least their money's worth.

In a market-directed economic system the prices in both the production sector (for resources) and the consumption sector (for goods and services) vary according to consumer preferences. The result is a balance of supply and demand and the coordination of the economic activity of many individuals and institutions.

So, price is what is charged for something. The something can be a physical product in various stages of completion, with or without supporting services, with or without quality guarantees, and so on. Or it could be a "pure" service - dry cleaning, a lawyer's advice, or insurance on your car. Some customers pay list price. Others obtain large discounts or allowances because something is not provided. So, it should be clear that price is a measure of value and it has many dimensions.